Current house prices in Budapest: Fewer affordable districts remain

House prices in Budapest have surged in the first two months of the year, driven by record-high demand in the real estate market. Price increases have nearly matched those recorded by experts at Duna House over the entire previous year. Following a 6% rise, the average square metre price of pre-owned properties in the capital is now approaching HUF 1 million, although more budget-friendly locations can still be found in Rákosmente, Pestszentlőrinc, Pestszentimre and Soroksár.

Current House Prices: House Prices 6% Higher

The real estate market in Budapest has responded to strong buyer demand with significant increases in house prices: compared to the average square metre price calculated from 2024 transactions, the asking price for houses in Budapest is now 6% higher, amounting to around HUF 996,000 (EUR 2,474) per square metre, according to Duna House data.

In January and February of this year, purchasing a home in the capital cost buyers an average of HUF 74.8 million (EUR 185,832), which is 21% higher than during the same period last year. Additionally, the average property size grew by about half a room—approximately 10 square metres—from last year’s 65 square metres.

“The impact of the record-breaking interest at the beginning of the year has reached the Budapest property market faster than expected. Compared to 2023 levels, last year’s upswing raised square metre prices by 7% over a full year, and the average based on January-February transactions is already showing almost the same rate of increase,” said Ferenc Máté, Deputy CEO at Duna House.

Meanwhile, according to Duna House transaction data, there are areas in the capital where the average square metre price is around two-thirds of the citywide figure. Currently, the southeastern border districts on the Pest side—Rákosmente, Pestszentlőrinc, Pestszentimre and Soroksár—are considered the most affordable locations in Budapest, with average house prices below HUF 700,000 per square metre.

Districts XVII and XXIII can also offer more cost-effective alternatives not only for those looking to buy pre-owned properties but also for new-build seekers: first-quarter data this year indicates that new properties in Soroksár and Rákosmente are being sold for around HUF 1–1.1 million per square metre, while the citywide average is closer to HUF 1.5 million.

Here’s how buyers are responding to plummeting house prices in Budapest

The portal has recorded a significant recovery in demand in the Budapest conurbation. In January, settlements in Pest County saw a 6% year-on-year increase in enquiries, rising to 9% in February. Among the most popular settlements, demand rose by 20% year-on-year in Dunakeszi, 37% in Budaörs, 49% in Budakeszi and 56% in Göd. According to Duna House data, the real estate market in the metropolitan agglomeration began 2025 with increasing transaction numbers, persistently strong demand, and further price rises. Prices remain 28% lower than those in Budapest.

Compared to Budapest, prices per square metre are 28% lower for those who prefer a more spacious and natural living environment to the congestion of the city. It is therefore understandable that this year, in addition to homebuyers planning to start a family, investors may also turn their attention to the agglomeration.

Data from the property portal ingatlan.com confirms the trend highlighted by Duna House. The sharp rise in house prices in Budapest has led more and more buyers to rediscover the agglomeration zone, where the cost of a 60-square-metre Budapest apartment can now buy a 100-120-square-metre garden house.

Even run-down apartments now come with sky-high prices in Budapest