By Anna Grybel-Kloc

Poland

Banks in Poland remain strict about financing non-residents and the number of banks lending to foreign investors is now limited. The cost of borrowing has increased as 90% of banks have put up their margins and/or fees for granting mortgages.

The average fee is currently around 2.5% - 3.5% and can be added to a mortgage. Banks' margins vary from 2.35% for Polish zloty and from 3% for foreign currencies. In the case of foreign currencies, and in the light of the latest currency exchange movements, banks don't encourage clients to take out currency mortgages and will set their margins as high as 5-7%.

Daniel Podpora from redNet Finance says that currently only a few banks will offer mortgages in foreign currencies and only to applicants who earn in foreign currencies, for example if a client receives a wage in Euros, he can apply for a mortgage in Euros.