MORE ON THE PROS & CONS OF
BUYING IN
THE CZECH
REPUBLIC
We are a specialist
company
which assists foreign buyers locate and purchase property in the South
Bohemia area of the Czech Republic. There
are websites which will tell you that buying a property in the Czech
Republic is difficult. Some will recommend you buy a Czech limited
company
to do so, and that you employ them to run it. None of our clients have
set up a company to purchase their Czech properties and they didn't
need to. We provided advice and local knowledge which enabled them to
buy without problems, we did not tie them in to ongoing management
arrangements. The following are some of our thoughts on the pros and
cons of buying in the Czech Republic, which we share with you for free.
When you engage us, we will give you a more detailed guide to the
process.
The
Pros:
It is in
the very centre of Europe If you look at the map of Europe, you will see how central Czech
Republic is. It sits next to Austria (to South), Germany (West), Poland
(North), and Slovakia (East) It is a member of the
European Union and a growing economy Which means that it enjoys similar conditions as other
European-Union countries, ie no restrictions on travel, business,
banking etc. The currency is not the Euro (yet) but Czech Crowns. The
Crown is currently performing well in difficult economic times, as is
the Czech economy. A sign that this is a place for investment. But the
cost of living is still much
lower than in the UK Generally speaking you will spend about half the UK norm
on food. Restaurants range
from very cheap (a whole menu for £2) to exclusive - but even
here you will usually pay less than in a similar restaurant in the UK. Booze and cigarettes will cost you a
quarter or less. But
anything that comes from a globalised source (cars, computers, white goods etc)
will cost about the same. The cost of public
transport, council tax
and general services is about a 10th of the UK. Builders work for about half the UK
prices, materials range from
cheap (locally sourced) to expensive (luxury imports). The utilities
(electricity etc) are cheaper than the UK, but slowly rising as the
utility companies are being bought up by the multinationals. Properties
range from
unbeliavably cheap to almost UK prices in the (very few!) most
exclusive locations. Some people have made a veritable killing by
coming into the market early (some properties we know locally have
risen literally 1000-fold since the early '90s)- but the boom is
nowhere
over yet!
Unlike other countries (ie Bulgaria) ownership
of property is
easily accessible to EU citizens.
There is a surprisingly huge statistic of second
home- ownership in the Czech
republic. This is a long tradition, as cities and large towns
were always built quite densely, so the better-off middle classes
(aping the Aristocracy with their country chateaus) always had their
country 'Summer villas', the lesser-off ones owned smaller cottages,
the more romantic souls opted for retreats in woods or by the
riversides, the poorer people had to have at least some large
out-of-town allotment with a hut. So unless they actually farm, or live
in a village permanently,
most Czechs have a second home; even people from small towns surrounded
by National parks and forests, such as ours (population 14,000) all go
off for the weekends in 'the country'. Lately, as the nationalised
agriculture has gone back to private ownership and so larger properties
have become available to the market again, townspeople have started
buying and reconstructing huge old farmhouses - the sort that an
Englishman's eyes water over.
Historic towns, cities
and monuments Apart from the magical architectural jewel that is Prague, Czech Republic has many
wonderfully preserved historic towns including those declared
UNESCO world heritage monuments. Castles and chateaux loom high on
hills as you travel through the country, and almost every village has
a surprisingly large church.
Architecturally, you will see Mediaeval, Renaissance and Baroque
buildings, and the larger towns and cities have some fabulous Art
Nouveau architecture. The Baroque is typically ornate and tends
to dominate churches and public monuments, with wonderful statues and
ornaments. Of course there is also urban and industrial blight in
places (see the 'cons' below) Beautiful,
unspoilt landscapes Take the Lake District and cover it in deep forests and
hay-meadows. Surround it by rolling countriside with large fields.And
thread it through with meandering river-ravines or water-meadows.
That's the gist of Bohemian landscape. Northwards and Eastwards, you
get higher peaks with almost Alpine feel, South you get more lakes;
some parts of the country feature dramatic rock-cities or huge
cave-complexes, the only exception is around the river Labe where the
landscape is flat like something out of Norfolk. Again, nothing is
perfect and there are areas spoilt by industrial or modern housing
developments, like anywhere in the world nowadays. But on balance, the
underpopulated Czech Republic has managed to preserve its landscape
better than some. Most
Czechs have a romantic obsession with the countryside.
Travel
to the Czech
Republic
can be extremely cheap if using budget airlines (see how to get herefor more details) or deals
on rail travel. People are now actually commuting London-Prague or
London-Brno, and a new airport at Ceske Budejovice (the home of the
Budweiser Budvar beer) should soon open up further the Southern Bohemia
region to holiday and business travellers. Good
Climate (unless the
global
warming really sets in) is seasonal - hot Summers (in the 30C's), mild
Spring and Autumn, and snowy, cold (can go down to under -10C's) but
blue-sky sunny Winters. Language is
Czech, but English
is now taught as the first foreign language in schools so most
young people (everywhere) and other age groups (in cities and larger
towns) speak English
relatively well. People are
generally very open
and friendly. (for exceptions, see the 'cons') Cosmopolitanatmosphere
prevails in Prague and more exposed places such as our town of Cesky
Krumlov. There are many ex-pats actually living and working in the
Czech Republic - from Britain, Ireland, USA, even Australia. The
Italians are here too, mostly as property developers, designers and
restaurateurs. Other Europeans live here too - and then of course there
are many many tourists. So wherever you go in busy places, you almost
have to listen hard for any Czech spoken! But if you go into small
villages and far-from the madding crowd places, you will have to do
with sign-language, if you don't speak at least German. Education: the
Czechs of all
backgrounds are generally well educated, there is a long tradition of
valuing education above material riches (at least that's been true till
now). If you have family and want to live in the Czech Republic, you
can be assured of high-level international
schools both day and boarding, nursery to university. Health
service is excellent.
Our British friends all get their dental work done here, and you need
not fear any trip to hospital. EU insurance applies. A
fast-growing economy - the Czech economy is one of the fastest
growing economies in Europe and is politically stable. Growing
retail sector - major
international companies are investing here, including some well-known
British names (Tesco and Marks & Spencer), but there are also
excellent Czech companies - you will everything you need here easily. Culture is
something the
average Czech finds as necessary as breathing. It is refreshing to
visit a classical concert, say, and see the hall filled by people of
all classes and ages. Young people spend their lunchbreaks in Prague
lying on the grass in the parks, reading. Theatres and galleries are
always full. And rock concerts are visited by whole families, including
the grannies sometimes. Sport has
always been enjoyed
and practised here to a high standard - as can be seen from the Olympic
and Tennis statistics. Every family goes skiing, rafting, biking, or
walking, children tend to spend several weeks in the Summer in
sport-oriented camps, and at least a week in the Winter skiing with
their school. As
the computers are taking over and the general atmosphere is beginning
to pressurise people into more of a Western style work-ethic, however,
it remains to be seen how long this love of physical exercise will
last.... Love
of fairytales and myths - despite
being ,according to surveys Czechs are the most
atheistic nation in Europe, the Czechs are by nature inclined toward
the spiritual, imaginative and animistic way of
seeing things. They love fairy-tales and like to cling to their various
old rituals that date back to pre-Christian times. Genetically, most
Czechs are, after all, Celts.
The
Cons (but....)
No seaside
Czech Republic
doesn't have a seaside. For a Brit this can prove daunting, unless used
to holidaying or living in mid-France, Austria or Switzerland. Such
travellers know the advantages of the inner-continental climate (less
wind, stable seasons, hot Summers and snowy Winters) and learn to love
the pleasures of running water (river rafting, fishing, lakes)
and the unpopulated, uncrowded landscapes with forests, mountains
and open vistas. Lake Lipno is a vast man-made lake (35 kilometres
long) to the south of the area and is a centre for sailing,
sailboarding and other activities, which attracts many Dutch visitors. Bureaucracy
can prove on
occasion slow and complex if you want to run a business in the Czech
Republic. But for a second home owner this doesn't apply. The process
of buying a home is different to the UK, but relatively simple and
legally watertight. Estate agents are not
geared to the
British market outside Prague and Brno- eg information on
websites and board is only in Czech, or in poorly translated
English/German. You really do need inside knowledge of the locations,
and property price is not always the best guidance. And of course we
will be on hand to help. Customer
services are sometimes
still unprofessional, though the situation is improving all the time.
The
Czechs' generally relaxed attitude can sometimes result in
unreliability (eg timekeeping) Remnants of
industrial and social
blight - of course there are remnants of the country's
Communist past (factory farms and faceless blocks of flats), but
fortunately they are not as in evidence in the area we specialise in
and we know where they are and we will guide you away from them. The
modern faceless blocks are in the retail parks that have sprung up like
mushrooms around towns such as Ceske Budejovice, but then we guess you
might just like to have good DIY store and a local Tesco. British
stag nights (so far
this applies only in Prague)