No stopping! Hungarian real estate market on the rise!
The Hungarian housing market is living its heydays. This phenomenon appears in multiple forms: high sums of investments, continuously increasing real estate prices and growing demands. Forbes.hu published Duna House Barométer’s analysis from February, which reveals these tendencies. The effects of the changing rates can be already clearly seen.
The most significant change in the market is the 13.7 percent increase in the number of transactions, which means about 13,000 entries in February.
The total number of transactions in the first two months of 2018 is the highest since the financial crisis 10 years ago.
The annual forecast of Duna House also expects 10-20% of an increase in 2018, which means 160,000-180,000 transactions on the Hungarian real estate market this year.
The Buda side of the capital of Hungary produced about 8 percent of an increase in housing sales, while sales regarding real estates on the Pest side increased by 4 percent between 100-120 square meters. Still, most of the sold housings were between 40-60 square meters, so smaller houses seem to be the most demanded.
In both halves of Budapest, real estates above 1,930 euros rule the market, increasing their demand by 14 percent in Buda and 10 percent in Pest. 40 percent of the real estates in Buda were sold for a price higher than 129,000 euros.
If we take a look at the rates outside Budapest and its surroundings, housings between 40-60 square meters are the most marketed ones, representing more than a third of the sales.
In Pest county, however, the slightly larger category (60-80 square meters) is the most popular, making up one quarter of the transactions.
The capital’s area increased by 9 percent in the field of housings between 140-160 square meter, while the sales of real estates with prices between 322 and 805 euros per square meter decreased by 8 percent. Most of the real estates are sold for a price between 32,218 and 48,326 euros in the countryside, while Pest county’s average falls between 48,326 and 80,544 euros.
The eastern parts of Hungary proved to be cheaper than the centre regarding housing prices with its 42,000 euros average. The west is even cheaper with 38,000 euros as the mean price. The price of flats also increased in Budapest: the growth is 322 euros on the Buda side and about 161 euros on the Pest side.
This type of housing is usually sold within 3 months after advertising, which has been a constant tendency for more than a year.
Brick houses became more expensive as well since last year, just as used housings. The highest average price of used real estates was estimated in the inner areas of Budapest, namely 2,213 euros per square meter. Buda’s prices are slightly similar to this average (2,146 euros per square meter), while Pest seems to be much cheaper (1,418 euros per square meter). Brick houses usually take a little longer time to sell than flats; in most cases, it is 100-140 days. This time is even more in Pest.
The most popular district of the capital concerning housing has been District XIII for months; more than 20 percent of the sales took place there.
It is followed by District XIV, which is the former leader of the chart. On the bottom of the list, we can find District XXII and XXIII.