Which one is more profitable for university students: renting or buying real estate in Hungary?
The founder and owner of GDN Ingatlanhálózat, Zoltán Gadanecz, has revealed that rents have fallen by 20 per cent this year compared to previous years, because of the coronavirus pandemic, so it might be worth it to rent an apartment instead of buying, reported Blikk.
“As a result of the coronavirus, this difference has levelled off mainly in Budapest, but also in several university towns; rents no longer reach last year’s levels, in contrast to sales prices, which the market did not react to so quickly during the pandemic,” the expert explained.
He says that renting can be a good choice if someone wants to bear less burden, but buying is better for those who have investment goals. “If someone has long-term purchase intentions, or wants to invest their money in an apartment in a frequented part of a university town or Budapest, then they still have a right to.”
He says, however, that those who do not have such interests or plans, can rent an apartment without many fears, because of the normalisation of rent prices, they will not be financially disadvantaged. However, those who do not have such plans can boldly rent an apartment due to the normalisation of rents; there is no financial disadvantage.
Budapest’s the external areas, and the Budapest agglomeration were less affected by the decrease, but downtown Budapest is experiencing a 20 per cent drop in prices, which can last for up to a year or two.