How Foreigners Can Obtain a Mortgage in Poland: Step-by-Step Guide

Buying property in Poland with the help of a mortgage is a popular option among foreigners planning a long-term stay. This process requires meeting certain criteria, particularly in terms of banking and legal formalities. This article provides essential information to help foreigners successfully obtain a mortgage in Poland.

Can Foreigners Obtain a Mortgage in Poland?

Yes, foreigners can apply for a mortgage in Poland. The requirements of banks are largely similar to those for Polish citizens, with the exception of residency-related matters.

Key criteria include:

• Permanent residence, long-term EU resident status, or temporary stay in Poland. Banks prefer clients with permanent or long-term residency permits. However, some banks offer products for foreigners with short-term residency permits. Current offers are best checked with a credit advisor.
• Income in Polish zlotys (PLN). Regular income in the local currency increases the chances of obtaining a loan. A few banks accept income in euros (EUR), but the mortgage will also be granted in that currency.
• Credit history. A good credit history in Poland will be an additional advantage when applying for a mortgage.

In Poznań, the rental apartment market is thriving, making it an appealing option for foreigners planning to settle before purchasing property.

What Documents Are Required?

To apply for a mortgage, foreigners must provide the following documents:

• Passport and residency card.
• Proof of employment and income.
• Bank account statements (usually for the last 6–12 months).
• Preliminary purchase agreement for the property and other related documents.

Foreigners interested in buying apartments in Poznań may benefit from collaborating with local real estate agencies to streamline the document preparation process.

What Does the Mortgage Process Look Like?

The procedure consists of several key steps:

1. Choosing a Bank and Offer. In Poland, borrowers do not need to visit every bank individually to get offers, as all offers are available in one place—through a credit advisor. Compare options from various banks through an advisor to find the best terms.
2. Creditworthiness Assessment. The credit advisor will evaluate your income, credit history, and financial situation and provide preliminary terms.
3. Submitting a Loan Application. Fill out the application form and provide the required documents.
4. Loan Decision. The bank will make a decision based on the analysis of your data.
5. Signing the Contract. After receiving a positive decision, you sign the contract with the bank.
6. Loan Disbursement. The bank transfers the funds for purchasing the property after all conditions in the mortgage agreement are met.

Poznań is also known for its dynamic market in house sales, making it an attractive location for families and investors.

Down Payment

One of the requirements for obtaining a mortgage in Poland is making a down payment. For foreigners, as for Polish citizens, the minimum down payment typically ranges from 10% to 30% of the property’s value. It is advisable to plan your budget in advance and save the necessary funds.

Additional Costs

When applying for a mortgage, you should also consider additional expenses, such as:

• Notary fees.
• Civil law transaction tax (PCC).
• Mortgage insurance costs.
• Fees for translations by a certified translator.
• Real estate agency commission.

Tips for Foreigners Applying for a Mortgage

1. Consult a Credit Advisor. A specialist will help you choose the best offer and guide you through the process. Ensure that the credit advisor has experience working with foreigners.
2. Prepare Your Documentation. Make sure all documents are complete and translated, if necessary.
3. Understand the Terms of the Contract. Carefully review the mortgage terms before signing.

Which Banks Offer Mortgages for Foreigners?

Not all banks in Poland provide mortgages to foreigners. It is worth consulting a real estate agency that works with international clients or an advisor familiar with the latest offers and terms of various financial institutions.

Summary

Obtaining a mortgage in Poland as a foreigner is possible but requires proper preparation and meeting the banks’ criteria. Stable income, residency status, and sufficient down payment are crucial factors. With the help of experienced real estate professionals and credit advisors who specialize in working with clients from different countries, the process can be smooth, enabling you to achieve your plans for purchasing property in Poland.