Seller's guide

Poland · transaction practice

The 10 most important tips for selling real estate in Poland

The guidelines below describe Polish transaction realities according to the legal status and practice as at the date of publication. They do not replace the analysis of a specific land and mortgage register, contract or individual legal, tax, credit or technical advice.

1. Start with the right to the property, not with the advertisement. Download the current content of the land and mortgage register and prepare the purchase document: notarial deed, inheritance resolution, inheritance certificate or other appropriate document. Check all four sections of the book, including claims, easements and mortgages. If the premises do not have a book, determine the documents required by the cooperative and the notary.
2. Calculate the tax before setting the minimum price. Private sale before the expiry of five years from the end of the year of purchase or construction may require PIT-39 and income tax. The exemption for personal housing purposes has statutory deadlines and conditions; expenses must be documented. In the case of an inheritance, donation, joint property or business activity, ask a tax advisor to assess the specific case.
3. Sort out the mortgage with the bank before finding a buyer. Ask the bank for the current balance, early repayment conditions, technical account number and a document specifying the conditions for granting consent to cancel the mortgage. The expiry date of bank certificates must be synchronized with the contract and the buyer's financing.
4. Collect building and premises documents. Prepare a certificate of no arrears, information about the rent, renovation fund, resolutions and planned works, as well as documents regarding registration or lease, if they are important. Buyers should be aware of costs and liabilities that are not shown in photos.
5. Order your energy performance certificate in good time. When selling an existing premises or building, the seller generally provides the buyer with a certificate upon concluding the contract; the buyer cannot waive this right. The certificate number itself should be included in the announcement, if the certificate has been prepared.
6. Price based on comparable properties and real demand. Offer prices show sellers' expectations, not the outcome of the transaction. Compare the same type of law, standard, building age, floor, exposure, micro location and data date; in Warsaw, also use the public Real Estate Price Register, remembering about the delay and scope of data.
7. Check the buyer's offer as a package of terms. Price is only one element. Ask for information about the source of financing, the time required, the sale of another property and the bank's terms and conditions. A lower, well-secured offer may be more feasible than a higher offer with lots of conditions.
8. Do not use deposit and advance payment interchangeably. The Civil Code gives the deposit certain effects, unless the parties decide otherwise. In the draft agreement, write down the nature of the payment, the conditions for its return or retention, deadlines, documents and the consequences of refusing credit, before the money is transferred.
9. Match the form of the preliminary contract to the risk. A contract in the form of a notarial deed may provide stronger claims than a simple written form, but requires expense and careful design. The notary is impartial; in case of a controversial or unusual situation, the seller's own lawyer should analyze the interests of the seller.
10. Close the deal with the protocol, not the act itself. Agree on the payment mechanism, release date, equipment, meter readings, number of keys, documents for the community or cooperative and the method of settling fees. In the report, record the condition of the premises and everything that remains in the property.