Permission to acquire real estate for residential purposes by a foreigner – how long does the procedure take?

What documents are required?

The Minister of Internal Affairs and Administration issues a permit for the acquisition of real estate by a foreigner if the acquisition of real estate will not cause a threat to defense or public order, and the foreigner demonstrates his ties to Poland.

Most often, the above prerequisites are demonstrated by Polish ancestry, marriage to a Polish citizen, performance of economic activity in Poland, possession of a permanent or long-term resident permit or a temporary residence permit (does not apply to extraordinary permits, i.e. those issued in connection with human trafficking or for short-term residence). According to the authority’s practice, having temporary protection in Poland (here most often associated with having PESEL-UKR) is not sufficient to demonstrate ties to Poland. In this case, it is necessary to obtain a residence card.

What documents do you need to submit?

The basic document is an application for consent. There is no official form provided – the application must be prepared on your own, containing all the required elements. The application indicates the applicant’s data (including citizenship, name and surname, address of residence), as well as data on the property to be acquired (including legal title, address, detailed identification of the property), the seller of the property, identification of the event on the basis of which the foreigner is to acquire the property (contract of sale, donation, inheritance under a will), the purpose for which the property is acquired, demonstration of the fact that the foreigner has funds for the acquisition of the property (if it is a paid activity). If the purchase of real estate is credited as a rule, the relevant bank documents must be submitted.

The application should be accompanied by a number of documents relating to the real estate (including a copy of the land and mortgage book, an extract from the land and building register, a certificate stating the designation of the real estate in the local zoning plan), the seller’s statement declaring his willingness to dispose of the property (this statement may be prepared independently and does not have to be in the form of a notarial deed, but it must be ensured that it has all the necessary elements required by the Act; under certain conditions such a statement may also be a preliminary agreement), documents showing the foreigner’s ties with Poland. Importantly, the above-mentioned documents should be submitted in the original or as documents certified as true to the original by a notary public or by an attorney-at-law representing the foreigner in the case. 

When is it not necessary to obtain a permit?

It is important to remember that some real estate can be acquired without a permit. Among others, a permit is not required for a foreigner to acquire: (i) a flat; (ii) a garage apartment or a share in such an apartment, if the purchase is made in connection with satisfying residential needs; as well as when (iii) the foreigner has resided in Poland for at least 5 years on the basis of a permanent residence permit or as a long-term EU resident; or (iv) is the spouse of a Polish citizen and has resided for at least 2 years on the basis of a permanent residence permit or resident permit.

Although, as a rule, the acquisition of a flat will be exempt from the requirement to obtain a permit, there are cases when, due to the structure of the transaction, such a permit will be required: this will be the case when, in addition to the flat, one acquires a share in, for example, the road leading to the property (i.e. the transaction will involve two, separate estates). Then a permit will be required for the acquisition of such a share.

In addition, no permit is required if the foreigner inherits the property, and the testator has owned the property for at least 5 years.

How long does the procedure take?

Permit cases are considered complicated cases hence according to the regulations they should be completed within two months. As this period does not include the time for taking certain actions, including those concerning the opinion of the Minister of Defense, the Internal Security Agency, sometimes the Minister of Agriculture and Rural Development and other interacting bodies. This time also does not include delays not attributable to the authority, for these reasons, in practice, these proceedings (if the application is submitted complete, without formal deficiencies) take about 6 months.

What are the fees?

The stamp duty for issuing a permit for the acquisition of real estate by a foreigner is PLN 1570. If you apply with the help of an attorney, you must pay a stamp duty of PLN 17 for a power of attorney (if the power of attorney is granted by spouses then double the fee for the power of attorney is paid). You should not make this fee if the power of attorney is granted to a husband, wife, children, parents, grandparents, grandchildren or siblings.

If the application is submitted by spouses, one application fee is paid, the same if the property consists of several registered parcels.

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Obtaining a permit is crucial to the effectiveness of real estate acquisition. Without obtaining a permit, the act performed is invalid.