With housing prices in major European capitals continuing to rise in 2025, many buyers believe that €300,000 is no longer enough to secure a home in a city centre. In cities like Paris, Amsterdam or Munich, that sum might not even cover a small studio on the outskirts. Yet across southern, central and eastern Europe, there are still dynamic urban markets where this budget can buy a centrally located apartment — often with strong rental potential and long-term growth prospects. Based on the latest market data and verified reports from 2025, here are 10 European cities where €300,000 still goes a long way in the heart of the city.
Athens – A rare combination of size and value
The Greek capital remains one of the few major European cities where €300,000 still buys significant living space in the city centre. With average prices in central districts hovering around €2,800–3,000 per square metre, buyers can expect 80–100 m² in older pre-war buildings in areas such as Omonia or Metaxourgio, or 60–80 m² in renovated apartments near Syntagma Square.
Athens has seen strong demand from both domestic buyers and foreign investors, with prices rising around 6–8% annually in prime districts. Demand is fuelled by several key drivers: booming tourism, a growing student population, and a wave of digital nomads attracted by the city’s lifestyle and cost advantages. The government’s Golden Visa programme has also played a role, although changes in eligibility criteria are gradually shifting focus back to local buyers. Looking ahead to 2026, analysts expect steady price growth, particularly in renovated stock close to metro stations and historical landmarks.
Porto – Culture, rental income and growth potential
Portugal’s second city combines historic charm with solid investment fundamentals. Central apartment prices in Porto average €3,770–3,790 per square metre, which means €300,000 typically secures 75–85 m² in traditional neighbourhoods like Cedofeita or Bonfim, or 55–70 m² in fully refurbished properties near Avenida dos Aliados.
Porto’s appeal extends beyond affordability. A thriving tech sector, major urban regeneration projects and steady demand from international buyers all support long-term value. The city’s strong tourism industry underpins a lucrative short-term rental market, while steady demand from students and professionals ensures consistent long-term rental yields of 4.5–5%. Despite rising prices — which increased around 7% year-on-year in 2025 — Porto remains far cheaper than Lisbon, where €300,000 often fails to buy even a one-bedroom apartment in the centre. Analysts expect continued demand from both investors and lifestyle buyers in 2026, particularly for energy-efficient new developments.
Naples – Italy’s underrated urban opportunity
Naples stands out as one of Europe’s most undervalued large cities. With average central property prices at around €2,660 per square metre, buyers can still find 95–110 m² in traditional buildings near Via Duomo or Montesanto, or 70–90 m² in fully renovated units near Piazza Dante.
The city’s rich architectural heritage, dynamic street life and proximity to the Amalfi Coast give it strong appeal for international buyers, yet prices remain significantly lower than in Rome, Milan or Florence. Domestic demand is supported by a growing student population and improved infrastructure, including upgrades to metro lines and urban renewal projects in central districts. Rental yields of 5–5.5% are achievable for well-located properties. Analysts expect Naples to remain a value play into 2026, especially as more buyers look beyond Italy’s most expensive cities for better returns.
Valencia – Balanced, vibrant and still affordable
Spain’s third-largest city continues to offer a compelling mix of affordability, lifestyle and rental potential. Central apartments average around €4,100–4,800 per square metre, allowing buyers to acquire 60–75 m² in districts such as Pla del Remei or Ruzafa, or 50–60 m² in fully modernised properties within the medieval core of Ciutat Vella.
Valencia’s appeal lies in its balance: it combines the economic dynamism of Madrid and Barcelona with significantly lower property costs. Demand is strong from international professionals, remote workers and students, while tourism provides an additional rental revenue stream. Property prices rose roughly 6–7% in 2025, and analysts predict further growth as infrastructure projects and tech sector expansion drive urban demand. For investors, the city’s rental yields remain attractive, averaging around 4.5% in core districts.
Warsaw – Central Europe’s strongest fundamentals
Poland’s capital has become a magnet for both domestic and foreign buyers thanks to its robust economy, low unemployment and expanding corporate sector. Central property prices average around €4,800–5,200 per square metre, meaning €300,000 buys roughly 55–65 m² in Śródmieście or Powiśle, or slightly more in older buildings.
Warsaw’s rental market is among the strongest in Europe, driven by a large professional workforce, international companies and one of the EU’s fastest-growing tech industries. Demand for centrally located, energy-efficient apartments far exceeds supply, pushing prices upward by 6–8% annually. With gross rental yields averaging 4–6%, Warsaw offers an attractive mix of capital appreciation and income. Analysts forecast further growth in 2026 as infrastructure investments and EU headquarters expansions boost demand.
Bucharest – Space and yield in an undervalued capital
Bucharest offers unmatched space for the money, with central property prices averaging just €2,500–3,500 per square metre. This means €300,000 can buy 85–110 m² in mid-century blocks near Unirii or Victoriei, or 110–130 m² in refurbished apartments near Romană or Universitate.
The Romanian capital’s property market is underpinned by a rapidly growing services sector, foreign investment, and expanding student and expatriate populations. While many properties require renovation, upgraded units achieve strong rental demand and yields of 5–6% — significantly higher than in Western Europe. Prices have been rising by about 7% annually and are expected to accelerate as Romania continues its economic convergence with the EU average.
Budapest – Historic charm with investment appeal
Budapest remains one of Europe’s most attractive capitals for mid-range investors. With average prices in central districts at €3,150–4,100 per square metre, a €300,000 budget buys 70–90 m² in renovated pre-war buildings in District VI or VII, or 55–70 m² in modern new developments near the Grand Boulevard.
The Hungarian capital’s vibrant cultural life, growing digital economy and rising international profile all fuel strong housing demand. Tourism and student populations sustain robust rental yields, while infrastructure investments — including new tram lines and redevelopment of the Danube waterfront — are expected to further boost property values. Analysts predict continued price growth in 2026, especially for well-renovated properties in prime inner-city locations.
Sofia – Rising market ahead of euro adoption
Sofia is rapidly emerging as a hotspot for investors seeking growth potential. With average central prices between €3,000 and €4,000 per square metre, €300,000 typically secures 75–100 m² in districts like Oborishte or Vitosha Boulevard.
The city’s strong economic performance, expanding tech sector and expected euro adoption in the coming years are major drivers of demand. Central properties benefit from high occupancy rates due to a steady inflow of students, professionals and expatriates. Although yields have compressed slightly as prices rise, they remain attractive at around 4–5%. Analysts expect significant capital appreciation as Sofia’s property market converges with EU norms and investor confidence strengthens further in 2026.
Riga – Northern Europe’s best-kept secret
Riga remains one of the most affordable capitals in northern Europe, with average central prices at €2,400–2,600 per square metre. This allows buyers to purchase 110–125 m² in historic Art Nouveau buildings near Alberta iela, or 70–90 m² in newer developments close to the city’s canal.
The Latvian capital’s strategic location, high quality of life and architectural charm are drawing increasing numbers of investors and remote workers. Demand is expected to grow further as the city develops its logistics and business services sectors. With limited new supply in the centre, price appreciation potential is strong, and rental yields of around 4.5–5% remain achievable.
Vilnius – Digital dynamism meets quality of life
Vilnius, Lithuania’s fast-growing capital, combines a thriving tech economy with a rich historic centre. Average central property prices range from €2,600 to €4,000 per square metre, meaning €300,000 buys 60–80 m² in heritage buildings in Senamiestis or 70–85 m² in inner-ring residential developments.
The city’s growing international workforce and start-up ecosystem are fuelling demand for quality housing, while new infrastructure and urban development projects are transforming the central districts. While yields are slightly lower than in neighbouring capitals, long-term appreciation prospects remain strong. Analysts expect steady growth into 2026, supported by continued economic expansion and rising international interest.
The Bottom Line
Despite relentless price increases in Europe’s largest capitals, €300,000 can still unlock real opportunities — if you know where to look. From the historic heart of Athens and the riverfront charm of Porto to Warsaw’s booming business hub and Bucharest’s vast living spaces, value-driven buyers have options across the continent. These 10 cities offer a balance of affordability, lifestyle appeal and growth potential, making them some of the smartest places to invest in European property in 2025 — and likely beyond into 2026.
