Presentation of country

  • Country located in the middle of Central Europe with 10 million inhabitants and 2 millions in the capital Budapest
  • Very dynamic country with unemployment rate around 5% and revenue per capita which is one the most growing in Europe
  • High industrial presence and strength particularly in pharmaceutical, food processing, automobile , chemical and electronic industry
  • Average salary around 700 € / sqm which explains the very high advantage in employment costs vs. skills ratio of the country, thanks to a voluntarily low exchange rate of Florint currency vs. Euro and Dollar


  • Hungary has becomed recently the hotspot for both retirees from Germany, Netherlands for example as well as delocalised western European industries
  • Salaries are one of the lowest of Europe whereas the education level is well above the average, in sciences and maths particularly
  • GDP growth is around 5% in 2018 which is the one of the best in European Union
  • Budget deficit is often at zero level and there is a very strict financial policy since 2008 crisis
  • Highest growth, highest increase in salaries, which are still very low, low unemployment rate : these facts gives Hungary a lot of potential in terms of economy, improvement of level standards for people but also for real estate prices and rental liquidity

Real estate market

  • Very active real estate market with price up by 50% over the last 3 years in Budapest
  • Increase of transactions by 20% in 2017
  • Pressure on price due to demographic pressure in Budapest (increase of numbers of students, retirees from other west european countries, pursuit of urbanization population move from countryside – Budapest is the only significant city in Hungary)
  • Possibility to access financing at 50% for non resident investors
  • Still significative potential of growth of price and rent
  • Average price per sqm is still ar 1,500 € vs. 2,500 € for Prague and
    4,200 € for Vienna

Tax & Social

  • Corporate tax : 9%
  • Personal income tax for residents : 15%
  • Tax rate on rents for non residents investors : 15%
  • Tax on dividends distributed : 15%
  • Transfer tax of real estate : 4% of acquisition price
  • VAT : 27%
  • Currency : Florint