Saturday, 15 March 2025
The prices of older apartments and family houses increased in nearly all regions of the Czech Republic in 2024, driven by rising demand and improving economic conditions. According to an analysis conducted by the EHS, which collects data from Bezrealitka and Maxima offices, only the Karlovy Vary region saw a decline in house prices.
The analysis found that older apartments in good condition experienced a 9% increase, reaching an average price of 100,941 CZK per square meter. Rental prices followed a similar upward trend, rising to 328 CZK per square meter. House prices also saw an increase, rising by 7% throughout the year, ending at an average of 57,902 CZK per square meter. The report attributes these price hikes to improved economic conditions and lower interest rates, which have encouraged the middle class to return to the housing market.
In Prague, apartment prices in good condition saw moderate growth for most of the year, eventually reaching 134,696 CZK per square meter by the end of 2024. This represents a 5% increase quarter-on-quarter and an 8% increase year-on-year. The surge in demand, fueled by an increasing number of buyers, was a key driver behind the price growth. The market for family houses in the capital was divided into two categories: older houses requiring renovation on the outskirts and high-end villas. The average price for family houses in Prague reached 114,280 CZK per square meter, marking a 6% year-on-year increase.
The demand for homeownership that originated in Prague has now extended to the Central Bohemian Region. Interest in apartments in this region has increased significantly, with demand rising by two to five times, particularly in locations offering direct railway connections to Prague and travel times within an hour to the city center. Cities such as Kladno, Beroun, Neratovice, Roudnice nad Labem, Brandýs nad Labem, Lysá nad Labem, and Nymburk saw notable growth in demand. By the end of 2024, apartment prices in the region rose to 84,920 CZK per square meter, reflecting an 11% increase year-on-year and a 5% rise quarter-on-quarter. In contrast, the prices of family houses in the region remained stable at under 70,000 CZK per square meter.
A similar trend was observed in the South Moravian Region, particularly in Brno, where interest in property purchases tripled over the year. Apartment prices remained steady at around 95,000 CZK per square meter throughout the second half of 2024, showing a 16% increase year-on-year and a 13% increase compared to the full-year average. Family house prices in the region fluctuated throughout the year but eventually returned to their starting levels, with the average house priced at 56,822 CZK per square meter at the end of 2024.
Rental prices also increased across major cities. In Prague, rents averaged 401 CZK per square meter, peaking at 412 CZK in December. This represents a 10% year-on-year increase. The Central Bohemian towns experienced similar growth, with rents averaging 290 CZK per square meter and rising to 305 CZK in December. Areas near Prague or along major railway routes saw the most significant rental growth. In Brno and its surrounding areas, rental prices averaged 320 CZK per square meter, with increasing demand in satellite towns such as Tišnov, Kuřim, Blansko, and Vyškov.
Overall, the Czech real estate market saw steady growth in property values and rental rates in 2024, driven by increasing demand and improving economic conditions. As interest rates continue to decline and demand remains strong, further growth is anticipated in the coming year, particularly in well-connected suburban areas.
Source: EHS and CTK
