Hungarian luxury property market is slowing down, says expert
The Hungarian luxury real estate market is slowing down noticeably due to the withdrawal of buyers and the declining foreign demand. According to Krisztina Szeder, real estate expert at Duna House Prime, the sale of luxury properties is often not a matter of months but of years, so patience is one of the biggest tests for sellers.
Duna House: Hungarian luxury property market is slowing down
The slowdown in the market is in line with trends in the overall real estate market, with around 4% fewer transactions in July 2025 than in June and 18% fewer than a year earlier. This clearly points to a decline in buyer demand and activity. Although the Home Start Programme has led to a spectacular pick-up in demand in July, this has not affected the luxury property market.
What is luxury?
“The concepts of ‘luxury’ and ‘high-value’ property are not the same,” stressed Krisztina Szeder. “Just because a property is high-value does not necessarily mean it is luxury. Luxury requires something special: a unique location, outstanding technical content or an added value that makes it stand out from the rest. Today, smart home systems, premium engineering and high quality finishes are standard. Panoramic views, spacious interiors, large walk-in closets, multi-storey garages and swimming pools remain key demand criteria”, he added.
Price and location differences
Luxury property prices can vary significantly from one municipality to another. “While the price of a premium property in the countryside can be around a few hundred million forints, a property with similar features in some prime locations on the Buda side of the city can fetch up to several billion forints,” the expert said.
The COVID period has temporarily boosted sales of luxury properties, but the market has slowed down again in the last two years. Buyers are now much more aware of what they are looking for, they are looking at fewer properties in person and they are taking their decisions after more deliberation. In addition, in the run-up to election years, there is a tendency to wait, with many people postponing decisions on investments worth hundreds of millions or billions of euros.
Changing customer mix
The proportion of foreign buyers has fallen significantly, with the majority of transactions being concluded by Hungarian individuals, mainly for their own use. “Purchases for investment purposes are less frequent, as the yield potential has diminished and investors are now considering foreign markets,” said a real estate expert at Duna House Prime.
“The luxury property market now requires patience and awareness from both buyers and sellers. Although the current environment has brought a slowdown, there is still demand for truly unique and premium quality properties, which will retain their value in the longer term” – concluded Krisztina Szeder.
Read also:
- Home Start: Property developers in Hungary will price their apartments lower than previously planned
- New decree fast-tracks house-building in Hungary from this autumn: it may lead to property price fall
Click for more news concerning the Hungarian property sector.