Good news from the housing market in Hungary, the latest CSO statistics show that house prices continue to rise, in the first quarter of 2015 the house prices have increased by 4.4%. However, the rise in prices show significant regional differences, the records show that in some parts of Hungary the prices of homes are nearly 10 percent more than in the previous quarter.
Additionally to the increased pace of housing price upswings, moreover, for the first time in many years, growth has been reported in all regions of Hungary in the housing market, according to the latest available data. The House Price annual increase in 2014 was 8.2% in nominal terms while in real terms prices increased by more than 9 percent. The current residential house price values are nearly the same as at the end of 2010 and early 2011.
The price increase is continuous for more than a year in the domestic housing market. The increase in 2015 first quarter rose 4 percent after increases of 2.5-3 per cent in 2014 between July and September, October and November.
Since the onset of the housing market upswing in a past 12 months (from April 2015 to March 2014), it has increased 15 percent in real terms.
The housing market evolution prospects are favourable if we look at the number of building permits. The first half of 2015 more than 5,500 building permits were given out, more than issued in the same period in 2011. In the first quarter of 2015 compared to the first three months of 2014 the number of licenses has increased by 44 percent, while the second three months of 2015 was 36 percent of the rise from a year earlier.
The Hungarian housing market recovery goes on, according to local estate agents, the expected number of transactions in 2015 will reach 150000 compared to 100000 last year.
The demand continues to increase amongst domestic and foreign buyers and investors.