Last year, the real estate market was largely influenced by three essential factors: the war in Ukraine, high inflation rate and worries about the development of the Czech crown’s exchange rate. That was what made investors consider more carefully what to invest in. The result is an increased interest of the Czechs in purchasing properties abroad.
However, the interest in buying dwellings abroad already increased in 2021, i.e. after the primary shock caused by the Covid-19 pandemic had faded. The idea of holidays at the seaside or in the mountains without having to worry about lockdowns and restrictions, as well as higher flexibility thanks to working from home, helped to boost the foreign property market.
The war in Ukraine caused an increased interest in properties in more distant locations that investors regard as safer due to their geographic positions. The average price for which the Czechs bought properties abroad last year was about EUR 370,000.
Approximately a half of investors opted for dwellings by the sea, while almost 40% of them decided to buy a property in the mountains. At the seaside, Czech clients prefer properties as close to the sea as possible and they mostly intend to use them themselves. In the mountains, they prefer suites as close to the ski lifts as possible and they intend to let them out more often.
The largest interest was in properties in Croatia, especially with regard to their availability and positive political and economic prospects. At the beginning of 2023, Croatia entered the Eurozone and the Schengen Area. The latest data show a year- on-year increase in property prices on the coast of the Adriatic by 12.8%.
Other seaside locations popular with the Czechs are Costa del Sol and Costa Blanca in Spain. The most desired Austrian properties are situated in skiing destinations, such as Schladming, Sölden, Zell am See, Saalbach, Semmerig and Hinterstoder.
Since the beginning of this year, Philip & Frank has been a member of the international network of premium real estate companies, LeadingRE. As a result we can offer and arrange the purchase of properties in more than 70 countries.
If you are interested in investing in properties abroad, please contact us. We will be happy to present the complete programme to you in person, including currently offered premium properties abroad.