Real estate firms are expecting record interest in cottages and vacation homes this year

A69: Cottage in the Krkonoš Mountains (photo: Tomáš Balej)

Prague – Interest in renting or buying cottages will be at a record high this year. The main reason is the uncertainty regarding the possibility of summer vacations abroad due to current measures against the spread of the coronavirus. This was communicated to ČTK by representatives of contacted real estate companies. Even now, when apartment sales have almost frozen, the demand for recreational properties, according to them, is not decreasing. However, there are often problems with viewings due to the measures. Some customers are scaling back their demands, and there is also a growing interest in renovating apartment buildings.

"If in the past two or three years we talked about the strong interest in cottages and country houses growing each year, this year we expect record interest. Even now, many prospective buyers are approaching us looking for a cottage to purchase. We have already recorded the first reservations," said the spokesperson for the real estate company Tomáš Hejda. According to him, the priority is cottages that have been renovated, with land, ideally outside the main built-up area of the village.

"In year-on-year comparison, we currently observe equally strong demand for cottages and country houses as we did at the start of last year's main, i.e., spring sales season. Meanwhile, it was precisely in recreational properties where the coronavirus crisis could have delayed the purchase of recreational properties, as they do not constitute the most urgent solution to housing needs. But that is not happening; rather, demand has strengthened," added the regional manager for Prague Jan Martina. He noted that for several years now, a renaissance of Czech country house ownership has been observable. The deteriorated security situation in some coastal destinations, such as Egypt or Tunisia, has also played a role. "We are already observing that prospective buyers are relaxing some of their demands for recreational properties. For instance, we have realized the sales of two cottages that stand on rented municipal land," Martina pointed out.

Manager Hana Kořínková reports a consistently high interest in posted ads for cottages and country houses. "In the first quarter of this year, the number of responses to ads in the category of cottages increased by 48 percent and in the category of country houses by 38 percent. Despite the pandemic, the number of prospective buyers visiting ads for cottages and country houses is not decreasing, although the number of listings may be lower due to high demand," stated Kořínková.

Director Jiří Rájek has not yet registered an increased interest in cottages and country houses, but he expects it given the circumstances. If travel abroad is not possible this summer, the director Vladimír Zuzák also anticipates an increased interest in short-term holiday rentals of cottages in the Czech Republic. "Due to the temporary restriction of free movement, people are postponing viewings until the end of quarantine. Additionally, Finance Minister Alena Schillerová has suggested the elimination of the acquisition tax, which is leading potential buyers to postpone purchasing real estate," added Zuzák.

According to the director of the company Romana Weisera, in extreme cases, there are currently 200 interested parties for one ad, which is definitely uncommon. "Last year, there was enormous interest in recreational properties, and this year we expect an increase of 30 percent. Moreover, there are more cases of clients who are converting cottages or country houses into permanent residences," stated the managing director Andrea Daňhelová.

Director Hendrik Meyer expects a revival of long-term rentals, as this segment temporarily halted after several years of growth last year. "I think it will pick up again now and with even greater intensity. Renting a cottage for an entire year often makes more economic sense than paying for individual overnight stays. Additionally, prices are still favorable and will likely remain so for a while. So far, the increased demand has not been responded to," added Meyer.