Here are the cheapest places to buy a house in the Budapest agglomeration

It is common knowledge that real estate prices are constantly growing in the Hungarian capital. However, in 2024, the Budapest agglomeration’s real estate market surged, with a 70% increase in transactions too. Among the agglomeration’s sectors, the southern one was the most popular, while the northern sector offered more affordable options.

Shifting tendencies

Economx notes that following the post-pandemic property boom, the Budapest agglomeration has seen a stabilisation in its real estate market since 2022. The first half of 2024 witnessed a significant surge in transactions within the agglomeration, driven by renewed home creation subsidies. Transactions in the first half of 2024 increased by 3 percent compared to the same period in 2022 and by a remarkable 70 percent compared to the first half of 2023.

As demand soared, the average price per square metre rose by 6 percent to HUF 628,000 (EUR 1,593), with buyers spending an average of HUF 72 million (EUR 182,647) on properties—21 percent more than the previous year—while also opting for larger homes, with an average increase of 14 square metres in floor space.

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The most popular area in the Budapest agglomeration

The Budapest agglomeration can be divided into six sectors. In the first half of 2024, the southern sector emerged as the most sought-after area within the Budapest agglomeration, accounting for 29 percent of all property sales, according to Duna House data. Homebuyers in this sector saw a 6 percent increase in average price per square metre, now at HUF 626,000 (EUR 1,591), and spent an average of HUF 72.6 million (EUR 184,193) on properties, which were about 116 square metres on average. This represents an increase of HUF 20 million (EUR 50,742) from the previous year.

The south-eastern sector also attracted significant attention, with 22 percent of buyers choosing this area. Here, the average price per square metre was HUF 561,000 (EUR 1,423), and properties averaged HUF 55.3 million (EUR 140,292), the lowest in the Budapest agglomeration. In contrast, the north-western sector witnessed the highest spending, with buyers investing an average of HUF 97.56 million (EUR 247,501) for homes around 140 square metres. This data highlights the diverse pricing and popularity across different sectors of the Budapest agglomeration.

The most expensive and the cheapest areas

While the southern sector is popular, it doesn’t lead in terms of price per square metre in the Budapest agglomeration. The western sector is pricier, with an average of HUF 679,000 (EUR 1,723) per square metre. In contrast, the northern sector offers a more cost-effective option, with the lowest average price per square metre at HUF 552,000 (EUR 1,400), where buyers typically spend HUF 62.9 million (EUR 159,576) on homes averaging 114 square metres. The eastern sector saw the fewest transactions, accounting for just 8 percent of sales, with buyers paying an average of HUF 591,000 (EUR 1,499) per square metre for 118-square-metre homes.

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