Apartment Prices in Prague Increased by 9.4%
Currently, the real estate market in the capital city is experiencing rapid active growth, which certainly makes investors happy. The current situation is mainly due to record demand, relatively low supply and affordable mortgages.
According to official data from Trigema, Central Group and Skanska Reality, companies engaged in property development, the average apartment price in Prague increased in June by 9.4% and amounted to 118 480 Czech crowns per square metre.
According to the development companies, apartments with a 1+kt layout became significantly more expensive and reached 128 278 Czech crowns per square metre. Large five-room properties come in second place in terms of price, with an average price of 123 823 Czech crowns per square metre. The prices of apartments with a layout of 2+kt are around 116 848 Czech crowns per square metre, and for an average apartment with a layout of 3+kt, buyers today pay 113 079 Czech crowns. Four-bedroom apartments in Prague currently cost around 116 315 Czech crowns per square metre.
The head of Central Group noted that record sales of properties have been observed over the last 9 months. Demand is increasing due to cheap mortgages and fear of people losing their savings due to inflation. Dusan Kunovsky also added that in new complexes most apartments are sold almost immediately - right after the sales start. In the last six months, 4,750 new properties have been sold in Prague, which is double last year's result. The biggest interest is in two- and three-room apartments. According to analysts, this growth will continue because demand far exceeds supply, building permits take too long to issue and investors consider investing in real estate one of the most sensible and safest ways to preserve and increase their savings.
