Complete Guide to Selling Real Estate in Poland

Selling a property in Poland—whether it is a modern city apartment, a suburban house, or rural land—is a formal, highly regulated process. The Polish legal system prioritizes the security of transactions through mandatory notarial involvement and centralized digital land registries.

1. The Legal Framework: Notarial Deeds and the Land Register

In Poland, real estate transfers are governed by the Civil Code, which mandates strict formal requirements to prevent title fraud.

• The Notarial Deed (Akt Notarialny): This is the heart of every transaction. Under Polish law, any contract for the transfer of real estate ownership must be concluded in the form of a notarial deed. A sale agreement signed without a notary is legally null and void.

• The Land and Mortgage Register (Księga Wieczysta): This official, public digital register is the foundation of Polish property security. It confirms the legal owner, mortgage status, and any encumbrances. Sellers should ensure their entry is up-to-date, as buyers and notaries will verify it before completion. You can access these records online via the Ministry of Justice portal.

• Energy Performance Certificate (Świadectwo Charakterystyky Energetycznej): Sellers of residential properties are legally required to provide a valid energy performance certificate to the buyer.

2. Taxation: Capital Gains and Exemptions

Poland’s tax system for individual sellers is straightforward, with a clear incentive for long-term ownership.

• 19% Capital Gains Tax: If you sell a property within 5 years of the end of the calendar year in which you acquired it, you are liable for a 19% tax on the profit (income).

  • The 5-Year Exemption: If you have owned the property for more than 5 years (counting from the end of the year of purchase), the sale is 100% tax-exempt.

• Housing Relief: If you sell before the 5-year period ends, you can still exempt your income from tax if you reinvest the proceeds into your own “housing purposes” (e.g., buying or building a new home) within 3 years.

• Filing Requirements: Even if you are tax-exempt (due to the 5-year rule), you do not need to submit a tax statement. However, if you are liable or using reinvestment relief, you must file a PIT-39 form by April 30th of the year following the sale.

3. Strategy: Preparing for a Smooth Exit

To secure the best price and close quickly, focus on transparency and professional presentation.

• Document Readiness: Gather your title deed, Land and Mortgage Register extract, and proof of tax payments early. If the property is mortgaged, you will need a document from the bank confirming the remaining balance or the consent for the release of the mortgage.

• Marketing & Reach: While many sellers use popular portals like Otodom, OLX, or Gratka, professional-quality photography and video tours are increasingly vital for attracting interest. If you are selling remotely, hiring a licensed real estate agent can save you from managing viewings and administrative hurdles.

• Notary & Costs: While the buyer typically pays the notary and transfer fees, the freedom of contract allows parties to negotiate these splits. Always clarify who will cover the notary costs in your preliminary agreement (umowa przedwstępna).