Low prices boost foreign investment in czech property

Low prices are boosting foreign investment in Czech property.

Hotspots such as Karlovy Vary, the Czech Republic’s most famous spa town, are the primary targets for buyers.

The town’s economy is driven by tourism, thanks to its large network of natural springs and therepeutic spas built around them. The relatively low prices are igniting interest from overseas, reports Tranio, with holiday homes and accommodation, plus rental properties for tourists leading demand.

"Property here is still undervalued and less expensive than in neighbouring countries such as Austria and Germany. However, real estate agents now report that demand is currently higher from Ukrainian buyers than Russians and the Czechs are also returning now that prices have fallen," reads Tranio's latest report.

"At the same time, Chinese interest in large Czech real estate projects has been growing."

Research is important to determine that investors are getting the best bargain for their buck: pricing in Karlovy Vary is "volatile", adds the broker. "Owners have not yet adapted to the new pricing situation and it’s possible to find two identical apartments in the same building for very different prices."