Buying a property in Prague as a foreign investor

[Robin Petrasek]

Hello to everyone who is interested in Prague and Czech real estate market in general.

Since this group is more focused on USA, I would like to grow network of people who are in the local market and are willing to share their experiences. This topic is just to start the conversation, what I am interested is: do you rent long or short term? What do you think of AirBNB and short term rentals in the future? How effected would be Prague if/when the next “crisis” comes in terms of % value downfall? Do you have any specific part of Prague in your favor?

Let me start myself, we operate about 20 long term and 20 short term flats, everything more central is for AirBNB. Speaking of regulations, financial office seems to be happy with their Tax rules they introduced for AirBNB - considered business rather than rental - so I dont expect much restrictions anytime soon, but its important to keep in mind “plan B” when buying a property - that it should be operational also with long-term rentals if any major restriction arrive. Should any crisis arrive, I think Prague would be one of the much less effected cities, since more and more ppl move to Prague from other parts of the world. The percentage of drop I wouldn’t dare to guess, Czech national Bank says the properties are are about 15% “overpriced”. Specific parts of Prague - used to like Zizkov, now think the good value is in Nusle.

Willing to share your experience? :-)