House prices up 12 percent last year, rental housing up 10 percent in some regions

25. 2. 2026
15 min. reading
This continues to boost activity, although not at the rapid pace seen in 2023-2024.
The real estate market in the Czech Republic maintained its growth rate last year, with year-on-year sales increasing by 11 percent. This continues to boost activity, although not at the rapid pace seen between 2023 and 2024. Property prices rose by 12 per cent on average nationwide. The mortgage market grew by 41 per cent last year and was the second strongest on record in terms of volume, but the number of new mortgages also grew by 23 per cent, according to statistics from the Czech Banking Association and Flat Zone.
Activity on the real estate market is driven by Prague, for older buildings also the Ústí nad Labem region

Real estate sales increased by 11 percent overall, with 6,500 more flats and family houses sold than in the previous year. This continued a trend that has been going on since the beginning of 2023, only at a slower pace. Sales of older housing developments increased by 12 percent. Most sales were in Prague and the Ústí nad Labem region. Most new flats were sold in the capital, South Moravia and Central Bohemia. At the end of last year, almost 17,500 new flats were available for sale by developers, and in all regions except Prague the supply of new flats increased compared to 2024. Activity on the market for detached houses rose by 4 per cent, with the strongest growth in the Central Bohemia Region.

"Also in 2025, the basic problem of the Czech housing market was the fact that little is being built in places where there is a high long-term demand. That is, in Prague, Brno and the surroundings of these two metropolises, and in regional cities. The availability of housing will increase if new construction takes place faster, more predictably and especially where people are moving to," says Milan Roček, managing director of Flat Zone.
House prices continued to grow strongly

Older housing construction became the most expensive, on average by 18 percent nationwide. The rate was the same in the capital city, while it was one percentage point lower in the regions. Prices rose the most in Prague, Central Bohemia and South Moravia. The prices of new-builds rose by 9 percent for first-time sales, while the national average for resales of new-builds was 13 percent, the same as in Prague. Single-family homes rose in price by 14 percent on average.
Rental housing prices are also rising

Rental housing prices rose last year most often at a rate of between 4 and 6 percent, but in some regions by as much as 10 percent, most notably in the Moravian-Silesian Region. In the regions, excluding Prague, over 18,500 apartments are available for long-term rent, an increase in supply of almost 7,000 apartments. The situation in the capital is more complicated, with over 5 thousand apartments available, which is roughly 500 fewer than in 2024. Rental prices in Prague rose by 4 to 12 percent, depending on the location and the share of new buildings offered for rent. Traditionally, the most expensive rents are in the city centre and the surrounding area.
Property sales boosted by strong mortgage market growth

The total volume of new mortgages in 2025 reached CZK 321 billion, up 41 per cent year-on-year and the second strongest year in the 30-year history of the mortgage market. Together with refinanced loans worth CZK 85 billion, the total volume of the mortgage market reached CZK 406 billion. Even after taking into account the rise in house prices, the real growth of the new mortgage market was still very strong, for example in terms of the increase to 3.8 per cent of GDP from 2.6 per cent in 2024. The narrative of a strong recovery is also illustrated by the increase in the number of new mortgages by almost a quarter to 76,000 in 2025, accompanied by an almost 15 per cent increase in the average mortgage amount to CZK 4.21 million in 2025.
"The availability of housing in the Czech Republic is hampered by high property prices and the associated mortgage amount, which reached a new average high of almost CZK 4.5 million at the end of last year. This is also linked to the average monthly mortgage payment, which is less than CZK 22,800.Compared to 2024, this is roughly 8.6 per cent more and therefore exceeds last year's increase in the average nominal wage," says Jaromír Šindel, chief economist at the Czech Banking Association.

The end of last year and the beginning of this year point to further strong development of the mortgage market this year, although the strength of the recovery will face a renewed deterioration in the price-to-income ratio of households, as well as stricter CNB selected criteria, while its interest rate policy is likely to remain supportive. Regional comparisons point to a relatively milder impact of the recovery in the Czech mortgage market on house prices.
Open price scissors between metropolises and rural areas

Housing affordability in the Czech Republic varies significantly by region. The latest analysis by Flat Zone shows that older flats in the two largest agglomerations - Prague and Brno - are on average three times more expensive than in small towns with fewer than 10,000 inhabitants and about twice as expensive as in other larger cities. A similar trend is also evident for family houses, where the difference between metropolitan and rural areas is almost four times as high on average.
Real estate fund in the Czech Republic

There are almost 2 million privately owned flats and over 2.1 million family houses in the Czech Republic. Over 614 thousand flats are in brick houses, of which there are around 133 thousand. More than one million privately owned flats are in about 70 thousand prefabricated houses, located mainly in large cities. Housing projects built after the end of the "panel era" since the mid-1990s represent the smallest share of the Czech housing stock. There are approximately 18,000 buildings with over 305,000 flats. They are mainly in the largest cities, almost 80 percent of them are in Prague and regional cities.
Prices of apartments and houses? This is no longer normal, buyers often say now
The real estate market in the Czech Republic is accelerating again. The number of sales is growing, and property prices and rents are rising. What do experts say about the development and what the future holds for the rental market?

Take a look at the FOCUS CBA record on the real estate market.
TZ: Ceny nemovitostí 2025
Prezentace: Ceny nemovitostí 2025