Hungary property prices are rising at their slowest annual pace in more than two years, while Budapest’s residential market has remained virtually unchanged for three months. New figures also reveal substantial price differences between the capital’s districts, following a brief surge in buyer interest at the end of October.

Hungary’s residential property market appears to be entering a quieter period after years of rising prices. According to the latest figures published by property listings platform ingatlan.com on Wednesday, 11 November, annual house price growth slowed to 6.9% in October, down from 8.2% in September.

The slowdown was particularly pronounced in Budapest, where prices increased by just 1.8% compared with October 2025 – the weakest annual growth recorded in the capital since December 2023.

On a monthly basis, Hungary property prices rose by only 0.2%, while Budapest recorded virtually no change.

The latest figures suggest that the previous wave of rapid price increases has lost momentum, although a nationwide decline in property values has yet to emerge.

Budapest property prices have barely moved for three months

The stagnation in Budapest is especially noteworthy because the Hungarian capital remains by far one of the country’s most expensive housing markets.

According to the latest ingatlan.com figures reported by MTI, the median asking price for existing residential properties in Budapest stood at HUF 1.4 million (€3,862) per square metre in early November.

That was practically identical to the figure recorded a year earlier.

For buyers considering a typical 60-square-metre property, this translates into an indicative asking price of HUF 84 million (approximately €232,000).

However, the capital’s overall median conceals significant differences between neighbourhoods.

The price gap between Budapest’s districts remains enormous

Budapest’s central 5th district remains the most expensive area for existing properties, with median asking prices approaching HUF 2 million (€5,517) per square metre.

At the other end of the market, the 20th and 21st districts have median asking prices of approximately HUF 1.03 million (€2,841) per square metre.

This means that, based on district-level median prices, a 60-square-metre property would have an indicative asking price of almost HUF 120 million (€331,000) in the 5th district, compared with approximately HUF 61.8 million (€170,000) in the more affordable outer districts.

The difference approaches HUF 58 million (€160,000), illustrating why location remains one of the most important factors influencing property affordability in Budapest.

Newly built properties command an additional premium.

The median asking price for new homes in the capital reached HUF 1.72 million (€4,744) per square metre in early November, representing an annual increase of 4.5%.

The 2nd district recorded the highest median new-build price, at HUF 3.1 million (€8,551) per square metre.

These figures also demonstrate that the slowdown is not uniform across property categories. While the broader capital market has stagnated, newly built homes continue to show higher annual asking prices.

A final rush before Hungary’s mortgage programme changed

Another important development occurred at the end of October, when Hungary’s government-backed Otthon Start mortgage programme was being phased out and replaced by Wekerle Plusz.

If you missed it: What is Wekerle Plusz? Here’s the new housing programme the government offers instead of Orbán’s Home Start

According to ingatlan.com’s October demand analysis, the final days of the previous scheme triggered a temporary surge in buyer interest.

Between 26 and 30 October, telephone enquiries about properties advertised on the platform were 38% higher than on an average September day.

The increase was even more pronounced for Budapest properties meeting the former programme’s eligibility criteria, where enquiries were estimated to be 55% above the level expected without the policy change.

However, the surge proved short-lived. By 31 October, buyer interest had already fallen below the level normally recorded on a Saturday.

Across October as a whole, approximately 250,000 telephone enquiries were registered for properties for sale. Despite the temporary increase compared with September, average daily demand remained 15% below its level a year earlier.

The figures indicate that the late-October rush was closely linked to the mortgage deadline rather than necessarily signalling a broader recovery in demand.

What does the slowdown mean for buyers in Hungary?

The latest figures offer a mixed picture for prospective homebuyers.

On one hand, Budapest prices are no longer increasing at the pace seen during earlier periods of rapid growth. The capital’s three-month stagnation may also reduce some of the pressure on buyers to make immediate decisions.

On the other hand, relatively stable prices do not automatically mean affordable housing.

Even in Budapest’s less expensive districts, the purchase of a typical flat requires substantial savings or mortgage financing.

The government’s new Wekerle Plusz programme introduces different borrowing conditions for newly built and existing homes, potentially influencing which properties attract buyers.

Whether this leads to sustained changes in housing demand and prices remains uncertain.

For now, the evidence points towards a market that is cooling rather than collapsing.

Is Hungary’s housing market entering a new phase?

The latest property figures raise a broader question about the future of Hungary’s residential market.

Want to explore Hungary’s property market beyond Budapest?

The extended analysis on Substack compares housing costs in Hungary’s largest cities, examines the growing supply of properties for sale and explores how the new mortgage scheme could affect buyers.

Read our full Hungary property market analysis on Substack.

The slowdown in Budapest is occurring alongside significant differences in housing costs across the country, changes in mortgage support and shifting patterns of buyer demand.

These developments could become increasingly important for Hungarian households, foreign residents considering a property purchase and investors assessing the market.

While prices remain high, October’s figures suggest that the period of rapid and widespread increases may be giving way to more stable market conditions.

The coming months will show whether Budapest’s stagnation becomes a lasting trend – and whether the rest of Hungary’s housing market follows the same path.

As we wrote a few weeks earlier, Hungary’s property prices hit major negative milestone nationwide