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Luxury apartment rentals in Warsaw – how much can you earn?
Warsaw is not only the capital of Poland but also a vibrant business and cultural hub of Central and Eastern Europe. It’s no surprise that more and more investors are turning their attention to the premium real estate segment in this city. High-standard apartments are gaining importance – both among affluent Poles and international professionals, diplomats, and artists. For property owners, this means one thing: new, tangible opportunities for attractive rental income. Luxury apartments in prestigious districts such as Powiśle, Śródmieście, or Mokotów are now much more than just comfortable living spaces.
More and more often, they also serve a representative function – for both tenants and owners. Renting an apartment with a view of the Vistula River or near Łazienki Park is not just a matter of convenience. It’s also a clear statement: “I can afford it.” In the following sections of this article, we’ll explore what truly influences the profitability of luxury apartment rentals in Warsaw. Who typically chooses this standard? What risks may arise for investors? And most importantly – what opportunities does this segment offer to those looking for a stable and secure way to grow their capital?
If you’re considering entering the premium market, this information may prove especially helpful.
What are premium apartments and who uses them?
Premium apartments are more than just luxury homes. They represent a lifestyle that combines prestigious locations, high-quality finishes, and modern technologies. These properties are usually built in the most attractive parts of the city — in central Warsaw, near parks, or in close proximity to business districts.
What sets them apart? Most importantly, space and exclusive amenities such as:
- 24-hour reception,
- private wellness zones,
- smart home management systems.
For many residents, they are not only a place to live but also a reflection of their status and commitment to a certain level of comfort. Who most often decides to rent such apartments? Primarily high-income individuals who value privacy, convenience, and an elegant environment. Among them are expats — foreign managers and specialists who come to Poland on professional contracts. For them, a premium apartment is often not just a convenience but a necessity. Proximity to the office, familiar interior standards, and access to concierge services make daily life in a new country much easier.
It’s also worth mentioning international companies that rent luxury apartments for their employees relocated to Poland. Such apartments are often part of a relocation package. They help with quicker adaptation and make a positive impression. For employers, it’s also a way to show they care about their staff’s comfort. Unlike standard flats, premium apartments offer much more than space and location. They provide a complete experience — often with access to private gyms, relaxation areas, cleaning services, and even pet care. For tenants, it’s not just convenience but also a sense of uniqueness that’s hard to find in traditional housing offers. Interestingly, the luxury rental segment in Warsaw is developing very dynamically.
Modern and eco-friendly solutions are gaining increasing importance. Apartments with environmental certifications, energy-saving systems, or tailored services are becoming the new standard. It’s a response to the growing expectations of tenants who want to live comfortably — but also in line with their values and lifestyle.
Where to invest? The most attractive locations in Warsaw
For years, Warsaw has remained a leader among the most attractive real estate markets in Poland, especially in the premium segment. The capital attracts investors not only with its dynamic development but also with the growing demand for luxury apartments. Choosing the right location is crucial. It’s often the location that determines the success of an investment — in terms of both returns and property value stability. At the top of the list of the most desirable districts is Śródmieście. This is the heart of the city — prestigious, well-connected, and surrounded by cultural and business institutions. One of the symbols of luxury in this part of Warsaw is Złota 44 — a modern skyscraper designed by Daniel Libeskind. It offers not only stunning views but also the highest standard of living. The price per square meter here is among the highest in the country, making Śródmieście an attractive choice for those seeking stable and long-term returns. Right next to it, though with a completely different character, is Powiśle. This district blends urban lifestyle with proximity to nature. Located along the Vistula River, it offers access to boulevards, parks, and landmarks such as the Copernicus Science Centre.
Powiśle attracts those who value peace and a high-quality environment. Here, luxury meets intimacy. A prime example of a prestigious development is Dobra 32 — offering panoramic views, elegant finishes, and direct access to recreational areas. It’s an ideal choice for demanding tenants and investors looking for something truly exceptional.
Investing in premium apartments in Śródmieście and Powiśle is not just about prestige. It’s also a real opportunity for attractive returns. Consistent demand in these locations translates into high rental rates — often exceeding 100–150 PLN per m² — and steady property value growth.
For investors, this means not only capital protection but also the potential for long-term appreciation. However, it’s worth looking beyond the obvious. Districts like Mokotów and Wola are also gaining traction. Rapid infrastructure development, new residential projects, and proximity to office hubs are increasing their investment appeal. Good public transport and revitalized public spaces attract both residents and investors. While they may seem less prestigious than the city center today, in a few years they could yield equally satisfying returns. The final decision on where to invest in Warsaw requires not only an analysis of current trends but also a forward-looking perspective. Will you choose the proven appeal of the center or bet on up-and-coming neighborhoods?
The key to success lies in a thoughtful approach and strong knowledge of the local market. A well-informed decision can bring truly positive results.
Which is more profitable?
Short-term or long-term rental
Planning to purchase a premium apartment and wondering how to make the most profit from it? It’s only natural that one of the first questions is: short-term or long-term rental? Both models have their advantages and limitations. They differ not only in potential income but also in the level of involvement and risk. The right choice depends on the location, tenant profile, and your investment strategy. Let’s take a closer look at what you should consider before making a decision.
Profits from short-term rental
Short-term rental is an attractive option for those who want to maximize the potential of their property — especially in cities popular with tourists, such as Warsaw, Kraków, or the Tri-City area.
Thanks to platforms like Airbnb or Booking.com, you can reach a wide range of guests, including many from abroad. This increases your chances of generating higher income.
A major advantage is pricing flexibility. You can adjust rates based on the season, city events, or demand levels. For example, during summer festivals in Gdańsk or major conferences in Warsaw, prices can rise by 50–100% compared to off-season periods. That’s a real difference in profits. However, it’s important to remember that higher income potential also means more work. Managing bookings, cleaning, guest communication, and responding to unexpected situations — all of this requires time and effort.
That’s why many property owners choose to work with rental management companies. This can make things easier, though it involves a commission — usually between 15% and 30% of your income. You also can’t overlook the competition. To attract guests, it’s worth investing in modern furnishings, stylish interiors, and thoughtful extras that make an impression — such as a coffee machine, fast Wi-Fi, or keyless entry systems. These details really do influence ratings and the number of bookings.
Income stability from long-term rental
If you value peace of mind and predictable income, long-term rental may be the better choice. Lease agreements for 6, 12, or even 24 months provide a steady cash flow, making financial planning easier and reducing the risk of vacancy.
Tenants are most often employees, students, or families looking for a permanent place to live. They typically take better care of the apartment and act more responsibly, which means fewer damages and lower maintenance costs. Additionally, you don’t need to constantly search for new tenants — saving you time and stress.
Yes, monthly rental rates are generally lower than with short-term rentals. However, the absence of seasonal fluctuations and lower operating costs can make total profit comparable — especially in cities less dependent on tourism, such as Łódź, Katowice, or Białystok.
It’s also worth considering the evolving regulations. More and more local governments are introducing restrictions on short-term rentals — such as registration requirements, limits on rental days, or inspections. In this context, long-term rental may turn out to be the safer and more stable option.
Ultimately, it all depends on your expectations. If you want to maximize profits and are ready for greater involvement, short-term rental may be right for you. But if you value peace and consistency, a long-term lease will likely be the better solution. The key is to match your strategy to the market and your own capabilities.
What influences rental profitability?
Profits from renting premium apartments in Warsaw depend on many factors that together shape the overall return on investment. The amount of rent is crucial, but so are all the associated property maintenance costs.
That’s why effective property management is not just a useful skill — it’s essential if you care about achieving a solid return. But what exactly impacts the final financial outcome? Let’s take a look!
Apartment location
There’s a reason why location is said to be the most important factor in real estate. When it comes to luxury apartments in Warsaw, this rule matters even more. Districts like Śródmieście, Powiśle, and Mokotów continue to draw attention. These are the areas where the capital’s business, cultural, and social life is concentrated. The proximity of office buildings, top universities, trendy restaurants, and tourist attractions allows property owners to set higher rental prices.
This, in turn, attracts expats, executives, and affluent tenants who are looking not just for a home, but for a prestigious address.
It’s also worth broadening your perspective. Districts like Żoliborz and Praga Północ, which not long ago were considered less obvious choices, are now gaining popularity thanks to dynamic development. New metro lines, revitalization projects, and commercial investments are making these areas increasingly attractive. Investors who can spot this potential earlier than others may benefit from rising property values and growing tenant interest. It’s a bit like the stock market — those who act before the trend peaks often gain the most.
Finishes and amenities
The appearance and functionality of the apartment play a major role — especially in the premium segment. High-quality finishes, natural materials, designer lighting, and modern household appliances are not just a matter of aesthetics. They’re also about comfort and prestige — things that demanding tenants expect.
In many cases, it’s the small details that determine whether someone will choose to rent — and how much they’re willing to pay.
Additional amenities that increase the value of your offering include:
- a private terrace with a panoramic city view,
- an underground parking space,
- reception and 24-hour security.
Increasingly common features also include:
- fitness zones,
- saunas,
- smart home management systems.
These extras not only make the apartment more appealing to potential tenants. They also allow the owner to set higher rental rates — and that directly increases rental income.
How to calculate investment profitability?
Investing in premium real estate is not just about intuition. A thorough financial analysis is key. If you care about real profit, it’s worth approaching the topic with caution and calculating everything carefully. Useful indicators include ROI and ROE. These help compare different scenarios and make informed investment decisions.
ROI – how to assess rental profitability?
ROI (Return on Investment) is a fundamental metric that shows how effective an investment is. It’s calculated as the ratio of net profit to the total cost of purchasing and preparing the property.
For luxury apartments — where both purchase prices and potential revenues are high — ROI gives a clear picture of whether the investment is worthwhile.
Example: you buy an apartment for 1,500,000 PLN, and your annual rental profit is 90,000 PLN. In this case, the ROI is 6%. That’s higher than the average return on standard apartments, which typically falls between 4–5%. For investors seeking greater profitability while maintaining stability, that difference can be significant.
Regularly tracking ROI allows you to react quickly to changes. If maintenance costs rise or rental demand drops, it might be worth considering a different approach. Perhaps switching from long-term to short-term rental?
In this industry, flexibility often determines success.
ROE – how well is your equity working when supported by financing?
ROE (Return on Equity) shows how effectively your own capital is being used — especially when part of the investment is financed with a mortgage. The formula is simple: net profit divided by your equity contribution.
This allows you to evaluate whether your funds are generating the expected return.
Let’s assume you buy an apartment for 1,500,000 PLN. You contribute 500,000 PLN of your own funds, and the rest is financed by a loan. If the annual net rental profit is 60,000 PLN, then your ROE is 12%. This shows how effective financial leverage can be — assuming loan costs don’t eat up all the profit.
ROE analysis is an important part of financial planning. It helps you compare different strategies:
- larger equity and smaller debt,
- or a higher loan with lower personal contribution.
High ROE may be tempting, but it also comes with greater risk. That’s why it’s worth looking for ways to improve performance, such as:
- negotiating better loan terms,
- refinancing existing obligations,
- increasing rental income — for example, by upgrading the apartment’s standard.
In practice, this could mean installing smart home systems or refreshing interiors in line with current design trends. Sometimes a small upgrade can significantly improve investment profitability.
How to choose an effective investment strategy?
Choosing the right investment strategy is a crucial step if you want to achieve a satisfying return on your premium real estate investment. Several factors influence this decision: the apartment’s location, the profile of potential tenants, and the expected return rate.
More and more investors are opting for investment apartments that can generate regular income. They are particularly effective when combined with dynamic pricing systems. These smart tools automatically adjust rates based on the season, current demand, or nearby events — such as festivals, conferences, or peak tourist periods.
The most common investment models include:
- short-term rental,
- long-term rental.
Short-term rental works best in cities with high tourist traffic — for example, Kraków, Gdańsk, or Zakopane. In such locations, nightly rates can be several times higher than monthly rents.
In contrast, long-term rental is ideal for those who value stability and predictability. It’s particularly effective in academic and business hubs such as Warsaw or Kraków.
But what if you combine both approaches? This hybrid model is gaining popularity. For example: in summer, the apartment is rented to tourists for short stays, while in the off-season, it’s leased to students or professionals for longer periods. This flexibility allows you to fully capitalize on the property’s potential year-round — regardless of market fluctuations.
It’s also worth regularly reviewing apartment sale listings. Occasionally, you can find real opportunities — especially properties with potential for modernization or repurposing, such as converting a standard apartment into a short-term rental unit.
In today’s fast-moving market, flexibility is no longer just an advantage — it’s a necessity. That’s why it pays to adopt modern solutions: automated rental management, smart home systems, or working with experienced operators. With the right tools, your property can not only stand out from the competition but also generate higher returns.
Trends and the future of the premium real estate market
The luxury real estate market in Poland is gaining momentum. More and more investors — both domestic and international — are treating it as an attractive and prestigious form of capital allocation. While some may view this segment as a passing trend, market data tells a different story. It’s not a temporary fashion, but a lasting direction of development.
What’s driving this growth? Primarily, the limited availability of high-standard apartments. New developments in this segment are rare, making luxury properties a scarce commodity. Just look at areas like Mokotów in Warsaw, Kraków’s Old Town, or the seaside city of Gdynia. In these locations, prices per square meter can exceed 40,000 PLN. It’s not only about location — the unique surroundings matter too. A view of a park, the sea, or historic architecture makes a significant difference. For many, investing in premium real estate is a way to protect their capital and gain peace of mind. These properties are less sensitive to market fluctuations, and their value tends to grow over time. Additionally, prestigious locations, high-quality finishes, and limited supply make them a stable investment. They can be compared to gold or works of art — with the added benefit that you can live in them.
What else is driving interest in this segment? Customer expectations are evolving. Today, it’s not just about comfort — prestige and uniqueness are just as important. Apartments with concierge service, private spa access, or panoramic city views? These features are increasingly becoming the norm in the high-end segment rather than exceptional luxuries.
The premium market is responding to these needs, developing in new directions:
- exclusive residential projects are emerging,
- mixed-use investments are expanding,
- residential, office, and service functions are increasingly combined within a single space.
This isn’t just about convenience. It’s a modern response to a lifestyle where quality, accessibility, and — let’s be honest — a touch of luxury truly matter.
Not just beautiful interiors – what truly impresses in the luxury real estate market?
When planning an investment in luxury apartments in Warsaw, it’s worth looking beyond location and high-end finishes. Seriously — that’s just the beginning! There are many additional features that — while not always fitting into traditional categories — can significantly increase a property’s value and attract more discerning tenants. One particularly promising direction is implementing smart building technologies. BMS (Building Management Systems), automated control of lighting, heating, or access — these aren’t just conveniences. It’s like having an “intelligent manager” overseeing everything while helping to reduce operating costs. Sounds good, right? And that’s just the beginning of what’s possible.
Eco-friendly solutions are also gaining importance — and not just because they look good in marketing materials. Today’s tenants are increasingly conscious of a property’s carbon footprint. That’s why developments equipped with:
- solar panels,
- rainwater harvesting systems,
- energy-efficient HVAC installations, are becoming more attractive.
Example? An apartment with its own energy source and a water-saving system doesn’t just lower utility bills — it attracts tenants willing to pay more for an eco-conscious lifestyle. In the long run, such an investment can significantly increase in value. It’s not just a trend — it’s a real competitive advantage. We also can’t ignore shifts in lifestyle. Remote work has become the norm for many, increasing demand for apartments with dedicated workspaces. That’s an opportunity for investors. If you design apartments with:
- functional home offices,
- coworking areas,
- flexible room layouts, you’ll gain an edge over the competition.
It’s not just a response to current needs — it’s a step toward the future of the rental market. In a world that changes rapidly, it’s worth asking: what else can increase the appeal of luxury apartments in Warsaw? Maybe mobile apps that enable remote apartment management? Or shared spaces designed for residents’ mental well-being? One thing is certain — those who can anticipate upcoming trends will always stay one step ahead.