Housing is the largest expense for households. Including utilities, it accounts for almost a quarter (23.6%) of household expenditure in the EU, according to Eurostat.
The burden is particularly heavy for tenants in European capital cities, and rents vary widely across Europe.
But how much does it cost to rent a flat in a European city? And which countries are the most expensive and cheapest?
Among 40 European cities across 38 countries — including EU member states, candidate and potential candidate countries, EFTA members and the UK — the average monthly rent for a two-bedroom flat ranged from €470 in Skopje to €3,350 in Geneva, according to Eurostat.
Most expensive capital city for rent
London is the only capital city exceeding €3,000, ranking second among all 40 cities. Tenants pay €3,050 (£2,650) on average for a two-bedroom flat.
Average rents are also above €2,500 in Dublin (€2,650), Stockholm (€2,650) and Oslo (€2,550). Dublin and Stockholm share the title of the most expensive EU capitals for rent.
“The biggest reason rents differ so much across Europe is that housing markets are local. In places like Geneva, London, Dublin, or Stockholm, strong demand from well-paid workers, international companies, students, and newcomers exists, while housing supply has not grown fast enough,” Mikk Kalmet, real estate expert at Global Property, told Euronews Business.
That means when more people want to live in a city than there are homes available, rents tend to rise.
Highest rent among the EU’s ‘Big Four’
The average rent in Paris is €2,500. This puts the French capital at the top among the EU’s four largest economies. A two-bedroom flat costs €1,750 in Berlin, €1,700 in Madrid and €1,650 in Rome.
Average rents are also above €2,000 in Copenhagen (€2,350), Luxembourg (€2,350), Reykjavik (€2,350), The Hague (€2,150), Bern (€2,150) and Munich (€2,050).
Lisbon (€1,750), Prague (€1,650), Vienna (€1,600), Zagreb (€1,550), Helsinki (€1,550) and Athens (€1,500) cluster in the €1,500–€1,750 range.
At the bottom of the list, Pristina follows Skopje (€470) closely at €520. Ankara, the Turkish capital, is the third cheapest city at €770 for a two-bedroom flat.
The cheapest EU capitals for rent
Tenants pay an average of €900 in Sofia, closely followed by Nicosia at €910. Bulgaria and Cyprus have the cheapest capitals within the EU for rent.
Average rent is also below €1,000 in Tirana (€920) and Bucharest (€930).
Several cities cluster around €1,200: Belgrade (€1,100), Sarajevo (€1,150), Riga (€1,150), Tallinn (€1,150), Vilnius (€1,200), Warsaw (€1,300) and Budapest (€1,300).
Kalmet pointed out that income levels also matter. “Countries with higher salaries can generally support higher rents, which is one reason why some of the most expensive cities are found in Western and Northern Europe,” he said.
“At the same time, lower rents in Central and Eastern Europe do not necessarily mean housing is more affordable, because local wages are often lower as well. Looking only at rent levels can therefore be misleading without considering incomes,” he added.
EU’s capital sits mid-table
Brussels, the EU’s capital, is comparatively affordable. The average rent in the Belgian capital is €1,450, placing it 22nd out of 40 cities, roughly in the middle.
Kalmet noted that rents have increased across much of Europe over the past few years. He said the rise has been driven by a combination of post-pandemic urban demand, population growth, migration flows, rising interest rates and elevated construction costs.
He also stated that higher interest rates have made buying a home more difficult for many households, pushing more people into renting and adding further demand. “In many major/capital cities, supply has simply struggled to keep up with these changes,” he said.
Eurostat’s data excludes charges and utilities and covers unfurnished properties. The accommodation is assumed to be of good or very good quality, but not luxurious.
How the data was compiled
The figures are based on Eurostat’s latest rent survey, which covers the second half of 2025. The EU statistical office compiles the data using a harmonised methodology and validates it through interviews with real estate agents in each country. July 2025 exchange rates were used to convert rents into euros.