The pace of apartment price growth in Slovakia accelerated during the summer months. According to the latest report from the Slovak Real Estate Union, the value of its real estate barometer rose in August to €3,212 per square meter. Compared with June, this represents a two-month increase of 4.6 percent. Year on year, by the end of August, the barometer’s value was up 15.2 percent.
“Apartment units became more expensive year on year across all of Slovakia and in all segments. Over the past year, prices of older flats rose faster than those of newer ones,” the Real Estate Union stated.
For two-room apartments, prices increased on average by 17 percent compared to 12.8 percent, and for three-room apartments by 17.1 percent versus 13.5 percent. This means the price gap between newer and older apartments has narrowed over the past year.
At the beginning of September, the Slovak Statistical Office released data on new construction and wage growth, but according to the Real Estate Union, residential construction slowed in the second quarter.
“There was a marked decline in both completed and newly started apartments, and the number of units under construction was also lower,” it noted, adding that the Bratislava region recorded the fewest completed flats in the past 22 years. Weak construction negatively affects supply, pushing prices higher.
Regarding wage growth, in the second quarter of 2025 the average monthly salary in the Slovak economy reached €1,654, representing an annual increase of 8.8 percent. Despite year-on-year inflation of 4.4 percent, real wages rose by as much as 4.5 percent.
Analysts from the Real Estate Union predict that apartment prices will continue to rise in the autumn. “September and October are traditionally strong periods in the real estate market when there is no shortage of transactions,” they said.
Prices will also be driven upward by falling interest rates, which are approaching three percent for three-year fixed terms at commercial banks. The analysts add that the data from the statistical office—weak construction and dynamic wage growth—also signal further price growth. Apartment prices in recent months have surpassed historical highs.
“They say no tree grows to the sky. In this case, however, it is hardly possible to set a ceiling that would stop apartment price increases. If people’s incomes keep rising and we live in an inflationary environment, real estate prices will continue to increase,” the analysts added. The value of the National Bank of Slovakia’s composite index does not yet suggest that this is merely a real estate bubble, they concluded.
Source: STVR
