Praga Południe and Ursus: Warsaw Suburbs Where Buying Is Now Cheaper Than Renting

In Warsaw’s outlying districts, the traditional advice to rent rather than buy is rapidly going out the window. A new analysis from property portal Otodom finds that in several popular suburbs — notably Praga Południe and Ursus — the monthly cost of owning a standard two-room flat has fallen below the cost of renting a comparable unit, marking a significant shift in the city’s property landscape.

Spike in Rents, Stable Mortgage Payments

The timing couldn’t be more significant. With rental listings on websites like Morizon and Gratka showing average asking rents in Warsaw up 18% year-on-year since June 2025, according to JLL Poland’s June market report, tenants across the city are feeling squeezed. Entry-level flats in Saska Kępa are now being advertised for as much as 5,800 zł per month, up from 4,800 zł just twelve months ago. As a result, many long-term renters are reconsidering the math, especially since mortgage rates — after two years of relative calm — have barely budged despite inflation elsewhere in the economy.

Ursus, a historically working-class district west of the S2 expressway, is at the centre of this shift. “When we look at listings near ul. Posag 7 Panien or around PKP Ursus,” says Marta Leszczyńska, a veteran agent with Metrohouse, “it is now often 300–400 zł cheaper per month to be paying a mortgage than putting money into rent.”

Concrete Numbers: Where Buying Beats Renting

Take a two-bedroom (45–50 sqm) flat in Praga Południe. Listings from Estate Broker show average monthly rents have hit 6,200 zł, while the monthly payment on a 30-year mortgage — covering the median asking price of 720,000 zł with a typical 20% down payment and a 5.3% interest rate — comes out to 5,680 zł according to szukamkredytu.pl calculators. In Ursus, where prices are slightly lower but rents have jumped by more than 20% this year, the picture is even starker: buyers’ monthly mortgage costs now average 4,850 zł against a median rent of 5,200 zł for equivalent units.

This reversal is most dramatic in new-build estates near ulica Walerego Sławka in Ursus and large blocks near Rondo Wiatraczna in Praga Południe. Developers such as Dom Development and Dantex are reporting brisk sales to buyers who had previously been priced out by high down payments but are now factoring in the long-term cost advantage of ownership. “The rental market is not adjusting as quickly as purchase prices,” notes an analyst at REAS, the consulting firm.

The trend is less pronounced in central districts like Śródmieście and Żoliborz, where sky-high purchase prices continue to outweigh even the steepest rents. But in Warsaw’s peripheries, the new numbers are starting to drive a shift in attitudes — and budgets — especially for households planning to stay put for more than five years.

Would-be buyers should proceed with caution. Experts at the Polish Bank Association warn that upfront costs — including notary fees and taxes — remain a barrier, and mortgage conditions could change if the NBP unexpectedly hikes rates. Even so, for young professionals and new families scouring the southern and western suburbs, the arithmetic of rent-versus-buy has rarely looked more compelling. The next few months could see an uptick in first-time purchases, especially as Warsaw bakes through a summer of fresh rental hikes.