Buying real estate in Poland by EU citizens

Although Poland has been a member state of the European Union for almost 20 years, the prices of real estate are still not comparable with the prices in western EU countries and for this reason, buying property in Poland can be a safe and important investment opportunity.

In this context, it is important to emphasize that EU citizens basically have the full freedom to purchase a property in Poland. There is no longer a division between Polish and EU citizens, so that EU citizens also enjoy freedom in this context.

In Poland as well as in Germany, real estate acquisition must be handled by a Polish notary. Before this appointment, it is advisable to check the legal position of the land register and to determine the possible determination of the property in the local development plan.

At a notary appointment, an EU citizen must be accompanied in front of a sworn interpreter of the Polish language, because the official language in Poland is Polish and both the notarial deed and its processing should be carried out in Polish.

Agricultural land is an exception to the general freedom to purchase real estate in Poland. Polish and EU citizens are treated equally in this context, ie the introduced restrictions apply to all potential buyers who are interested in acquiring agricultural land.

Depending on the area of the plot of land intended for acquisition, it remains to be seen whether the responsible agricultural authority (Krajowy Ośrodek Wsparcia Rolnictwa) will exercise its right to purchase. In such legal transactions, the acquisition of the agricultural land must be made in the form of a conditional preliminary purchase agreement. Only if the responsible agricultural authority does not exercise its right of purchase can the transfer of ownership be handled by the notary. Our Polish lawyers will be happy to advise you in this area of law as well.

The perpetual right of usufruct (użytkowanie wieczyste) of Polish law

In the Polish land registers one can relatively often find the term “perpetual usufruct” instead of property right.

The perpetual right of usufruct is a real right of the Polish property law with which one can encumber a “public” property, ie a property owned by the state, local authorities and their associations. The perpetual usufruct is more than a simple real right or a normal lease, but it is not yet a property right. In contrast to the property right, in which the owner can dispose of the property freely and indefinitely, there are some restrictions with the perpetual usufruct.

The perpetual usufruct arises through the conclusion of a relevant contract with the perpetual usufructuary. The contract can be concluded for a maximum of 99 years, which can then be extended for a further 99 years if the usufructuary, or his heirs, apply for it.

The perpetual right of usufruct is a paid right.

One must keep in mind that the above contract must always specify the purpose for which the property may be used, or by when this purpose is to be fulfilled. If this purpose is not fulfilled, the owner can revoke this right.

The perpetual usufruct is a legal institution that is very similar to the property right, but the perpetual usufruct is only allowed to use the property for a certain period of time and for the contractually agreed purpose. Our Polish lawyers will be happy to advise you in this area of law as well.