Authored by the expert who managed and guided the team behind the Czechia Property Pack
Yes, the analysis of Prague's property market is included in our pack
Wondering what rental yields you can actually expect in Prague right now?
This guide breaks down gross and net yields, neighborhood variations, and the real costs that eat into your returns.
We update this article regularly to reflect the latest Prague property market conditions.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Prague.
Insights
- Prague's gross rental yield sits around 3.6% in January 2026, which is notably lower than many Central European capitals because property prices have outpaced rent growth over recent years.
- The gap between gross and net yields in Prague is roughly one percentage point, mainly driven by building fees, vacancy, and maintenance rather than property taxes.
- Studios and compact one-bedroom apartments in Prague deliver the highest yields, often reaching 4% to 4.6% gross, because smaller units command higher rent per square meter.
- Prague's outer districts like Letňany, Vysočany, and Strašnice consistently outperform central areas on yield because purchase prices remain more accessible while rents stay solid.
- Prime neighborhoods like Old Town and Vinohrady show yields as low as 2.6% to 3%, since investor demand pushes prices up faster than rents can follow.
- Prague's residential vacancy rate hovers around 3.5%, which is tight by European standards and means well-located properties re-let quickly.
- The upcoming Metro Line D and airport rail connection are expected to lift rents in South Prague and Prague 6 catchment areas once operational.
- Full-service property management in Prague typically costs 8% to 12% of monthly rent, plus a tenant-placement fee equivalent to about one month's rent.
- Prague landlords should budget roughly 0.5% to 1% of property value annually for maintenance and repairs, with older buildings requiring more.
- A "good" gross yield in Prague starts at 4% or above, which puts you in the top quartile of the market and is achievable in value-oriented districts.
What are the rental yields in Prague as of 2026?
What's the average gross rental yield in Prague as of 2026?
As of early 2026, the average gross rental yield for residential property in Prague is around 3.6% per year, which reflects the city's status as a high-demand, high-price market.
Most typical rental properties in Prague fall within a gross yield range of roughly 3% to 4.5%, depending on location, property type, and unit size.
Compared to national Czech averages, Prague's yields tend to be lower because property prices in the capital have risen faster than rents, compressing returns relative to smaller cities.
The single most important factor influencing gross rental yields in Prague right now is the high purchase price per square meter, which keeps pushing yields down even as rents remain strong.
What's the average net rental yield in Prague as of 2026?
As of early 2026, the average net rental yield in Prague is approximately 2.6% per year after accounting for typical landlord costs and vacancy.
The typical difference between gross and net yields in Prague is around 0.9 to 1.2 percentage points, which represents the real cost of owning and managing a rental property.
In Prague specifically, building and HOA fees (called SVJ contributions) tend to be the expense category that most significantly reduces gross yield to net yield, especially in older apartment buildings with ongoing maintenance needs.
Most standard investment properties in Prague deliver net yields in the 2.2% to 3% range, with the variation depending mainly on how well you control costs and minimize vacancy.
By the way, you will find much more detailed rent ranges in our property pack covering the real estate market in Prague.
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What yield is considered "good" in Prague in 2026?
In Prague's rental market, a gross yield of 4% or higher is generally considered "good" by local investors, as it puts you meaningfully above the citywide average.
The threshold that separates average-performing properties from high-performing ones in Prague is roughly 4% gross, with anything above that placing you in the top quartile of investment returns.
How much do yields vary by neighborhood in Prague as of 2026?
As of early 2026, the spread in gross rental yields between Prague's highest-yield and lowest-yield neighborhoods is roughly 2 percentage points, ranging from about 2.6% to 4.6%.
The highest rental yields in Prague are typically found in more affordable outer districts like Prague 9 (Letňany, Vysočany), Prague 10 (Strašnice, Hostivař), and parts of Prague 4 (Chodov, Háje), where purchase prices remain accessible but renter demand stays steady.
The lowest rental yields in Prague appear in prime central and prestige inner districts like Prague 1 (Old Town, Malá Strana, Josefov), Prague 2 (Vinohrady, New Town), and Prague 6 (Dejvice), where property prices are highest.
The main reason yields vary so much across Prague neighborhoods is that central property prices have risen faster than rents, so buyers pay a premium for location that doesn't translate into proportionally higher rental income.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Prague.
How much do yields vary by property type in Prague as of 2026?
As of early 2026, gross rental yields in Prague range from about 2.6% to 4.6% depending on property type, with the biggest driver being unit size and layout rather than building style.
Studios and efficient one-bedroom apartments currently deliver the highest average gross rental yields in Prague, typically reaching 3.8% to 4.6%, because they attract the deepest pool of renters and command higher rent per square meter.
Large premium apartments, townhouses, and family villas tend to deliver the lowest average gross rental yields in Prague, often falling in the 2.6% to 3.4% range, because their purchase prices rise faster than the rents they can command.
The key reason yields differ between property types in Prague is that smaller units achieve higher rent per square meter, while larger properties spread rental income across more expensive floor space.
By the way, you might want to read the following:
What's the typical vacancy rate in Prague as of 2026?
As of early 2026, the estimated average residential vacancy rate in Prague is around 3.5%, which represents normal turnover and re-letting time rather than structural oversupply.
Vacancy rates across Prague neighborhoods range from near-zero in high-demand areas with modern rental stock to roughly 5% to 6% in less connected or less desirable pockets.
The main factor currently keeping Prague's vacancy rates low is strong renter demand from young professionals, expats, and students, combined with limited new supply reaching the market each year.
Compared to national Czech averages, Prague's vacancy rate is tighter because the capital attracts more migration and offers more employment opportunities than regional cities.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Prague.
What's the rent-to-price ratio in Prague as of 2026?
As of early 2026, the average rent-to-price ratio in Prague is approximately 0.30% per month, which translates to about 3.6% annually and means it takes roughly 28 years of rent to equal the purchase price.
A rent-to-price ratio above 0.33% monthly (or 4% annually) is generally considered favorable for buy-to-let investors in Prague, and this ratio is essentially another way of expressing the gross rental yield.
Compared to other Central European capitals, Prague's rent-to-price ratio is relatively compressed, meaning investors pay more upfront relative to the rent they receive than in cities like Budapest or Warsaw.
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Which neighborhoods and micro-areas in Prague give the best yields as of 2026?
Where are the highest-yield areas in Prague as of 2026?
As of early 2026, the highest-yield neighborhoods in Prague include Letňany and Vysočany in Prague 9, Strašnice and Hostivař in Prague 10, and Chodov and Háje in Prague 4.
In these top-performing areas, investors can expect average gross rental yields in the range of 4% to 4.6%, which is meaningfully above the Prague citywide average.
What these high-yield Prague neighborhoods share is relatively accessible purchase prices combined with solid renter demand, thanks to good public transport connections and nearby employment centers.
You'll find a much more detailed analysis of the areas with high profitability potential in our property pack covering the real estate market in Prague.
Where are the lowest-yield areas in Prague as of 2026?
As of early 2026, the lowest-yield neighborhoods in Prague are Old Town (Staré Město), Malá Strana, and Josefov in Prague 1, along with Vinohrady in Prague 2 and parts of Dejvice in Prague 6.
In these premium areas, gross rental yields typically fall in the 2.6% to 3.2% range, which is well below the citywide average despite strong rents.
The main reason yields are compressed in these Prague neighborhoods is that investor and owner-occupier demand has pushed property prices to levels where rents simply cannot keep pace.
Buying a property in a low-yield area is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Prague.
Which areas have the lowest vacancy in Prague as of 2026?
As of early 2026, the Prague neighborhoods with the lowest residential vacancy rates include Karlín in Prague 8, Vinohrady in Prague 2, and Smíchov (near Anděl) in Prague 5.
In these low-vacancy areas, vacancy rates often sit below 2%, meaning units re-let within days or weeks rather than months.
The main demand driver keeping vacancy low in these Prague areas is the combination of excellent metro and tram access, walkable amenities, and strong appeal to young professionals and expats.
The trade-off investors typically face when targeting these low-vacancy neighborhoods is that purchase prices are higher, which compresses yields even though occupancy is nearly guaranteed.
Which areas have the most renter demand in Prague right now?
The Prague neighborhoods currently experiencing the strongest renter demand include Karlín in Prague 8, Holešovice in Prague 7, and Smíchov in Prague 5, all of which combine lifestyle appeal with excellent transport links.
The typical renter profile driving demand in these areas is young professionals aged 25 to 40, including both Czech workers and expats employed in tech, finance, and creative industries.
In these high-demand Prague neighborhoods, well-priced rental listings often receive multiple inquiries within the first week and can be filled in under two weeks.
If you want to optimize your cashflow, you can read our complete guide on how to buy and rent out in Prague.
Which upcoming projects could boost rents and rental yields in Prague as of 2026?
As of early 2026, the top three infrastructure projects expected to boost rents in Prague are the Metro Line D extension, the Prague airport rail connection (Prague-Kladno upgrades), and major brownfield redevelopment initiatives across the city.
The neighborhoods most likely to benefit from these projects include Pankrác, Krč, and Libuš along the Metro D corridor, plus Prague 6 catchments near the improved airport rail line.
Once these projects are operational, investors might realistically expect rent increases of 5% to 15% in directly affected micro-areas, though the timing depends on construction completion schedules.
You'll find our latest property market analysis about Prague here.
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What property type should I buy for renting in Prague as of 2026?
Between studios and larger units in Prague, which performs best in 2026?
As of early 2026, studios and compact one-bedroom apartments outperform larger units in Prague in terms of both rental yield and occupancy speed.
Studios in Prague typically achieve gross rental yields of 3.8% to 4.6% (around CZK 19,000 to 21,000 monthly rent, or roughly 750 to 830 EUR / 780 to 870 USD), while larger two-bedroom units tend to yield 3.2% to 4% (CZK 25,000 to 32,000 monthly, or about 990 to 1,265 EUR / 1,040 to 1,330 USD).
The main factor explaining why smaller units outperform in Prague is that studios attract a bigger pool of renters, including students, young professionals, and singles, and they command higher rent per square meter.
However, larger family apartments can be the better investment choice if you target stable, long-term tenants like families with children who tend to stay longer and cause less turnover.
What property types are in most demand in Prague as of 2026?
As of early 2026, well-located apartments with good transit access are the most in-demand property type for renters in Prague.
The top three property types ranked by current tenant demand in Prague are: first, move-in ready one-bedroom apartments near metro stations; second, modern studios in inner-city districts; and third, practical two-bedroom family flats in well-serviced neighborhoods.
The primary demographic trend driving this demand pattern in Prague is the growing population of young professionals and expats who prioritize location, transport, and convenience over space.
Large detached houses and villas on the city's outskirts are currently underperforming in rental demand and will likely remain so, as Prague renters generally prefer urban connectivity over suburban space.
What unit size has the best yield per m² in Prague as of 2026?
As of early 2026, the unit size range delivering the best gross rental yield per square meter in Prague is between 25 and 45 square meters, which covers studios and compact one-bedroom apartments.
For this optimal unit size in Prague, typical gross rental yield per square meter translates to roughly CZK 450 to 500 monthly rent per m² (about 18 to 20 EUR / 19 to 21 USD per m² per month).
Smaller micro-studios under 25 m² can feel too cramped for many tenants, while larger units above 60 m² spread the rental income across more floor space, which dilutes the yield per square meter.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Prague.
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What costs cut my net yield in Prague as of 2026?
What are typical property taxes and recurring local fees in Prague as of 2026?
As of early 2026, the annual property tax for a typical rental apartment in Prague is usually modest, often ranging from CZK 1,500 to 4,000 per year (roughly 60 to 160 EUR / 65 to 170 USD), because the tax is based on floor area and coefficients rather than market value.
Other recurring local fees landlords must budget for in Prague include building or HOA contributions (SVJ fees), which can range from CZK 1,500 to 4,000 monthly (60 to 160 EUR / 65 to 170 USD) depending on building age, services, and planned repairs.
Combined, property taxes and building fees typically represent around 5% to 15% of gross rental income in Prague, with the building fees usually being the larger component.
By the way, we cover all the hidden fees and taxes in our property pack covering the real estate market in Prague.
What insurance, maintenance, and annual repair costs should landlords budget in Prague right now?
Annual landlord insurance for a typical rental apartment in Prague costs roughly CZK 3,000 to 6,000 per year (about 120 to 240 EUR / 125 to 250 USD), with higher premiums if you rent furnished.
A recommended annual maintenance and repair budget in Prague is around 0.5% to 1% of property value, which for a CZK 5 million apartment means setting aside CZK 25,000 to 50,000 yearly (roughly 1,000 to 2,000 EUR / 1,050 to 2,100 USD).
The type of repair expense that most commonly catches Prague landlords off guard is major building-wide works funded through special SVJ assessments, such as facade repairs, elevator upgrades, or pipe replacements in older panel buildings.
In total, landlords in Prague should realistically budget CZK 30,000 to 60,000 annually (1,200 to 2,400 EUR / 1,250 to 2,500 USD) for insurance, maintenance, and a repair reserve combined.
Which utilities do landlords typically pay, and what do they cost in Prague right now?
In Prague long-term rentals, tenants typically pay usage-based utilities like electricity and gas directly, while landlords cover certain building-level costs embedded in SVJ fees, with the exact split depending on the lease agreement.
For landlord-paid items (mainly building-level contributions before tenant reconciliation), expect a baseline of roughly CZK 1,500 to 3,000 monthly (60 to 120 EUR / 65 to 125 USD), though this varies significantly by building and services included.
What does full-service property management cost, including leasing, in Prague as of 2026?
As of early 2026, full-service property management in Prague typically costs 8% to 12% of monthly rent, which for a CZK 20,000 monthly rent means roughly CZK 1,600 to 2,400 per month (65 to 95 EUR / 70 to 100 USD).
On top of ongoing management fees, tenant-placement or leasing fees in Prague usually run about one month's rent (CZK 20,000 or roughly 790 EUR / 830 USD for that example), charged each time a new tenant is found.
What's a realistic vacancy buffer in Prague as of 2026?
As of early 2026, landlords in Prague should set aside roughly 4% to 8% of annual rental income as a vacancy buffer, depending on location and property quality.
In practical terms, this means budgeting for about 2 to 4 weeks of vacancy per year in well-located areas, or up to 4 to 6 weeks in less desirable spots or during tenant transitions.
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Prague, we always rely on the strongest methodology we can, and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Czech National Bank (housing market cycle) | It's the Czech central bank, and it publishes data-backed analysis on prices and risks. | We used it to anchor the price momentum backdrop going into January 2026. We then used that growth context to update transaction-price estimates to a current viewpoint. |
| Czech National Bank (house prices and CPI) | It's CNB again, and this page explains how housing costs relate to inflation and ownership costs. | We used it to explain why costs of owning matter for net yield. We also used it to justify the standard landlord-cost buckets we subtract when estimating net yield. |
| Czech Statistical Office (CZSO) | CZSO is the official national statistics agency, and this is its dedicated housing price release. | We used it as an official baseline for Prague price levels by square meter. We then used it to sanity-check that our January 2026 price assumptions are in the right ballpark. |
| Deloitte Rent Index | Deloitte is a top-tier consultancy and this index is transparent about being a quarterly, data-driven rent-per-square-meter view. | We used it as the main rent numerator for gross yield in Prague. We also used its Prague district references to discuss neighborhood yield dispersion. |
| Deloitte Real Index | It's based on realized sales registered in the Real Estate Cadastre, not just asking prices, which is a big credibility boost. | We used it as the main price denominator for gross yield and the price level story in Prague. We then updated it forward to January 2026 using CNB-reported price growth. |
| Savills Research (Prague Rental Housing) | Savills is a major global real estate research house, and this is a structured research PDF. | We used it to describe demand strength and why institutional rental in Prague runs at very high occupancy. We also used it to support our vacancy assumptions. |
| Savills (news summary) | It's a first-party Savills channel that summarizes their own Prague rental research. | We used it for the concrete BTR stock count and concentration by Prague districts. We then linked those concentrations to likely stronger renter demand pockets. |
| CBRE Czech Republic (Prague Living Figures) | CBRE is one of the biggest global property research firms, and this is a Czech-market research page. | We used it to support the supply pipeline narrative and market activity context. We then used that supply context to explain why vacancy stays tight. |
| Global Property Guide | It's a long-running international property data publisher that shows its yield math openly by unit type and area. | We used it as a third-party cross-check on our yield estimates and neighborhood spread. We also used it to illustrate how size affects yields. |
| Government portal (portal.gov.cz) | This is an official Czech government portal explaining the tax base and rates at a high level. | We used it to define what the annual property tax is actually based on. We then used that structure to explain why the tax usually has a small impact on net yields. |
| Financial Administration (Finanční správa) | It's the official tax authority site, so it's the source of truth for tax administration. | We used it to support the practical "this tax exists" part of landlord costs. We then kept our tax-impact estimate conservative because official pages focus on rules, not typical bills. |
| RSM Czech | RSM is a global tax and audit network, and their Czech guide is meant for real compliance understanding. | We used it to reinforce how municipal coefficients can change the bill and why location matters. We then translated that into a simple order-of-magnitude impact on net yield. |
| Eurostat (Housing in Europe) | Eurostat is the EU's official statistics body, useful for cross-country context and definitions. | We used it for framing Prague within the EU housing system. We then used it only for context, not for Prague's exact yield math. |
| IPR Praha | It's the City of Prague's planning and development institute, so it's authoritative on major urban projects. | We used it to support the pipeline of transformation areas story. We then linked those areas to where rents can get a lift as infrastructure arrives. |
| Správa železnic | It's the Czech railway infrastructure manager, so it's the official source for rail projects. | We used it to confirm the airport rail connection is a real, active project. We then highlighted which parts of Prague could benefit from improved connectivity. |
| European Investment Bank | The EIB is an international public institution with formal project documentation. | We used it to corroborate scope and seriousness of the airport rail scheme. We then treated it as a timeline and credibility check when discussing rent uplift catalysts. |
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