There is still a huge shortage of new Czech property for the local market ensuring prices will continue to rise. Due to the internal changes making way for the arrival of the Euro common currency, property prices are steadily rising in the Czech Republic and will continue to do so over the next 6 years, to more closely match those of neighbouring European countries.
The rise is happening at a rapid pace that is gaining momentum on a monthly, not yearly, basis, however, an investor can still buy property for a fraction of what this would cost today in Western Europe, earn a substantial ROI minus expenses on rapid turnover, or buy and hold for potentially greater future returns.
 
*Why Brno?*

Where do we start?!!
 
Brno is the second largest city in the Czech Republic and it is lying on the crossroads between Prague, Vienna and Bratislava and therefore experiences a large amount of passing trade from the other countries and has a population of around 360,000 people. The city Brno is known particularly for a high number of the universities and the property market has been getting a great deal of exposure recently. Being the business capital of Moravia it boasts some big name companies such as IBM, Siemens, Minolta CR, Honeywell

Controls and FEI.
 
The economy has grown steadily since the 1980s however asset prices are still low compared to the UK and demand for property is at a premium.
 
In the last 10 years Brno has experienced a large increase in commercial activity due to the relocation of a number of multinational companies.
 
RyanAir has been flying directly from London to Brno on a daily basis since the end of 2005, and from Dublin since the start of 2006.
 
In 2008 a major motorway is planned to be completed that will link central northern Moravia with Poland making the area more attractive for Polish investors and traffic.

The city of Brno has won the competition for European City of the Future for both 2004/2005 and 2005/2006 which is organized by the prestigious FDI magazine, a Financial Times publication, in the category of Visegrad group cities. *It even beat Prague, Budapest, Warsaw and Bratislava in this category.*
 
What was said in 2005/2006 - "Brno, the Czech Republics second largest city and economic centre of the Moravian region, has seen rapid and sustained economic growth in recent

years, averaging more than 9% a year for the past decade. *Brno pulled ahead on economic development strategy, scoring top marks for investment promotion, clear incentives and public investment projects. It also ranked top for IT and telecommunications."*

Just to give you an idea of some of the companies moving to the Brno region and why, the worlds largest airline, Lufthansa from Germany, opened a new shared services centre in the Moravian side of Czech Republic two years ago. The new centre, in Brno, assists customers of Central and Eastern Europe and employs around 100 people.

*In fact Lufthansa has already enquired about potential rentals on completion of this development. *
 
Alan Forsyth runs two successful property investment websites. He also sends out weekly newsletters to over 8000 subscribers – sign up for free at www.property-system.com/7- part-course.html. He also writes for several property magazines and gives free consultations to investors.