The Budapest residential real estate market is very alive

Budapest is still offering affordable investment opportunities. The Hungarian real estate market is worth investing in before favorable opportunities narrow and the environment gets more difficult and the competition gets tougher. A price per value based comparison with other CEE capitals, particularly Warsaw and Prague, suggests there is a room and longer term opportunities for real estate investments and developments.

Hungary is performing better compared to its CEE market competitors. Due to the solid economic growth, the improving labor market and the recent FX housing loan consolidation, a greater number of households enjoy a growth of real wages and thus represent a greater consumption force. In addition to the increase of household disposables, a slight improvement of financing and lower bank interest rates on savings all direct attention of private individuals towards real estate investments. This particularly goes to Budapest, which currently enjoys the benefits of a tourist industry boom. Among such conditions, Budapest central district rents increased very fast, attracting private residential spending and buy-to-let type of property investments, mainly by locals. The simultaneous Airbnb thrill has not just further elevated the excitement and expectations, but it had an overall impact on property rent and sale prices, especially in the smaller apartments' range. Nevertheless, average Budapest flat prices are still below the pricing level of CEE capitals, while the housing demand is increasing well beyond the low level of developments.

Realtors hope the positive mood will stay steady in the Budapest real estate market.

We have a number of excellent investment properties in Budapest, for further details, guidance about the buying procedures or market updates, you can contact us on ec@ecsmproperty.uk.com