According to a recent study by a rental management company GarantovanyNajem.cz , the number of apartments rented in Prague is the lowest in the last eight years. Today, about 4,700 objects are offered in the city. For comparison, in 2020, about 15,000 apartments were available in the Czech capital (of course, due to low demand amid the pandemic), in 2014, about 7000.
According to analysts, the volume of supply in the rental market will continue to decline.
Possible reasons for this situation are the recent influx of refugees from Ukraine, as well as the return of tourists to the Czech capital after two years of restrictions related to the pandemic.
Another factor is a sharp reduction in the number of housing loans issued. In April, Czech banks reported that the number of new mortgages decreased by about 40% year-on-year. People began to buy fewer apartments, both for their own living and for investment purposes. Accordingly, fewer objects enter the rental market.
The shortage of apartments for rent provoked an increase in rental rates. According to the real estate portal Realitymix.cz , rents in Prague and Brno have increased by about 18% over the past year. Taking into account the market situation, homeowners are not inclined to sign long-term contracts with tenants in order to be able to raise the rate.
Source: expats cz
