Nearly one in six flats sold in in the Czech Republic is purchased by an investor, according to Maxima Reality’s director Vladimír Zuzák. “From an investment point of view, this is an ideal time to buy real estate in locations that are on the rise,” he says, claiming that 15 percent of all buyers have no intention of living in the space they buy, while some developers report the number to be as high as 30 percent. “Investing in real estate has always been popular, but the times are turbulent now and money is cheap,” Martin Fojtík from Fincentrum Reality told Hospodářské noviny. Cheap mortgages are driving demand for residential space, as the average interest rate has fallen to just 2.37 percent at the same time as the fall in prices has halted and are rising in some locations.
