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Rising house prices
Apartment prices are constantly growing in all cities of the Czech Republic. This quarter also saw an increase of about 10% compared to the previous quarter. From the amount of 57,900 CZK per square meter, it is now about 60,700 CZK. They increased the most in Ceske Budejovice and, of course, in Prague. If we want to buy an apartment in the capital, we will pay for it in the order of millions. Here comes out 84 square meters up to 200CZK. Among other cities where the most expensive apartments are located are Brno, Beneshov, Kladno and Mladá Boleslav.
It is very difficult for a young couple to reach a one-bedroom apartment. On the one hand, most often it is necessary to borrow in the bank, but on the other, banks often do not lend, because they do not have enough income. If the wife was on maternity leave with children, that is, only her husband had a certain income, then it is unlikely that he will get an apartment. Just rely on paying the rent. But even this is not the solution to the situation. The rent is often as high as the mortgage payment. Sometimes it will be higher. The standard of living of families is also falling. Often people just work to pay their rent every month. Living with a roommate can also be a solution. A person does not have to pay rent on his own, which leads to an improvement in the financial situation. So live mainly students and those who do not want to tie themselves. But for the family this is quite unacceptable.
What is the reason for this price increase? First of all, since the number of available apartments is small, the demand for them is not satisfied, so there is nothing left except to raise the price. There are also problems with the issuance of building permits, mainly in Prague and other cities. The project for the construction of a new apartment, unfortunately, the law for its execution is long. The problem could persist even in 2020, the next year when high purchase prices for homes are expected, if not a further rise in prices.