Banks have significantly tightened their lending policies since the onset of the economic downturn. This, despite a decrease in residential property prices, has lowered the purchasing power of mortgages in Poland, according to a recent report drawn up by financial advisory Expander.

A family of four with net monthly revenues of zł.3,500 could count on a loan of up to zł.270,000 in July 2008. This past July, the same family’s creditworthiness amounted to just zł.205,000, the report said.

As a result of new, stricter lending policies, the maximum loan in złoty that Poles can now obtain buys on average seven square meters fewer than a year ago. In the case of mortgages denominated in the Swiss francs, Poles can afford approximately 14.5 sqm fewer than in the previous year, according to Expander.