How much deposit do you need to buy a flat in Prague?

The short answer: a mortgage rarely covers the whole price. You bring a chunk of your own money, the bank lends the rest, and the size of your chunk depends on the lender, your profile and whatever the central bank is recommending at the time. The longer answer, below, shows how to calculate yours properly.

Two words, two meanings

In English, "deposit" can mean two different things when you buy a flat. Czech keeps them apart:

• Own contribution (vlastní zdroje, or equity): the savings you put towards the purchase price. This is the "down payment" most people mean.
• Reservation fee or deposit paid to the seller (rezervační poplatek, záloha): a payment that takes the flat off the market while the paperwork is done. It usually counts towards the price, but the reservation agreement must say what happens if the deal fails.

The reservation fee is a small part of the much bigger own contribution. Mixing them up leads to mistakes.

How the maths works

The bank values the flat, then lends up to a percentage of the value (or of the price, whichever is lower, depending on the lender). The rest is your contribution. Because banks use their own valuation, it can come in below the price you agreed, and the gap is yours to fill.

A hypothetical example. Suppose a flat costs 6,000,000 CZK and a bank would lend up to 80% of the value, with a valuation equal to the price. The loan is 4,800,000 CZK and your own contribution 1,200,000 CZK. If the bank values the flat at 5,700,000 CZK, 80% is 4,560,000 CZK, so you bring 1,440,000 CZK. The 80% figure is for illustration only. It is not a current rule or a promise.

What sets the limit

Two things. First, each bank's own policy, which can differ for a new or an old flat, your income and your residence status. Second, the Czech National Bank, which publishes recommendations on how much banks should lend against property value and against income. Those recommendations have changed in the past and may change again, so look at cnb.cz and ask the bank for current terms in writing. People short of cash sometimes look at a co-operative flat or at using another property as security. Each route has its own risks, so take professional advice first.

Costs on top

Your contribution isn't the whole bill. Budget for:

• the lawyer or notary and any escrow arrangement;
• the bank's valuation and loan fees;
• the cadastre fee for the transfer (as of 2026; check ČÚZK for the figure);
• the first months of owners' association advances and utilities;
• furniture and any repairs.

There is no property acquisition tax. It was abolished for transfers with tax liability from late 2019, so don't budget for it.

Where the money can come from

Banks want to see that your contribution is genuine. Savings, the proceeds of selling another property, an investment fund or a gift from family can all count, but each needs paperwork. A gift usually needs a signed gift agreement, and the bank may ask for the source. Cash that appears in your account a week before the application raises questions, so move savings early and keep statements. Foreign funds need to be traceable too; ask which documents the bank accepts. Our mortgage guide for expats covers the paperwork list.

If you already own a flat, the bank will look at both properties and the combined debt, and timing the sale against the purchase is the real puzzle. Ask lenders how they treat a sale that hasn't closed yet. Buying with a partner? Both incomes count and both of you are responsible. Settle in advance how the contribution is split and whether ownership shares reflect it. A lawyer can set out what happens if one of you wants out. It's a dull conversation and the cheapest insurance you'll buy.

Testing the repayments

Once you know the loan size, find the monthly cost. Hypoteky.com has a repayment model where you can vary the rate and term. For a wider view of where rates and volumes have been heading, Hypoteky.com publishes Czech mortgage market data. Neither is an offer; only a bank can approve a loan. Our explainer on what a 30-year loan costs monthly shows the arithmetic with hypothetical numbers, and the first-flat guide shows where the deposit fits in the process.

Frequently asked questions

Is there a legal minimum deposit?

Banks set their own conditions within recommendations from the Czech National Bank. Check current terms with the bank and cnb.cz.

Can I borrow 100% of the price?

That is unusual. Ask lenders about their current maximum, and expect to bring part of the price.

Does the reservation fee count towards the deposit?

Usually it counts towards the price, but check the reservation agreement.

Can a gift from parents count?

Often yes, with a gift agreement and documentation. The bank decides.

Is there a tax on buying a flat?

The property acquisition tax was abolished. Other taxes may arise when you sell or rent out the flat.

This is a general explainer, not legal or tax advice.