Buying property in the Czech Republic is a smart choice whether you’ve been living in CZ for a while or have just recently decided to relocate. Prices of property in the Czech Republic are especially attractive for foreigners coming from the countries, where exchange rates favor their local currency.
1. Investigation and thorough analyses come first. Czech property market has been on a rise for the past few years, however, it’s initial to have a feel for all kinds of properties currently available, most popular and convenient locations and a reasonable price range.
2. Public transport availability seems to be underestimated by foreign buyers. Nevertheless, in big Czech cities, like Prague or Brno, the distance from your property to the nearest metro station or a bus stop can be crucial. Czech public transport system is so efficient, it would be a shame not to make the best of it.
3. Don’t fall for luxury. Czech developers are pushing so-called luxury properties very hard, promising above-average returns on such properties. However, it’s far from the truth, as according to statistics, luxury apartments continuously under-perform.
4. The process of buying property in the Czech Republic is pretty straightforward. However, as a general rule, a limited knowledge of Czech language – or none at all – might give you a sense of insecurity. So the next tip goes: unless you’re fully confident, get an interpreter or assign your Czech-speaking friend to help you.
5. Buying directly from an owner may not be as attractive as it sounds when you’re unfamiliar with the local property market or struggle with the Czech language. Buying through an estate agent, on the other hand, will guarantee transparency and provide you full service from picking the right property to sorting out the legal arrangements smoothly.
6. How to choose a reliable real estate agency? Best case, you get a hint from someone you know and who has been through the process himself. Otherwise, you can perform your own online search, narrow it down to a few options and individually check out the company names. Chances are high you will stumble upon clients’ references, which are usually available through expats forums or related Facebook groups.
7. In case you choose to buy property through an agency, you can demand the contract being translated into English, to assure you fully understand the agreement you’re about to sign.
8. Property owners usually require a maximum deposit of 10% of the total property price. However, 10% is not obligatory. so you may be able to get away with a lower deposit upon your suggestion.
9. Do your research and find out the best ways to transfer the money to the property. One thing is when the money transfer is made from the Czech bank account in local currency. Another story is when you transfer the six-figure payment from a foreign bank account. In such cases, there is a risk of additional fees and unfavorable exchange rates. Better to double check.
10. Keep in mind, the process of registering a new property owner in Czech property register can take up to 60 days.
We saved some great news for last! In January 2016, Foreigners.cz has launched a new service: Apartment Sales. This means you’re in good hands, as we can take care of the whole property purchasing process from A to Z. Don’t hesitate to contact us in case you need a professional advice from real estate experts!