Residential Construction Costs per Square Meter in Poland: Moderating Growth in 2025 Amid Stabilizing Market

Double Storey 3 Bedroom House for Sale, GFA 101m2, Plot Size 400m2 – Zieleniewo, Kobylanka, Stargard County, West Pomeranian Voivodeship, Poland – Price 759,000 PLN (~€164,000) Price per m² 7,515 PLNm²
Poland’s residential construction sector in 2025 is experiencing a period of cautious stabilization, with costs per square meter reflecting a slowdown in inflation after years of sharp increases, yet still pressured by labor shortages and regional demand variations. Official data from the Central Statistical Office (GUS) indicates that the average cost for constructing new multi-family residential buildings—excluding land and individual homes—stood at 6,722 PLN per square meter in the first quarter of 2025, a 5.2% rise from the same period in 2024 but a modest 0.8% decline from Q4 2024 [Citation: web:3]. This figure, derived from weighted averages of investor expenditures across provinces, captures direct production costs and has been used for subsidies and guarantees under housing programs. For single-family homes, which dominate individual investments, estimates from GUS and industry sources like Sekocenbud place average costs at 5,681 PLN/m² for the developer-ready stage (stan deweloperski) in Q1, up 2.5% year-on-year, with total project costs for a 100 m² home ranging from 430,000 to 568,000 PLN excluding land [Citations: web:36, web:40]. Building permits rose 5% in Q1, signaling recovery, but the sector faces headwinds from a 20% drop in completions by individual investors and stabilizing material prices amid subdued demand [Citation: web:8].
GUS’s quarterly reports highlight this tempered trajectory: the Construction Price Index for residential buildings increased by 1.3% annually through June, with materials up 1–2% (cement +4%, steel stable) and labor wages climbing 3–4% due to shortages impacting 40% of sites [Citation: web:7]. This follows a 5.3% contraction in 2024 volumes, with residential starts at 303,000 units—21% below pre-pandemic levels—bolstered by incentives like the Safe Credit 2% program, though its phase-out looms [Citation: web:9]. The index focuses on production costs, excluding land (averaging 400–1,200 PLN/m² in urban areas) and design fees (8–15% of total), providing a benchmark for developers rather than market sales prices [Citation: web:11].
National Overview of Residential Construction Costs (2025)
GUS and Sekocenbud data reveal a market where costs have moderated to 2–3% growth, influenced by stabilizing energy prices and policy supports, though sustainability mandates add 10–15% for eco-materials. The FFB-adapted index stabilized at around 1,178.9 points in Q1 [Citation: web:22].
| Indicator | Average Value (2025) | Annual Change | Notes |
|---|---|---|---|
| Construction Cost per m² (GUS, Multi-Family, Q1 2025) | 6,722 PLN (excl. land) | +5.2% (vs. Q1 2024) | Weighted average for new builds; developer costs only. Source: GUS [Citation: web:3]. |
| Average Costs for Single-Family Homes (Developer Stage) | 5,000–5,500 PLN/m² | +2.5% (annual) | Excludes land; standard finishes ~5,681 PLN/m². Eco-upgrades +10%. Source: Sekocenbud/GUS [Citations: web:36, web:40]. |
| Construction Price Index (GUS, Residential) | +1.3% (June 2025) | +1.3% (annual) | Materials +1–2%, energy +2%, wages +3.5%. Source: GUS [Citation: web:7]. |
| Average Hourly Wage in Construction | ~80–120 PLN/hour (Q1 2025) | +3–4% (annual) | Includes social charges; shortages affect 40% of projects. Source: GUS [Citation: web:12]. |
| Material Indices (Base 2021) | +1–4% (general) | Variable | Cement +4%, finishes -5%; steel stable. Source: GUS/PSB [Citation: web:10]. |
Key Insights:
- Cost Structure (per PN-B-02051): Works (labor/materials) 55–65%, planning 15–20%, equipment 20%. New residential: 70% of total; commercial: 30%.
- Variations by Type: Traditional (brick/concrete): 4,500–5,500 PLN/m²; modular/eco: 5,500–7,000 PLN/m² (excl. 23% VAT, land, utilities).
- 2025 Trends: +2–3% expected, aligned with inflation; permits +5% in Q1, but completions down 20% for individuals.
Regional Variations (Q2 2025)
Costs exhibit a clear urban-rural and east-west gradient, with premiums in Mazovia driven by demand and logistics, while eastern provinces benefit from lower land prices (25–30% of budget). GUS/Sekocenbud-adjusted data:
| Region (Voivodeship) | Cost per m² (Residential New Build) | Annual Change (%) |
|---|---|---|
| Mazowieckie (incl. Warsaw) | 6,550–7,500 PLN/m² | +3.5% |
| Małopolskie | 5,800–6,500 PLN/m² | +2.8% |
| Wielkopolskie | 5,200–5,800 PLN/m² | +2.5% |
| Śląskie | 5,000–5,700 PLN/m² | +2.2% |
| Pomorskie | 5,500–6,200 PLN/m² | +3.0% |
| Dolnośląskie | 5,300–6,000 PLN/m² | +2.7% |
| Podkarpackie | 4,800–5,500 PLN/m² | +6.0% |
| Lubelskie | 4,500–5,200 PLN/m² | +1.8% |
| National Average | 5,681 PLN/m² | +2.5% |
Regional Notes: Warsaw and southern urban areas (Mazowieckie, Małopolskie) incur 20–30% premiums due to demand; eastern regions (Lubelskie, Podkarpackie) are 15–20% lower via affordable land, though Podkarpackie saw the highest growth from supply constraints. Source: GUS/Sekocenbud [Citations: web:36, web:40].
Influential Factors and Practical Advice
Shaping 2025 dynamics are a 1–4% material inflation slowdown (post-2023’s 6% surge, with finishes down 5%) and labor shortages fueling 3–4% wage growth, impacting 40% of firms [Citation: web:10]. Green requirements under the Energy Performance Directive add 10–15% for insulation and heat pumps, while the National Housing Program injects subsidies for 400,000 units, potentially offsetting costs via grants up to 30% [Citation: web:15].
Recommendations: Use GUS’s online calculator or Sekocenbud tools for precise estimates; budget a 10–15% contingency for overruns. Consult local architects for compliance with local plans (MPZP); leverage Safe Credit 2% subsidies to reduce eco-upgrades by 20–30%. For permits, factor 100–200 PLN/m² in fees, prioritizing stable regions like Wielkopolskie for faster approvals.
This analysis draws from official publications up to October 2025; quarterly GUS updates are expected. For voivodeship-specific details, consult GUS-GENESIS or Sekocenbud reports.
Note: Data accurate as of October 23, 2025, 03:04 PM CAT.








