All Forum Posts by: Robin Petrasek

Hello Dain,

I am based in Prague where we operate portfolio for our international investors for long term and also short term rentals. What is interesting is that Czech banks still provide mortgages for up to 60% LTV, which allows you to leverage your investments. We can help you with the property search, acquisition, taxes, rental and all related operations as we aim to be one-stop-shop for our clients.

Please dont hesitate to inquiry for more info.

Best regards,

Robin

Hi Tomáš, great to see another Czech on BP. Do you live in the US?

Zdravím z Prahy

Hello Sam,

I am sorry, I don't have insight on the exact matter of deductions you are looking for. But in case you want to know more about finances, taxes or property business in general in Czech republic  (renamed to Czechia), please feel free to contact me. I help foreign investors and expats with their investments in our country.

Good luck with your project!

With best regards,

Robin Petrásek

Dear BP members, I am looking for an advise on International investments.

We are looking for investment possibilities is Thailand in residential market, especially into holiday resorts ideally with rental guarantee. 

It is a must for the developer to be on the market for many years and to be completely trustworthy.

Do you have experience you could share?

Thank you very much.
Robin

Hello Nate,

just a little bit of feedback on your post, I can refer to AirBnB in Prague where Im from. 

Our AirBnB Pros: higher yields than usual renting, flexibility with the flat in terms of own time - you can use it for your own family/friends,you get to meet interesting people who might be interested in the whole concept of AirBnB rentals - just like you, different rooms setup requirement (could be also con)

Cons: higher requirement on property management, taxes, cleaning services. I would say yield highly depends on location. Tenants might treat the property quite badly. Complains from neighbours if the party is too loud.

I would say that is the basics I can think of.

Best regards,
Robin

Hi Edwin,

I completely agree with your comment. I am involved in company where we do property management but only for people who've invested through us. There are number of management agencies in Prague who are very professional. When Czechia entered EU (2004) there was huge foreign investment which created the need for those management companies and competition between them remains strong. 

If you are looking at the AirBnb market it is much easier to see what is happening with your property in terms of management. You can read reviews, see average prices etc. For example we charge 40 EUR for each checkin and checkout (including cleaning), no percentage.

If you have any other questions, feel free to ask.  

Best regards,

Robin

Hi David,

Czech crown is currently artificially week (Czech National Bank's intervention - see comments in English http://www.cnb.cz/en/monetary_policy/weakening_kor...) but this year it is reported to end, this would mean strengthening against foreign currencies. It is my opinion that Czech economy will continue to improve at a faster rate than western europe as there is still a lot of potential for growth.

25 years fixed rate is possible for rates around 3,5% and the best interest rates are currently at 5 years fixing around 2%. 

Speaking of the notes - it is possible but banks tend to sell them in bulk. You could setup Czech entity without any hassle to do this.

Best regards,

Robin

Hi Adria,

is there anything specific I can relate to?

Some basic numbers: you can enter the property market with flats in Czechia for as low as 15.000 EUR/USD in industrial cities but if you are interested in Prague you need to spend minumum 100.000 EUR/USD. Rental yields in Prague are around 4-8%, the latter for AirBnb in good locations but the price would be at least double. Rental yields in industrial cities tend to be around 8% in general but in the past there hasn't been as much growth as Prague but this is changing. 

With regards,

Robin

Dear BP members, After a while I have found a flat in Prague which suits my flipping idea. I want to share the story with you and ideally get some feedback. The property is located on Prague 3, part called Zizkov. It is a 111 m2 (1194 ft2) flat which needs full renovation. I need to put in new flooring, heating system, bathrooms, kitchen, replaster walls etc. Estimated budget is 600.000 CZK (25.000 USD). Purchase price was 5.300.000 CZK (220.000 USD) which is 47.747 CZK/m2. Anything for less than 50k/m2 is a bargain so it was a no brainer. I aim to sell it for 8.000.000 CZK (332.800 USD) which is about 72k/m2. This price is at the peak of the valuation in this area so the flat needs to be a premium class to get the buyer. Mortgage I have on the flat covers 5.000.000 CZK of the purchase price with interest 2,59% fixed for 1 year. During this period I need to find a buyer. Idea is to renovate the flat in 3 months, use homestaging and put it on the market for even higher price. Property prices in Prague experienced about 10% increase in prices for last year so I hope to "catch the wave" and sell it while the price is still rising. In my next posts I would estimate the floorplan and renovation details. Any feedback is more than welcome! BR, Robin

Dear BP colleagues,

I am happy to be member of BP community, however it is not yet very established in Europe and Czech republic especially. With this post I want to encourage all investors and agents to join this group to discuss possibilities in this lovely heart of Europe.

One unique opportunity - foreigners from EU can get up to 90% LTV financing from local banks even without local income!!! Non-EU residents can still get 70% LTV with interest rates around 2,5% and bellow. Czech National Bank encourages investors from all around the world to invest into Czech republic with low interest rates and certain banks allows even these Buy-to-Let mortgages for investors.

I'm looking forward to for any posts in this forum,

With best regards,

RP