The Prague property market: prices, neighbourhoods and conditions for buying

Price per m², price trends, interest rates and Czech National Bank lending rules: what you need to know before buying in Prague.

The Remoters editorial team

Published on

16 May 2024

Updated on

6 October 2026

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Prague is by far the most expensive property market in the Czech Republic. According to the Czech statistical office (ČSÚ), which uses sale prices recorded in the land registry, an apartment there sold for an average of 131,520 koruna per square metre in 2025, or about €5,400 at the Czech National Bank rate of 5 October 2026 (24.46 koruna to the euro). Detached houses sold for an average of 119,239 koruna per square metre. In the other regions, the average apartment price remains well below.

Prices are still rising. The Czech National Bank (ČNB) noted in June 2026 that residential property prices had risen by about 10% over one year throughout 2025, with the volume of new mortgages above its long-term average. In its spring 2026 financial stability report, it notes that the rise is slowing, without stopping, and it considers apartments overvalued.

This guide takes stock of prices, the cost of credit, the rules that apply to buyers and the neighbourhoods to know.

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What an apartment costs in Prague

At the average price recorded by the ČSÚ for 2025, a 60 m² apartment comes to about 7.9 million koruna, or nearly €323,000. This figure is an average across the whole city: the gap is large between a renovated older apartment in a central neighbourhood and a home further from the centre. Prague is divided into numbered districts, from Prague 1 to Prague 22, and prices broadly follow distance from the centre and the quality of transport links.

Two points weigh on a foreign buyer's budget:

The currency: the Czech Republic has not adopted the euro. Prices, rents and local loans are in koruna, and changes in the exchange rate alter the real cost of your purchase if your income is in euros.
The cost of credit: the ČNB raised its key rate (two-week repo rate) by 0.25 points, to 3.75%, effective 19 June 2026, and held it at that level on 17 September 2026. Mortgage rates follow this direction.

The Czech National Bank's lending rules

The ČNB regulates mortgage lending through limits that banks apply to all borrowers:

Main residence: the loan amount cannot exceed 80% of the property's value (LTV), or 90% for a borrower under 36. The limit was maintained in June 2026.
Buy-to-let: since 1 April 2026, the ČNB recommends that lenders apply an LTV of 70% and a debt-to-income (DTI) ratio of 7 to so-called investment loans, that is, for buying a property to rent out or a third or further home.
Repayment test: the central bank recommends that banks check that the borrower could still repay with a rate 2 points higher and higher living costs.

In practice, plan for a deposit of at least 20% of the price for a main residence, and 30% for a buy-to-let financed in the Czech Republic, to which are added lawyer's fees, any agency commission and translation costs.

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Neighbourhoods to know

Vinohrady (Prague 2): Art Nouveau architecture, parks, cafés and metro line A. The area most sought after by foreigners, with high prices and rents.
Karlín (Prague 8): heavily transformed in recent years, with a young, international population and rising rents.
Holešovice (Prague 7): an area in transition, valued for its cultural venues, with mid-range rents.
Smíchov (Prague 5): a good balance between access and amenities.
Dejvice and Bubeneč (Prague 6): residential, quiet and green, close to the universities and embassies, popular with families.
Žižkov (Prague 3): more affordable, with a bohemian feel and nightlife.
Prague 9 and Prague 10 (Vysočany, Prosek, Strašnice, Vršovice): the most accessible areas, well connected to the centre by metro and tram.

Buying to let: what rents tell you

The Prague rental market is tight, with an estimated vacancy rate below 4%, and below 2% in Vinohrady and Karlín. A one-bedroom apartment rents for between €800 and €1,000 per month in the central districts, and a two-bedroom apartment in the city centre for between CZK 25,000 and 35,000. The standard lease runs for twelve months and the deposit is capped at three months' rent by the Czech Civil Code. Compare these rents with the purchase price, the building's service charges and the cost of your loan before you decide: with rising prices and higher interest rates, the margin has narrowed.

The steps of a smooth purchase

Set your budget in koruna, including your down payment and fees, and get an agreement in principle from your bank before you start viewing.
View in person: never commit on the strength of photos, and do not pay a deposit before you have seen the property.
Have a local lawyer check the property's legal situation: ownership in the land register, mortgages, building service charges, approved works.
Have the contracts translated if they are written in Czech, before signing anything, including the reservation contract.
Plan the transfer of funds and the currency exchange, allowing for the time it takes to register your ownership in the land register.

If you are preparing your purchase from France, a Remoters home finder based in Prague can search for you according to your criteria, view properties, check what needs to be checked with your input and support you through to signing. The first conversation and the quote are free.