Czech Prime Minister Andrej Babis’s plan to lower income taxes risks boosting the prices of homes and other assets, without bringing major benefits for economic recovery from the coronavirus-fueled recession, the country’s budget watchdog said.
Older apartments in the Czech capital are becoming increasingly unavailable. Over the past year, their sale prices grew by nearly 20 percent, Czech Radio has reported. According to data released by the developer Trigema, prices of older apartments in the third quarter of 2019 increased by 18.2 percent year-on-year to CZK 104,864 per square metre.
For years, both rents and real estate prices have been rising quickly and significantly, with rents increasing at a slightly steeper rate. During the volatile first half of 2020, however, house prices seemed unaffected by the pandemic, whereas rents are seeing a declining trend, leading to a 50% year-on-year increase in prospective renters.
Radovan Krejčíř’s luxurious villa in Černošice on V Dubině street, is definitely not on the list of the most desired properties. It has been offered for sale at auctions since 2016, failing to sell yet again on Thursday – now being offered for just one twentieth of the purchase price. The purchase price of the 743 m2 villa is estimated to be 400 million CZK, but on Thursday, the starting bid was set at 21.1 million CZK. The original appraised value was 42.1 million CZK. Despite such a huge depreciation of the property, no one entered the auction. Similar story happened in January this year, when nobody expressed any interest in the starting bid of 28.1 million CZK. The auction
The pandemic hit many markets, but the real estate industry was only minimally impacted. The prices for apartments, land, and houses continue to rise, iDnes.cz reports. In the first 4 months of 2020, prices for flats in Prague and surrounding cities rose approximately by 13% year on year basis, making it the highest growth rate in two years, Expats.cz reports. That brought the prices up to about 65,400 CZK per sqm. Predictably so, the most expensive apartments are located in Prague 1 (159,800 CZK per sqm) and the cheapest can be found in Prague 10 (77,700 CZK per sqm). “The growth rate of house prices slowed down in the second quarter, although flats rose in price in all regions except
Luxurious villa measuring about 1105 m² in Prague’s district of Bubeneč is reported to be for sale by a number of Russian outlets. The price is estimated at half a billion CZK, making it the most expensive house in the Czech Republic. The villa has already made it to Forbes.cz magazine as the priciest villa in the country. It is owned by Julija Romanenko – the wife of Dmitry Romanenko, the ex-representative of the Russian branch-company Lukoil Aviation Czech. It was designed by Clive Christian, a very well-known British designer. In case you are interested in the purchase (we are very jealous of you!) or are curious to know more about the interior, here are some of the details. The
While mortgage interest rates have been dropping in the Czech Republic, they are still almost twice as high as in neighboring countries. Record real estate prices in the Czech Republic have already made housing difficult to afford, and relatively high-interest rates make housing more expensive still.