The new developer act and the Developer Guarantee Fund — how they changed the market
Four years after its enactment and more than three years after coming into force, the 2021 developer act has ceased to be a novelty and has become the foundation of security for housing transactions in Poland. The Developer Guarantee Fund has passed a test in practice — of real bankruptcies and real payouts.
What the act introduced and since when it applies
The Act of 20 May 2021 on the protection of the rights of a buyer of a residential unit or single-family home, together with the DFG, came into force on 1 July 2022 (consolidated text: Dz.U. 2024.695). It replaced the 2011 act. Its three pillars are: a mandatory housing escrow account for every investment, an extended information prospectus, and the DFG. The costs of maintaining the accounts fall on the developer.
The Developer Guarantee Fund: how it works and what it costs
The DFG is a separate account within the Insurance Guarantee Fund, securing the refund of a buyer's funds in the event of the bankruptcy of the developer or the bank, the non-completion of the investment or withdrawal from the contract. The rates (the MRiT regulation of 21 June 2022): 0.45% of payments for an open escrow account and 0.1% for a closed one (maximum limits of 1% and 0.1% respectively). The buyer bears no additional charge — the contribution is calculated and paid by the developer.
A test in practice: protection that actually pays out
Since 2 July 2024, every developer contract concluded from that date has been covered by full DFG protection. The mechanism has passed the test in practice — a case cited in the media, of a buyer who paid in PLN 200,000 before the developer's bankruptcy, ended with a full refund within 55 days (a single case, not aggregated data).
Effects on developers: higher costs and less liquidity
DFG contributions and the more expensive servicing of accounts are a direct cost, passed on in part to prices. More significant is the change in liquidity: with a closed account the developer receives the funds only after ownership has been transferred, which shifts the burden of financing construction onto equity and credit. This rewards well-capitalised entities and raises the barrier to entry for smaller players. For the buyer, the balance is unambiguously favourable.
The 2025 amendments: price transparency and an extension of the contribution
The year 2025 brought two changes. First, an amendment imposing an obligation to publish and update prices (signed by the President on 5 June 2025). Second, from 22 August 2025 the DFG contribution obligation was extended to also cover projects in which sales had begun before 1 July 2022 — closing the gap for older investments being sold off under the new rules.
What this means
For the buyer, protection is now full and proven, and since 2025 it comes with enforced price transparency. For a premium developer, the cost and regulatory rigour have become a permanent part of the model — they must be factored into the price and the liquidity schedule. The price transparency obligation rewards developers with up-to-date, consistent and well-presented data about their offer in one place.
Editorial material by Method Press based on public industry sources, market data and legal acts. Accurate as at the time of publication — data, regulations and deadlines may change.