Foreigners to be allowed to buy freehold in the Czech Republic

Mon, 10 Nov 2008 00:00:00 GMT

Foreign investors should be able to buy residential property in the Czech Republic from next May. The Czech government is expected to approve the move, which would allow investors to purchase property on a freehold basis.

At present many foreign investors can only purchase property in the Czech Republic through a business, according to Property Wire.

It is thought that the Czech parliament will vote in favour of the amendment as it is a condition of EU membership that must be enacted within five years of accession. The Czech Republic joined the EU in 2004.

"[Investors] will welcome the amendment. We expect a lot of interest in middle and high end property," said Ondrej Novotný from property consultants King Sturge.

However, due to the current economic climate, a property boom is not expected immediately. "The financial crisis makes any judgement of what will happen in six months difficult. Right now investors are very cautious," said Gabriela Dilhelová from the real estate company Efektim.

Nevertheless, allowing foreigners to buy freehold will bring benefits, claims Jirí Fajkus from Czech real estate agency Real Spektrum. "The amendment will bring the Czech Republic closer to western Europe. The property market will be more mature."

Since the Czech Republic joined the EU, the property buying process has been eased for EU citizens.

According to the Global Property Guide, such investors can purchase real estate in the Czech Republic directly if they have been granted the right to reside in the country. However, the recent announcement will further simplify the procedure.

This story was brought to you by holidaylettings.co.uk, the UK's No.1 holiday home website.

DEGI does second Prague deal

Fri, 22 Aug 2008 00:00:00 GMT

DEGI, part of Aberdeen Property Investors, has bought Andel Palace in Prague for €57m (£45m)...

Real Estate & Property Investment News in Czech Republic from Propertyshowrooms.com

Foreigners to be allowed to buy freehold in the Czech Republic

DEGI does second Prague deal