Flat prices in Prague continue to rise, although there has been a slight increase in vacant flats
“The first two autumn months of this year brought with them the most flats since October 2016. During September and October, 1,256 new flats were delivered to the market and the total number of vacant flats increased for the fourth month in a row,” said real estate analyst Deloitte Petr Hana.
The average bid price was the highest at the end of August this year, when it reached 93,500 crowns per square meter. In September and fell slightly. According to Hana, this was due to the fact that some cheaper flats entered the market. The most expensive flats were traditionally sold in Prague 1 in the autumn, where the average price per square meter exceeded 230,000 crowns. On the contrary, in the cheapest Prague 9, prices were more than two thirds lower.
“In the current situation, the price range is increasing. On the one hand, the average offer price is diluted by a larger number of cheaper apartments in projects in Prague 4, 9 or Prague 10. On the other hand, Prague 1, for example, gets higher average prices due to new very expensive However, these are only in two projects, “added Hána.
In September and October, 838 new flats disappeared from the developers’ price lists. He sold the most Central group (116), follow AFI (110), Finep (59), Codeco (57) a Odien Real Estate (51).
“Despite the positive information about a slight increase in vacant flats on the market, the disproportion to the number of projects on offer is alarming for us. Only 32 projects before the exhibition are proof of Prague’s low preparedness,” added Tomáš Kadeřábek, director of the Association of Developers. According to him, the growth in the prices of new flats will not be as significant in the near future as in the last two years.
According to him, with the opening of the gap between apartment prices and real incomes, there are a number of those who will be able to afford a new apartment. The CNB’s actions to limit the provision of mortgages will also have an impact. Over the last two years, new flats in the capital have risen in price by almost half.