Association attaches conditions to approval of Hungarian government’s plan to transfer pension savings to housing

The Hungarian Association of Pension and Health Care Funds (ÖPOSZ) said government plans to clear the use of some pension savings for home purchases could serve its members’ long-term interests, with some conditions.

In the view of the organisation, the extension of the possibility to use pension savings for the purpose of acquiring real estate – if designed in a suitable, long-term way, fitting into the system of self-care – can serve the long-term interests of the members and can even make it more attractive for younger generations to start saving in pension funds.

According to a market survey presented by the Ministerial Commissioner, this could be equivalent to around HUF 300 billion (EUR 750 million), which, assuming a housing price of HUF 60 million (EUR 150 thousand) and a 15 percent deductible, would mean around 30,000 transactions involving housing loans or other sources.

ÖPOSZ has submitted comments on the proposed measure to the National Economy Ministry, it added.

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