Hungary remains an enticing target for property purchases for expats even in the second half of the 2020s, even as some of its comparative advantages have faded compared to neighbors like Austria and Croatia. A combination of supply shocks, exchange rate swings, and government subsidies has led to a massive increase in property prices from a decade earlier, but if you are an expat looking to buy real estate in Hungary, there are still many strong options to consider if you know where to look and understand the relevant business procedures.
Good to know:
Hungary places little to no limits on expats in terms of purchasing real estate, though some of the subsidized loan options may be unavailable to you.
The housing market in Hungary
While the housing market in Hungary has significantly matured, with the property prices and the volume of new-build projects reflecting this, options range from classic high-ceilinged apartments in historic buildings to modern new-build condominiums and detached family houses in the suburbs.
In terms of prices, prices per square meter in Budapest's city center are now up to 4,000-5,500 EUR, with the Western side of the capital, the hilly and green Buda, commanding prices even higher than that. You can read more about this in our dedicated guide on buying property in Budapest. Be particularly cautious in District VI. (Terézváros), where a total ban on short-term rentals came into effect on January 1, 2026, which may affect property values and investment yields in that area.
Elsewhere in the nation, the situation is not quite so stark. While university cities like Debrecen, Szeged, and Pécs also command a premium due to short-term rental options, the infrastructure and transportation options are strong enough to make them valid alternatives to Budapest, especially if you are an expat doing remote work. The key differentiator is 2025's Otthon Start subsidiary program, which, in effect, increased all reasonable property prices to a floor of 1.5 million HUF, or approximately 4,000 EUR.
Is real estate purchase accessible to foreigners in Hungary?
Yes, expats have easy access to the Hungarian real estate market, with a few notable exceptions. EU/EEA citizens enjoy identical rights in this regard to Hungarian nationals. For everyone else, a simple permit is required from the local government office. The application costs 65,000 HUF (160 EUR) and takes one month to get. It is largely a formality.
However, strict limitations apply to agricultural land. Non-EU citizens are generally prohibited from purchasing farmland, vineyards, orchards, or forests. Even for EU citizens who are not professional farmers, ownership of such land is capped at one hectare (0.01 square kilometer).
Finding real estate in Hungary
The Hungarian real estate market is overwhelmingly digital in nature, with platforms like ingatlan.com serving as the key way for you to find property. Real estate agents are commonly used, but their services are not regulated in detail, meaning they aren't necessarily able or required to provide assistance on the banking and legal side of the purchase, and if you have done your research, you can track down and approach the property owner directly to save the agent's 3-5% commission. Though it is almost always the buyer who pays this, it does mean an increase in the price in practice.
Useful links:
If you are considering older properties, especially in the historic parts of Budapest, you definitely should invest in a technical survey to identify any potential issues with wiring, heating, or plumbing.
The procedures for buying property in Hungary
Once you negotiated and agreed on the price verbally, you will need to secure the services of a lawyer to proceed, as Hungarian law requires that real estate purchases shall be concluded through private contract (purchase agreement), which must be countersigned by a lawyer, who is responsible for conducting title searches to ensure the property is free of liens, debts, or encumbrances. Typically, the lawyer represents both parties legally, with the buyer paying for the services.
Buyers are expected to put down an initial deposit, which usually amounts to 10% of the total price. If the buyer withdraws from the deal, they lose the deposit. If the seller does, they must repay double the amount to the buyer. This ensures that parties are committed to getting the deal across the line. Once the signing is complete and any necessary mortgage is secured, the lawyer submits the contract and the associated documents to the land registry.
The buyer and the seller have to sign a Closing Statement, which confirms that the purchase price has been paid in full and that possession has been transferred. However, final registration of ownership rights can take up to six months, even if the buyer is in possession of the property.
With proof of income and residence, you will be able to secure mortgages as an expat, though it is highly recommended to reach out to a mortgage broker to get superior deals. Loans are almost exclusively issued in HUF, and banks are limited to lending to 80% of the property's value, and will often go lower than that depending on the specifics of the deal.
The costs related to property purchase in Hungary
In total, the costs of purchasing a property in Hungary amount to a 5-10% premium over the total price. A key part of this is the flat 4% property transfer tax. Legal costs are generally calculated at 1 percent of the gross purchase price, though this may vary by legal professional.
We do our best to provide accurate and up to date information. However, if you have noticed any inaccuracies in this article, please let us know in the comments section below.
