Flipping new-build flats in Poland: assignment of a developer agreement and tax within 5 years

Author: Tacjana Masiukiewicz12 October 2026Investing~10 min read

A "flip" on the primary market means buying a flat from a developer with the intention of selling it at a profit – while still under construction or within a few years of handover. There are two exit routes: an assignment of the developer agreement (cesja umowy deweloperskiej) before the notarial deed transferring ownership, or a sale of the flat after the deed but before 5 years have passed. Each has different restrictions, a different tax and different costs for the buyer. This article puts the two routes side by side to help you decide before you buy – each is described in detail in separate articles we link to. A profit from a flip is not certain: it depends on someone paying more, and nobody can guarantee that.

Key facts

Assignment (before the deed): allowed only for an agreement covering one unit and no more often than once every 3 years, except for transfers to close family (Art. 37a of the developer act); it often requires the developer's consent.
Tax authorities tax income from an assignment on the progressive scale (12% and 32%), in the PIT-36 return; the buyer pays 1% PCC.
Sale after the deed within 5 years (counted from the end of the year of acquisition): 19% tax on income, PIT-39 return; the buyer usually pays 2% PCC, unless buying their first home.
With several such transactions the tax office may treat them as a business activity – different rules then apply.
In our offer (October 2026) there are 2,068 available flats due for completion in 2027 in Warsaw and 1,882 in Wrocław – the typical assignment horizon.

Two exit routes: assignment or sale after handover

General comparison based on the law as of October 2026. Details and exceptions – in the articles on assignment and on tax on a sale within 5 years, and with a tax adviser.

Issue	Assignment of the developer agreement	Sale after the deed, within 5 years
What you sell	rights and obligations under the agreement (the flat is under construction)	the flat (real property)
Statutory restrictions	agreement for 1 unit, no more often than once every 3 years (except tax groups I and II)	no limit on the number of transactions
Developer's consent	depends on the agreement – often required, sometimes for a fee	not needed
Form	notarial deed	notarial deed
Seller's tax	scale 12% / 32% on income, PIT-36	19% on income, PIT-39 (housing relief possible for spending on your own housing needs)
Buyer's tax	1% PCC	2% PCC (exemption for a first home)
Buyer's mortgage	harder – not every bank finances an assignment	standard secondary-market mortgage
Capital you commit	only the payments made so far under the schedule	the full price, finishing and running costs

Assignment before handover – how it works and where the traps are

In an assignment the buyer "steps into" your place in the developer agreement: they refund your payments to date, pay the agreed margin, and pay the rest of the price directly to the developer. Since July 2023 Art. 37a of the Act on the protection of the buyer has restricted trading in assignments: the agreement must concern one unit, and you must not have made another assignment of a developer agreement within the 3 years before (except transfers to persons in tax groups I and II, e.g. a child or parents). In the deed you make a statement under penalty of criminal liability.

The most common traps:

Developer's consent and fee – the law does not regulate them; your agreement decides. Check this before signing, not after.
No buyer – if you do not find a buyer before construction ends, you have to pay the rest of the price yourself or with a mortgage. With a 10/90 schedule that can be as much as 90% of the price at once.
Your own mortgage – if you bought with a loan, an assignment requires an agreement with the bank; in practice assignment flips are done mainly with cash.
Tax on the scale – income from an assignment is added to your other income, so on a high income you will pay 32%, not 19%.

A full description – with PCC, notary fees, an example of assigning a PLN 700k flat and a tax ruling of the Director of National Tax Information (KIS) – can be found in the article assignment of a developer agreement. Why investors choose the 10/90 schedule we explain in 10/90 flats and the developer payment schedule.

Sale after handover but within 5 years – 19% tax

Once the developer signs the deed transferring ownership, you become the owner of the flat. A sale before 5 years have passed, counted from the end of the year in which you acquired the flat, is income from the paid disposal of real property – the tax is 19% of income, settled in PIT-39 by 30 April of the following year. For a flat from a developer the 5-year period generally runs from the deed transferring ownership, not from the developer agreement.

Income is revenue minus costs: the purchase price, documented finishing expenditure (invoices) and selling costs. The housing relief (ulga mieszkaniowa) exempts income spent on your own housing needs – in a typical flip, when the profit goes into the next investment, you usually cannot use it. How to count the 5 years, costs and PIT-39 is explained in the article tax on selling a flat within 5 years; the rules are on podatki.gov.pl – disposal of real property.

A worked example (hypothetical)

You buy a flat for PLN 600,000 with the deed signed in 2026, finish it for PLN 60,000 (invoices) and sell it in 2028 for PLN 700,000, paying PLN 14,000 in selling costs. Income: 700,000 − 600,000 − 60,000 − 14,000 = PLN 26,000; 19% tax = PLN 4,940. On top of that you must add what the tax does not take into account: the service charge and utilities while there is no tenant, property tax and the cost of money (mortgage interest or interest lost on a deposit). The figures are illustrative – we do not forecast prices, and a sale for PLN 700,000 is not certain.

When a flip becomes a business activity

A one-off sale of a privately owned flat is a sale of private assets. When transactions are repeated, organised and profit-oriented (several purchases, refurbishments for sale, advertising), the tax authority may treat them as a business activity. Business taxation rules then apply, and in some situations VAT as well. If you plan more than one transaction, talk to a tax adviser or apply for an individual tax ruling (ruling search engine: Eureka, Ministry of Finance). Sometimes it is simpler to buy through a company from the start – buying a flat through a company.

Risks rarely talked about

Prices do not have to rise. The profit from a flip is the difference between the purchase price and the price the next buyer will pay – after costs and tax. In a flat market, costs can eat up the entire margin. Our view on forecasts: flat price forecast.
Competing with the developer's offer. When selling an assignment or a flat in the same development, you compete with units still on the developer's price list.
Construction delays lengthen the period your money is tied up – see developer delays.
Developer standard. A flat after handover is in developer standard (stan deweloperski), not finished – secondary-market buyers often expect finishing, which is a cost and time on your side.
Liquidity. Selling a flat usually takes several months – how long it takes to sell a flat.

How many flats under construction are in our offer

An assignment only makes sense if there is enough time left before handover to find a buyer. This is how available flats in our catalogue break down by completion date:

Available new-build flats in the TM Invest catalogue as of October 2026, asking prices including VAT. Differences in medians mainly reflect the location and standard of developments, not the completion date itself – they do not prove that a flat under construction is cheaper.

Completion	Warsaw – available flats	Warsaw – median PLN/m²	Wrocław – available flats	Wrocław – median PLN/m²
Building completed	874	18,603	575	14,547
2026	389	18,625	729	16,250
2027	2,068	16,700	1,882	13,900
2028 and later	648	18,100	1,110	17,384

The full list of developments due for completion in 2027 is in the article flats completed in 2027.

Before buying with resale in mind – a checklist

Does the developer agreement allow assignment, for what fee and from which construction stage?
Have you made an assignment of another developer agreement within the last 3 years?
Where will the money for the rest of the price come from if you do not find a buyer before handover?
What will your tax be – the scale for an assignment or 19% after the deed – given your other income?
Does the plan make sense even without price growth – for example as a flat to let?

We will check the draft agreement for assignment, penalty and deadline clauses – developer agreement review.

Frequently asked questions

Is flipping on the primary market legal?

Yes, but since 2023 an assignment of rights under a developer agreement is allowed only for an agreement covering one unit and no more often than once every 3 years (except to close family). A sale of the flat after the deed transferring ownership has no such limit.

What is the tax on an assignment of a developer agreement?

In the practice of the tax authorities, income from an assignment is taxed on the progressive scale (12% and 32%) in PIT-36, and the buyer pays 1% PCC. The 5-year rule and the housing relief do not apply.

When do the 5 years start for a flat bought from a developer?

From the end of the year in which you signed the deed transferring ownership – not from the developer agreement. A flat acquired by deed in 2026 can be sold free of income tax from 1 January 2032.

What happens if I do not sell the assignment before handover?

You remain the buyer: you must pay the rest of the price according to the schedule, sign the deed and take over the flat. You can then let it or sell it – with 19% tax on income if 5 years have not passed.

Are several flips already a business activity?

They may be treated as such if the transactions are repeated and organised. The assessment depends on the circumstances – before a series of transactions it is worth asking a tax adviser or applying for an individual tax ruling.

Summary

Flipping on the primary market has two routes: an assignment before handover (limit of one every 3 years, tax on the scale, developer's consent) and a sale after the deed within 5 years (19% on income, no limit on transactions, but full capital commitment). Neither guarantees a profit – the result depends on the price the next buyer pays. It is safer to buy a flat that also makes sense as a flat to let if the sale does not work out.

Wondering which flat to buy with resale or letting in mind? See our page for investors or book a free consultation. In most cases there is no commission for you – our fee is usually paid by the developer.

Legal position as of October 2026. This article is for information only and does not constitute legal or tax advice or an investment recommendation. The tax treatment of a specific transaction is worth confirming with a tax adviser or in an individual tax ruling.

Read also:

Sources

Act on the protection of the buyer of a residential unit or single-family house and on the Developer Guarantee Fund – consolidated text, Journal of Laws 2026 item 880 (Art. 37a).
Personal Income Tax Act – consolidated text, Journal of Laws 2026 item 592 (Art. 10(1)(7) and (8), Art. 30e).
Act on tax on civil law transactions – consolidated text, Journal of Laws 2026 item 191.
podatki.gov.pl – disposal of real property.
Individual tax ruling of the Director of National Tax Information (KIS) of 26 May 2025, ref. 0114-KDWP.4011.32.2025.1.ASZ (income from assignment of rights under a developer agreement – tax scale).
Offer data: TM Invest development catalogue as of October 2026.