In May 2022 the 100% mortgage program started in Poland. In Polish it is called “Rodzinny Kredyt Mieszkaniowy”. The program is backed by Polish government and it’s created for supporting first-time buyers and borrowers with children. A 100% mortgage means you can buy a home in Poland with no deposit required.
Key points of the 100% – no deposit mortgage program:
- Minimum deposit: 0%
- Available to first-time buyers and borrowers with children buying a second property
- Maximum property price: 500,000 PLN (if you have 0% deposit) or 1,000,000 PLN (if you have some deposit)
- Limits of the property price (per square meter)
- Possible additional payment from Polish government: 20,000 PLN or 60,000 PLN
- Better mortgage rates
What are the benefits of the 100% – no deposit mortgage program?
- The main benefit of this program is a possibility of getting a mortgage for the full purchase price of the property you’re buying. Normally, you need to have a deposit – from 10% to 20% of the property price – and borrow the rest from a bank. With this program you need zero deposit – which overcomes the challenge of saving for a deposit. If you have a deposit lower than 10% this program is also good for you.
- The second benefit of this program is a possibility of getting additional money from Polish government. You can get 20,000 PLN if your second child is born during the mortgage repayment or 60,000 PLN if your third (or more) child is born.
- Mortgage interest rates in this program are lower than those for a standard mortgage with a down payment of less than 20%
Who qualifies for this program?
First-time homebuyers
You are considered a first-time buyer if you do not already own a residential property. Even if you owned a home in the past but have already sold it, you are still regarded as a first-time buyer.
You do not qualify if:
- You have had a mortgage within the last 36 months.
- You owned a property and donated it to someone within the last 5 years.
The same rules apply to your properties outside Poland.
Borrowers with children buying a second property
If you own a residential property in Poland and you have children you can still get a mortgage for the full purchase price for the second property but there are some restrictions:
- If you have 2 children the property you already own can’t be bigger than 50 sqm
- If you have 3 children the property you already own can’t be bigger than 75 sqm
- If you have 4 children the property you already own can’t be bigger than 90 sqm
- If you have 5 and more children there are no limits for the property you already own
A single person, a married couple, an unmarried couple with children
If you are an unmarried couple and you don’t have kids, you can’t buy a property together and take out a mortgage together in this program.
For what purposes can you borrow money in this program?
Approved applicants may borrow money in this program for these purposes:
- to buy a residential property
- to buy a residential property and renovate/finish the property
- to build a house
If you buy an apartment there is a limit of the price per square meter. If the purchase price per square meter is higher than the limit you can’t get a mortgage in this program. Limits of the prices are different for different cities and different areas in Poland. Bank Gospodarstwa Krajowego announces the limits for every quarter. You can find it here: https://www.bgk.pl/osoby-prywatne/mieszkalnictwo/rodzinny-kredyt-mieszkaniowy/#c26573
These are the price limits in the second quarter of 2023 for the biggest cities in Poland:
There are no price limits per square meter if you buy or build a house.
The updated limits you will find in the section News.