Dziennik Ekonomiczny: Zima nadchodzi latem
Poland Macro Weekly: Dry loan tap has frozen the market
The large drop in demand for mortgages is a textbook reaction of the market to a series of interest rate hikes. Weaker lending activity results in in a decline in sales of dwellings. The period of dynamic price increases in the housing market is coming to an end and we think a correction is likely in the coming year. At the same time, a strong increase in construction costs, with no possibility of further price increases, will limit the new supply.