Czech housing prices surge, affordability worsens across regions

According to OECD data, Czech housing costs have risen 58% since 2015, placing the country seventh among OECD members for price growth. Median house prices now exceed eight times average earnings, with the gap especially pronounced in Prague where market prices range from CZK 10‑12 million while a financially sustainable purchase price is around CZK 6 million.

A recent report from the Czech National Bank shows that while overall price growth remains double‑digit in Q1 2026, the tempo is expected to slow in the most expensive markets such as Prague and Brno. The rise is driven by low unemployment, rapidly increasing household incomes, and limited new construction. Regional disparities persist: the Ústí nad Labem region remains comparatively affordable, whereas the South‑Moravian region and Central Bohemia also face high price‑to‑income ratios. Young families and first‑time buyers are the most affected, heightening concerns over long‑term housing accessibility.

The report also notes that broader macro‑economic factors, including higher construction costs, restrictive zoning, and limited land availability, continue to constrain supply, reinforcing the affordability challenge nationwide.