Real Estate Prices in the Czech Republic Rise Again. Prague Confirms Its Position as the Most Expensive Market
- Jan Halik
- 1 day ago
- 2 min read
The past year once again confirmed that the Czech real estate market continues to face strong pressure. Prices of older apartments, rental housing, and family houses all increased, with tenants in Prague traditionally bearing the greatest financial burden. The gap between the capital and the rest of the country continues to widen.
📈 Older Apartments: Double-Digit Growth Continues
Prices of older apartments across the Czech Republic rose year-on-year by an average of 17%, reaching CZK 82,091 per sqm. Although growth in Prague was slightly slower, the city remains by far the most expensive market, with average prices reaching CZK 142,592 per sqm, roughly 60% higher than the national average.
🏙️ Rental Housing: Prague Remains Well Above Average
Apartment rents increased nationwide by around 8%, while in Prague they rose by 7%. More striking than the pace of growth, however, is the difference in the actual amounts tenants pay.
Outside Prague, typical rental rates hover around CZK 272 per sqm, while in the capital they reach approximately CZK 400 per sqm. As a result, rental housing in Prague is almost 50% more expensive than in the rest of the country.
Additional pressure comes from rising prices of sublet rooms, which increased by around 10% year-on-year, disproportionately affecting young people and newly formed households.
🏠 Family Houses, Cottages, and Chalets: Demand Remains Strong
Prices of older family houses increased by 10% year-on-year, reaching an average of CZK 53,129 per sqm. Similar price levels were recorded for cottages and chalets, which sold for an average of CZK 54,510 per sqm.
Smaller recreational properties up to 80 sqm rose in price by 8%, while larger ones increased by 9%, confirming that demand for both owner-occupied and recreational properties remains strong despite the high price levels set during the pandemic period.
🌱 Building Plots: Growth Slowed by Costs and Regulation
Prices of building plots remained relatively stable, rising by just 3% year-on-year to an average of CZK 4,281 per sqm. Prague again saw stronger growth, with plot prices increasing by around 7%.
The slower pace of growth is driven mainly by rising construction costs and stricter energy efficiency standards, which significantly increase the overall cost of new developments. As a result, many investors prefer to purchase older houses and renovate them instead.
🔮 Outlook: Why Prices May Continue to Rise
According to experts, further growth in apartment prices can be expected, especially at the beginning of the year, before stricter rules for investment mortgages come into effect in April 2026. For houses and recreational properties, price growth may stabilize, but a significant decline is unlikely.
Practical Summary
The real estate market remains strong but increasingly demanding in terms of decision-making. Regional differences continue to deepen, Prague confirms its exceptional position, and pressure on prices—especially for apartments and rental housing—shows no sign of easing. In such an environment, the importance of the right strategy, realistic pricing, and professional guidance becomes more evident than ever.
Jan Halík
Real Estate Agent
📞 +420 603 377 791
RE/MAX Atrium
Podolská 811/138
140 00 Praha 4 – Podolí
