Development of realised prices of flats in Prague, %yoy

New flats - first sales (CZSO)

Development of realised prices of flats in Prague, %yoy

(%, yoy)
CBA Commentary
Data from Flat Zone for December 2025 shows an increase in the average transaction price of new Prague apartments on first sale in the fourth quarter of 2025 to CZK 172.7 thousand. This is 2.2% higher than in the previous quarter. Their year-on-year growth then accelerated to 11% after the previous year's 11.3% growth. In 2025, the transaction prices of these new Prague flats at first sale rose by 12.4% y-o-y. Compared to the beginning of this time series of Flat Zone, i.e. compared to the first quarter of 2023, the prices of these Prague apartments in first sale in the fourth quarter of 2025 were 10.3% higher , i.e. in absolute value by approximately 16 thousand EUR. CZK per sqm.
Methodologically different CSO data show an increase of 19.4% in Prague's first sale prices of new flats compared to the first quarter of 2023. Their dynamics thus undercut the average quarterly 2.2% growth recorded since the end of 2019. This resulted in a 13.3% year-on-year growth in the realised price of new apartments in Prague in Q4 2025, while realised prices of older apartments grew by 13.7%. These multiples of realised prices of older flats in Prague reached 1.8 and 2.9.
The CSO data show that in the past year 2025, the average change in realised prices of new flats through first sales in Prague was 14.5% year-on-year (after 1.8% in the previous year) and 14.1% in the case of realised prices of older flats (after 8.4%).
Source of primary data
CZSO, Flat Zone
Note
Realized prices. New apartments - these are the first sales.
In the case of Flat Zone's data, these are transaction prices for first sales of new flats in the (developer-client) relationship at the time of sale.
In the case of CSO data, it is a weighted average of partial results for Prague.
The methodology of the data is therefore different, which causes differences in the dynamics and level of the time series, especially in the short term.
Category
Real estate prices
Data frequency
Quarterly
Comments
Stronger household incomes outpaced house price growth for six quarters
According to the CSO statistics, property prices, which include land and family houses, rose by 2% quarter-on-quarter in the final quarter of 2025. This slowed from the previous average 2.6% increase in the previous four quarters. Although the income side of demand is still lagging, real household incomes accelerated more sharply at 1.4% q-o-q (up nearly 3% in nominal terms) at the end of last year. And so did the household savings rate, which rose to 19.7%. Moreover, both figures were positively revised and there was a slight positive revision to GDP growth in the final quarter of 2025, albeit with more limited effects on the economic outlook.
Higher house prices spark richer debate over central bank macroprudential policy than first appears
Comment by Jaromír Šindel, Chief Economist of the CBA: According to the Czech Statistical Office, realised prices of older flats in the Czech Republic rose by 3.7% quarter-on-quarter in the third quarter, which exceeds income growth for the seventh quarter already and maintains the too brisk annual pace of property prices at around 16%. Higher property prices are also making their way into the CNB's macroprudential capital policy settings, with discussion over the (arguably unscary) possible introduction of a sectoral systemic buffer, as well as less intuitive discussions over the role of investment activity by non-financial corporates in setting the countercyclical capital buffer.
Slight recovery in disposable income was enough for stronger consumption and higher savings, but not for more expensive real estate
Comment by Jaromír Šindel, Chief Economist of the CBA: The recovery in disposable income in Q2 was still dampened by fiscal policy, so it remained weaker compared to the increase in wages and property prices. Nevertheless, households managed to increase both consumption and their savings.
Realised house prices maintained a strong pace in the second quarter
Economic commentary by Jaromír Šindel, Chief Economist of the CBA: I estimate overall growth in realised house prices of 4.2% quarter-on-quarter, which has outpaced wage growth for the sixth quarter in a row.
Decline in transaction prices of flats in the second quarter is related to transactions rather than to a fall in prices
Economic commentary by Jaromir Šindel, Chief Economist of the CBA
Growth of new-build and offer prices of flats remains strong in the second quarter
Economic commentary by Jaromir Šindel, Chief Economist of the CBA