Airbnb’s Comeback in Prague: Local Concerns Rise Over Its Impact
Airbnb listings in Prague are experiencing a significant revival as travel restrictions are lifted, nearing figures not encountered since before the onset of the pandemic.
This resurgence has initiated a new trend: the emergence of professional property managers, raising new concerns regarding the impact of short-term rentals on the city’s already burdened housing market.
Recent statistics from Prague’s Institute for Planning and Development (IPR) reveal that the number of active Airbnb listings has grown over fivefold from a low point in 2021. Although the platform hasn’t yet returned to its pre-Covid numbers, the growth trend is steady. By the summer of 2024, approximately 9,000 apartments were available across the city.
From Spare Rooms to Full-Time Business
The data from IPR indicates that around 3,000 Airbnb hosts are active in Prague. However, two-thirds of those hosts – referred to as “single hosts” – manage merely 20% of the total listings.
The majority of Airbnb properties are now owned by hosts who manage multiple listings. In fact, those hosts who oversee five or more units now represent more than half of all short-term rentals available in the city.
“Airbnb has become increasingly commercialized, and in Prague, this trend is especially pronounced,” says Jan Sýkora, a housing analyst at IPR. “In 2019, the average host managed about two properties. By 2024, this number has increased to three. This indicates a growing concentration of properties among professional operators.”
According to Sýkora, these properties no longer serve as actual homes. “They aren’t occupied year-round. They are strictly short-term rentals.”
This transition is evident in the growing presence of specialized property management companies. Zuzana Benešová, the founder of Seven Keys, currently oversees short-term rentals in roughly 80 flats throughout Prague.
More Profit, Less Housing
The financial motivation for landlords to opt for short-term rentals is transparent. “Depending on the specific location, the net income from short-term rentals can be 30% to 50% greater than that from long-term rentals,” notes Benešová. This lucrative difference is prompting more landlords to leave the traditional rental market entirely.
Matěj Koutný, the chair of the Czech Association of Landlords and Private Accommodation Providers (ČAPUS), posits that the shift towards professional management could enhance standards. “It’s a natural progression,” he explains. “It no longer makes sense to rent out just one apartment. Larger managers are more likely to adhere to regulations and provide high-quality service.”
But not everyone is convinced this evolution is a positive development.
Zdeňka Havlová, the head of analysis at IPR, cautions that the growth of short-term rentals is exacerbating housing affordability issues and encouraging over-tourism in already bustling neighborhoods.
Housing expenses in Prague are already among the highest in Europe when compared to income. According to the 2024 Deloitte Property Index, Prague ranks as the second least affordable city in Europe, right after Amsterdam.
While Airbnb listings can be found throughout the city, they are heavily concentrated in the historic center. In 2019, 44% of all listings were located in Prague 1 and 2. By 2024, this percentage has escalated to 56%.
Despite increasing public concern, effective regulation has been hard to achieve.
Currently, there is no specific legislation governing short-term rentals in the Czech Republic. Under existing regulations, properties used for tourist accommodation must be registered in accordance with the Building Act – yet enforcement of these rules is virtually nonexistent. Inspections are infrequent, and authorities lack the necessary data to effectively monitor Airbnb activities.
