Interest in new housing in Brno is rising, the average price per sqm has reached a new maximum

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Brno – Interest in new apartments in Brno increased year-on-year by almost 100 percent in the first quarter of this year. People purchased 479 new apartments, which is comparable to the sales for the entire year of 2023. At the same time, the average asking price per square meter for a new apartment also rose, reaching a new maximum of 134,900 crowns. This was reported by a development company that has been monitoring the market for new constructions over the long term.

"The demand for new constructions is indeed very high. Rising prices and relatively slowly decreasing mortgage rates are not barriers for buyers. The real issue that continues to drive prices upward is the small number of new apartments coming to the market. Currently, there are only just over 1000 available in the Brno market. To improve the housing situation, it would be necessary to construct several times more apartments annually,” said Dalibor Lamka, the company's director.

Interest in new housing in Brno has risen despite another increase in the average asking price per square meter for new housing, which reached 134,900 crowns in the first quarter of this year. This represents a growth of three percent between quarters.

"The faster pace of price growth, compared to what we were used to in the past year, is due to new, more expensive projects released into the market, along with a continued excess demand over the insufficient supply caused by lengthy building permit processes,” Lamka added.

According to him, the supply of new apartments in Brno is stagnating. Since the beginning of the year, 334 new apartments have been added to the market, and at the end of March, there were 1,179 new apartments available in the Brno market. Prices vary in different city parts. In the Brno areas of Kníničky and Brno-střed, interested buyers must pay an average of more than 140,000 crowns per square meter. New apartments are priced less than ten percent below the current average in the city parts of Bystrc, Maloměřice and Obřany, Komín, Černovice, or Brno-south.