Real estate market - prices are still high

Prices of apartments for sale are still rising whereas rents have become a little cheaper - the most expensive region is unsurprisingly still Prague, next up is Královéhradecký region.

In Prague, prices have been rising steadily every year, by 2.2 percent in the last quarter of the year and by 8 percent last year. According to the analytical company Flat Zone, new flats are currently being offered in Prague for CZK 116,866 per m2, in all other regions the average offer is CZK 69,054 per m2 of a new apartment. The region with the lowest prices of apartments is the Vysočina Region with CZK 46,080 per m2.

Renting is getting cheaper

However, the development of rents is different. In Prague, the rent is currently offered for average price of CZK 308 per m2 and it is a quarter-on-quarter decrease of 4.3 percent. The decline of prices is clearly due to the significant shift of part of the Airbnb short-term lease market to the long-term market. This shift has caused supply to almost double, which pushes prices down due to increased competition.

Outside the capital city, the cheapest rents are on average in the Moravian-Silesian (163 CZK / m2) and Ústí nad Labem regions (163 CZK / m2), the most expensive rents are in the South Moravian (256 CZK / m2) and Central Bohemian regions (236 CZK / m2).