Are you considering buying an apartment in Prague? As the capital of the Czech Republic, Prague is a popular destination for both tourists and expats.
It’s known for its beautiful architecture, historic landmarks, and vibrant culture. But can you actually buy an apartment in Prague as a foreigner? The answer is yes!
Can foreigners buy property in Prague?
Foreigners are allowed to buy property in Prague and throughout the Czech Republic. However, there are some restrictions to keep in mind.
Non-EU citizens must apply for approval from the Ministry of Foreign Affairs before purchasing property. EU citizens do not need approval.
How much does it cost to buy an apartment in Prague?
The cost of buying an apartment in Prague can vary depending on location, size, and condition. According to Numbeo.com, the average price per square meter for a city center apartment is around 74,000 CZK (approximately $3,300 USD). Outside of the city center, prices drop to around 50,000 CZK (approximately $2,200 USD) per square meter.
What are the additional costs when buying an apartment in Prague?
When buying an apartment in Prague, there are additional costs to consider beyond just the purchase price. These include:
- Property transfer tax: This tax is paid by the buyer and is equal to 4% of the purchase price.
- Real estate agent fees: If you use a real estate agent to help with your purchase, their fees typically range from 2-4% of the purchase price.
- Legal fees: You’ll need a lawyer to handle all of the legal aspects of your purchase. Legal fees vary but can be around 1-2% of the purchase price.
- Mortgage fees: If you need to take out a mortgage to buy your apartment, you’ll need to factor in additional fees such as application fees and appraisal fees.
Where are the best neighborhoods to buy an apartment in Prague?
Prague is divided into several neighborhoods, each with its own unique character and charm. Here are some of the most popular neighborhoods for buying an apartment:
Old Town (Stare Mesto)
Old Town is one of the most popular areas in Prague with tourists. It’s known for its historic landmarks, cobblestone streets, and lively atmosphere. However, it can be quite busy and noisy.
Mala Strana
Mala Strana is located on the opposite side of the river from Old Town. It’s known for its beautiful architecture, quiet streets, and stunning views of Prague Castle.
Vinohrady
Vinohrady is a residential neighborhood known for its beautiful art nouveau buildings and green spaces. It’s popular among expats and young professionals.
Conclusion
Buying an apartment in Prague as a foreigner is possible but requires some additional steps. Make sure to consider all of the additional costs beyond just the purchase price before making your decision. And don’t forget to explore different neighborhoods to find the one that’s right for you!