Slovakia faces housing affordability crisis in major cities

Three Slovak cities—Košice, Bratislava, and Banská Bystrica—have been ranked among the ten least affordable cities for housing in Europe, according to the Deloitte Property Index 2026. In Košice, purchasing a new 70-square-meter apartment requires approximately 15 gross annual salaries, making it the fourth least affordable city in Europe, trailing only Vlora, Prague, and Athens.

Data indicates that new apartment prices in Slovakia rose by 12.5% in 2025, with average offering prices reaching 3,656 euros per square meter. This surge is driven by a significant decline in housing supply; in 2025, only 14,300 new apartments were completed, a 19% decrease from the previous year and nearly 25% below the ten-year average.

Financial experts also warn that real estate is no longer a reliable source of passive income. Analysis from Finax suggests that rental income often fails to cover mortgage repayments. In many cases, investors may need to subsidize a property for up to 20 years before seeing a true profit, as rising property prices and interest rates decouple housing costs from economic reality.