How to rent a garage or parking space - a complete guide

Everything about renting a garage and parking space. Contract, prices, taxes, insurance and practical tips for landlords.

Introduction to renting garages

Renting a garage or parking space is a simple way to evaluate unused space. As the number of cars in cities increases, so does the demand for parking. In this article, we will show you how to rent a garage or parking space efficiently and safely.

Unlike renting an apartment, renting a garage is administratively easier, with lower risks, but also with lower returns.

Types of spaces for rent

Garage

Separate garage:

Own entrance and space
Storage option
Higher privacy
Higher price

Garage in collective garage:

Part of larger complex
Shared entrance
Limited use
Lower price

Parking space

Covered parking:

In underground garage or under shelter
Weather protection
Medium price

Outdoor parking:

In the parking lot or yard
No protection
Lowest price

Legal aspects

Contract type

Lease contract:

Renting a garage as real estate
Tenant protection under NOZ
Recommended for long-term lease

Contract about parking:

Short-term use of the place
Less formal
Suitable for temporary parking

Necessities of the contract

Basic information:

Identification of the parties
Description of the object (address, parking number)
Amount of rent
Duration

Important provisions:

Method use
Access and keys
Liability for damages
Termination of contract

Sample contract

Garage lease

Lessor: [name, address, postal code] Tenant: [name, address, postal code]

Article 1 - Subject of rent The lessor leases garage/parking space No. [X] to the lessee at [address].

Article 2 - Lease term The lease is negotiated for a [definite/indefinite] period from [date].

Article 3 - Rent The rent is [amount] Kč per month, payable by [X] day of the month as agreed in the lease.

Article 4 - Use The garage is intended exclusively for parking cars. Storage of flammable and dangerous substances is prohibited.

Article 5 - Termination The contract can be terminated by agreement or termination with [X] month's notice.

Pricing

Factors affecting the price

Location:

City center: 2 000-5,000 Kč/month
Wider center: 1,000-3,000 Kč/month
Edge of the city: 500-1,500 Kč/month

Type of space:

Separate garage: +30-50%
Covered parking: base
Outdoor parking: -30-50 %

Equipment:

Electricity: +200-500 Kč
Heating: +500-1,000 Kč
Automatic gate: +200-300 Kč

Examples of prices (Prague 2024)

Type	Location	Price/month
Garage	Center	Kč 4,000-6,000
Garage	Edge	Kč 2,000-3,500
Underground parking	Center	Kč 2,500-4,000
Outdoor parking	Center	1,500-2,500 Kč

Tax aspects

Income taxation

Income from renting a garage:

Taxed as rental income (§ 9)
Applicable flat-expense method or actual costs; verify eligibility and percentage for the relevant Czech tax year.
Filing duties depend on total income, other income, taxpayer status and the relevant Czech tax year; verify the current threshold before filing.

Example:

Annual rent: 24,000 Kč
Illustrative flat-expense amount: 7,200 Kč; calculate using the percentage applicable for the relevant Czech tax year.
Tax base: 16,800 Kč
Tax at the applicable current rate: 2,520 Kč (illustrative example; verify the relevant tax year).

DPH

Renting a garage is exempt from VAT if terms:

Rent to a natural person for personal use
No provision of additional services

Insurance

Landlord insurance

Property insurance:

Covers damage to garage (fire, flood)
Part of house/apartment insurance

Liability insurance:

Damage caused by condition garage
Renter's accident

Renter's insurance

Compulsory liability:

Covers damage caused by vehicle operation
Standard obligation of every driver

Breakdown insurance:

Covers damage to own vehicle
Recommended for more expensive cars

Practical operation

Handing over garage

Documentation:

Condition of garage (photos)
Functionality of doors, lighting, locks
Handover of keys/controllers

Handover protocol:

Condition of floor and walls
Functionality of electrical installation
Number of keys/controllers

General administration

Responsibilities landlord:

Construction maintenance
Door and lock repairs
Ensuring access

Responsibilities of the tenant:

Regular cleaning
Compliance with rules
Reporting of defects

Termination of lease

Procedure:

Notification of termination (termination/agreement)
Checking the condition of the garage
Handing over the keys
Billing

Specific situations

Lease in SVJ

Requirements:

SVJ consent (according to the statutes)
Compliance with house rules
Informing manager

Subletting

If you are a tenant of a garage and want to sublet it:

Necessary consent of the owner
Risk of termination of the lease

Shared parking

Rental for certain hours/days:

Working days (office buildings)
Weekends (shopping centers)
Higher administrative difficulty

Advantages and disadvantages

Advantages of renting a garage

Low administration
Stable demand in cities
Minimal maintenance
Low risk of damage
Easy termination

Disadvantages

Lower returns than apartments
Limited room for price growth
Dependence on for automobilism
Public parking competition

Tips for a successful rental

Marketing

Where to advertise:

Realities, Nonrealities
Facebook groups
Local message boards
Real estate agencies

What to highlight:

Location and accessibility
Safety
Dimensions and equipment
Rental flexibility

Tenant selection

Prefer:

Long-term tenants
Local residents
Reliable payers

Verify:

Contact details
Purpose of use
References (for companies)

Conclusion

Garage rental or parking space is a simple investment with low demands:

Prepare the contract - clear rules
Set the right price - by location and type
Treat insurance - asset protection
Keep records - for tax return
Communicate - fast problem solving

With increasing demand for parking in cities, renting a garage is a stable source of income with minimal worries.

> Czech-law scope and editorial note: Legal, tax, accounting, tenancy, service-charge, condominium, metrology, insurance and data-protection statements in this article refer to the Czech Republic and the rules effective for the relevant date. Figures and examples are illustrative, not legal or tax advice. Verify current rules with the relevant Czech authority or a qualified adviser.