Poles rush for mortgages amid record monthly lending

24 August 2026 Poland Radar 0 Comments

Polish mortgage market hits a record in July 2026 as banks fight for clients amid a refinancing wave.

Poland recorded an unprecedented surge in housing loans in July. The Polish mortgage market reached nearly PLN 14.8 billion in one month, and banks reacted fiercely.

Table of Contents

Why July broke records

BIK reported that lenders issued 30,300 mortgages in July. Consequently, the value jumped by 45.3% year on year. Moreover, the month beat June by 10.6%. Therefore analysts call it a historical monthly high. In addition, banks and SKOK credit unions signed almost 188,400 housing loan contracts since January. However, the story goes beyond buyers alone.

Refinancing fuels the rise and the Polish mortgage market

Refinancing now accounts for more than one third of new business. Consequently, many borrowers moved loans taken during higher interest periods. Moreover, people with fixed-rate deals sought cheaper offers. Therefore competing banks pushed new packages and price cuts. In addition, lenders target clients who already repay mortgages. However, moving a loan carries costs. Borrowers must weigh fees, commissions, and early repayment terms.

Numbers that matter for expats and buyers

The average mortgage reached PLN 487,530 in July. Consequently, the typical new loan nears half a million zloty. Moreover, higher property prices and larger apartments shaped that average. However, lower National Bank rates matter most. The reference rate fell to 3.75% from 5% a year earlier. Therefore monthly instalments became more affordable. In addition, wages in Poland continue to rise. Together these changes improved many households’ borrowing capacity. BIK also noted growth in consumer loans. For instance, average cash loans rose to PLN 27,964. In addition, nearly 60% of cash loan value now goes to consolidation.

What this competition means

Banks now fight not only for home buyers. They also chase existing mortgage clients. Consequently, customers benefit from better terms. However, borrowers should compare offers carefully. Fees, insurance, and product bundles affect the real saving. Moreover, a small interest difference matters over decades. Therefore run detailed calculations before switching. In addition, consult your bank for early repayment rules.

💡 GOOD TO KNOW: If you live in Poland as an expat, check your loan paperwork and local ID needs. Banks require a PESEL (national ID number) for many processes. Also expect requests about your social payments such as ZUS (social security). Moreover, health coverage via NFZ (National Health Fund) can affect proof of residency. Therefore bring documents like work contracts, proof of income, and lease agreements. Finally, watch for early repayment fees and exit costs when refinancing.

Source: Read original article

📚 Looking for more help settling in Poland? Browse our complete Expat Guides.