A new regulation allows the government to purchase real estate in certain areas of Budapest, even if there already is an agreement between sellers and buyers, thus making the latter unsure about the successful deal.
The new regulations regarding heritage protection have been in effect starting June 29. The point of the new rule is that properties larger than 200 square meters next to the Danube river, Buda Castle area and Andrássy street, which are considered world heritage sites, cannot be bought if the Hungarian government steps in and offers to buy the property. – writes Telex.
The government can overtake the role of the original buyer with the same contracting conditions in the first eight days after agreeing.
A person, who shared their views with Telex, compares the current regulation and communism, but they also made references to nationalisation. The government’s viewpoint is different. They say that the law aims to avoid valuable properties being bought by foreigners or be used for inappropriate reasons for a world heritage site. The rule does not affect apartments, houses, soil and forestry areas.
The government’s new rule, however, is not entirely new. Real estate in the region most famous for excellent Hungarian wine has been on the government’s watch for a while now.
In 2018 cellar owners in the famous Tokaj region got surprising letters. According to their content, if the cellars are sold, the property has to be offered to the state, and the state can decide whether they would buy the cellar. – wrote 24.hu. A man told the portal that not only two protected cellars were on the records but also houses. Another man was worried that the government might pay a lower price than the actual market value.
Some people distrust the plan because pro-government people could rent amazing properties for a ridiculously low price. In 2019 24.hu wrote that media personality Zsolt Bayer rented a government apartment in the heart of the Buda Castle District for only 32,000 forints (EUR 88.98).