New housing in Prague rose in price by 18.7%

July 27, 2016

New housing in Prague rose in price by 18.7%

In June 2016 the price of a square meter of new housing in Prague reached €2440. For the year prices rose by 18.7%, in quarterly rate - by 10%.

For the first 6 months of this year were sold 3350 new housings, it's 300 more than a year ago. The number of available offers has decreased by almost one third, and the number of development projects declined by 38%.

The limited supply led to a rise in demand for more expensive properties. Some companies offer hundreds of apartments at a price starting of €2963 per sq. m.

For the period from January to May of 2016 in the capital of the Czech Republic has began the construction of only 515 apartments, it is 65.4% less than last year. In the near future, Prague will not grow in breadth, the city will begin to be built and populated more densely. For comparison: in Warsaw there are under construction 3 times more buildings. The pace of construction in Berlin or Vienna are also much more intense.

This means that the current rise in price of new apartments is not the last – in the future real estate prices in Prague will grow.

Based on the materials of