Prague flat prices in autumn 2026 and scenarios for 2027

New flats in Prague are being offered at around CZK 188,000 per square metre and older flats at around CZK 160,000, while mortgages are becoming more expensive. Here is an overview of prices by district and market segment, plus three scenarios for 2027.

Flat prices in Prague are still not falling in autumn 2026. According to developer data for the second quarter, new flats were offered at an average of just under CZK 188,000 per square metre. According to the Valuo platform, older flats sold in the third quarter for an average of just under CZK 160,000 per square metre, 7% more than a year earlier. Growth is slowing, however, and mortgage rates have risen by almost one percentage point since the spring. We are therefore heading into 2027 with slowing growth rather than falling prices.

Where Prague flat prices stand at the end of 2026

The most frequently quoted figures come from a joint analysis by three large developers. For the second quarter of 2026, it gives an average asking price for a new flat of CZK 187,781 per square metre. Actual sale prices of new flats rose by 11% year on year to CZK 182,845 per square metre. Around 1,950 new flats were sold in the quarter and about 3,750 over the half-year. According to the developers, this is the third-best half-year since they began tracking the market.

The independent Deloitte Develop Index shows similar results. For the second quarter, it gives CZK 182,700 per square metre and quarter-on-quarter growth of 1.3%. This is slower than in the first quarter, when growth was 2.1%. The developers' and Deloitte's figures for the third quarter had not yet been published at the time of writing. Figures for older flats are already available: Valuo reports CZK 159,605 per square metre for the third quarter. A typical 80-square-metre flat therefore sold for around CZK 12.8 million, compared with roughly CZK 12 million a year earlier.

The various statistics differ depending on what they measure. Asking prices from listings tend to be higher than the prices at which flats actually sell. Data from the Land Registry and from statisticians, on the other hand, are published with a delay. To estimate the value of your own flat, it is therefore worth comparing completed sales in the same building or street rather than looking at the Prague-wide average.

New and older flats: the gap is still significant

The difference between the average asking price of a new-build flat and the price of an older flat is around CZK 28,000 per square metre. Actual sale prices of new flats rose by 11% over the year, while older flats rose by 7% according to Valuo. The slowdown for older flats came mainly in the third quarter, when their prices rose by only about one per cent.

The average, however, hides large differences within the older housing stock. Well-maintained flats in brick buildings in sought-after districts are approaching new-build prices, as they offer higher ceilings, better locations and an established neighbourhood. Flats in their original condition, or in buildings facing costly repairs, are lagging behind. Buyers factor in the cost of renovation and the ever-longer waiting times for tradespeople. Among new flats, it is the small layouts that are rising most in price: according to the developers, 1+kk flats cost on average over CZK 206,000 per square metre, 16% more year on year, and 2+kk flats almost CZK 180,000.

The districts that grew most and those that are stagnating

There are marked differences between Prague's districts. According to the Deloitte Develop Index for the second quarter of 2026, new flats rose most in price in Prague 2, where prices increased by 10% to CZK 265,100 per square metre. Prague 3, by contrast, became slightly cheaper, falling by 1.3% to CZK 193,800. The most affordable new housing remains in Prague 10, where the average is around CZK 167,000 per square metre according to Deloitte and around CZK 159,000 according to the developers. Prague 1 could not be reliably measured due to the small number of flats on offer.

The largest number of new flats is on offer in Prague 5, 9 and 10. These three districts account for over 60% of supply. It is here that the wider choice makes it easier to temper price growth than in the centre, where there is little available land and the uniqueness of a particular building tends to be decisive. Redevelopment areas in the north and east of the city may benefit from combining new construction with an improving neighbourhood.

The impact of interest rates, new-build supply and the Building Act

Interest rates are currently the main brake on the market. In June 2026, the Czech National Bank (ČNB) raised its two-week repo rate to 3.75% and left it unchanged in September. The bank board has stated that at its upcoming meetings it will base its decisions on newly available data and their impact on the inflation outlook. According to the Swiss Life Hypoindex, the average offered mortgage rate in October is 5.79%, compared with 4.89% in March. The monthly repayment on a CZK 3.5 million loan over 25 years has therefore risen by around CZK 1,900 since the spring.

The second factor is supply. At the end of June, around 6,450 new flats were on offer in Prague, 18% more than a quarter earlier. Deloitte points out, however, that the number of development projects has fallen at the same time. New flats are therefore being added mainly in larger projects and in outlying locations.

The third factor is the Building Act (stavební zákon). The President signed a major amendment on 17 September 2026, and most of the changes are due to take effect on 1 January 2027, with some parts later. The amendment is intended to speed up building permits, but it will affect flat prices only after a delay of several years at the earliest, as a flat permitted in 2027 will be completed later. It will therefore have no significant effect on the market next year.

Rents and yields: what investors are doing

After years of growth, rents in Prague fell slightly in the second quarter of 2026. According to the Deloitte Rent Index, they decreased by 0.9% to CZK 462 per square metre per month. The most expensive district is Prague 7 at CZK 493 and the cheapest is Prague 10 at CZK 442. Rents grew fastest in Prague 9. Flats in new-build developments rent for an average of CZK 498 per square metre, and flats in brick buildings for CZK 459.

This results in a low gross yield. If you buy a flat at CZK 160,000 per square metre and let it for CZK 462 per square metre per month, the gross annual yield comes to approximately 3.5%. For a new-build flat at CZK 188,000, it is just under 3%, and even less once maintenance, taxes, management and void periods are deducted. With a mortgage at an interest rate close to 6%, the rent therefore often does not cover the repayment. Investors buying with a loan are today relying mainly on future capital growth. Cash buyers, including foreign ones, are looking more for a safe place to hold capital in Czech crowns in a good location. A foreign investor should also take into account currency risk and tax obligations on rental income in the Czech Republic.

Scenarios for 2027

Outlooks do not predict the future precisely, but they help you prepare. They are based on factors that can already be monitored today.

Baseline scenario: the ČNB holds rates and mortgages remain roughly at their current level. Prices continue to rise, but more slowly than in 2025 and 2026. Flats in good condition and in central districts perform best, and the differences between locations widen. Some analysts expect rates to remain unchanged throughout next year as well.
Restrictive scenario: inflation does not ease, the ČNB raises rates again and mortgage rates exceed 6%. The number of transactions falls and sellers have to accept bigger discounts on asking prices. Prices of average flats on the outskirts and of flats needing renovation may stall for a time.
Easing scenario: inflation slows, markets begin to expect rate cuts and mortgages become cheaper. Pent-up demand returns quickly. As supply in the centre will not increase substantially within a year, prices there may accelerate again.

What this means for sellers and buyers

Sellers today are not dealing at the height of a boom, but in a market where buyers are more cautious. A flat in good condition and with a realistic price generally has the best chance of a quick sale. An inflated asking price, however, will backfire at a time of more expensive mortgages, resulting in a longer time on the market. If you do not need to sell quickly, it makes sense first to compare actual sales nearby and consider whether minor improvements or careful preparation of the flat might bring more than waiting for further growth.

Buyers who are currently renting are not putting off their purchase for long. Those who can finance the purchase from their own funds or with a low loan-to-value ratio are in a better negotiating position today than when flats disappeared from the market within days. If you are taking out a loan, consider the length of the fixed-rate period. A shorter fixation usually comes with a lower interest rate but carries the risk of a higher rate when it is refixed. Investors should calculate the net yield after all costs and treat the rising-rate scenario as a real possibility. We always recommend checking the tax and legal implications with a tax adviser or lawyer, for example regarding rental income, buying from abroad, or selling within a certain period after acquisition.

Frequently asked questions

Will flat prices in Prague fall in 2027? Current data do not suggest a broad decline, as demand remains strong. Slower growth and more pronounced differences between locations and between flats in different condition are more likely. A short-term stall in prices is a risk mainly if the ČNB raises rates again.

Is it still worth buying a flat to let in Prague? Gross yields are currently around 3–3.5%, and net yields are lower. When financing with a mortgage above 5.5%, buying to let pays off only if you are counting on long-term capital growth and have sufficient reserves. For cash investors, it can offer a stable way to hold capital in Czech crowns.

What does the average price per square metre actually measure? It depends on the source. Developers and Deloitte track asking prices of new flats, Valuo tracks prices of older flats, and statisticians and the Land Registry record actual sales. This is why the figures differ by tens of thousands of crowns, and why estimating the value of a specific flat requires comparing similar flats in the same location.

DALILE LIVING can help you estimate your flat's market value based on actual sales nearby, arrange a discreet off-market sale, find an investment flat, or prepare your flat for sale or rental. We would be happy to discuss which of the scenarios described matters most for your situation.