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2024-12-02
The lengthy negotiations, stagnant apartment prices, and sluggish property sales have come to an end: recent data clearly shows that the real estate market has emerged from its previous standstill and has started to pick up again. According to analyses, property prices may continue to rise in 2025, so it is worth acting now, whether you are buying a property for residential or investment purposes. But is it really worth investing in real estate? And if so, what types of discounts should be taken advantage of? We analyzed the situation of the Budapest housing market with an expert.
In just over a month, the real estate market has recovered from its "winter" slumber. After the low point experienced in 2023, real estate players report an unprecedented revival, with both demand and supply increasing significantly.
The figures show that the market recovery started early in the year. According to data from the Hungarian Central Statistical Office (KSH), in the first quarter of 2024, property sales in Budapest increased by 55% compared to the previous year (while only 16% in rural areas), and in the second quarter, the growth in the capital was 38%. In the first half of 2024, the average price of a new apartment in Budapest was already 79 million HUF, 7.9 million more than in 2023.
Real estate portal ingatlan.com also reported significant price increases, with their statistics showing that at the beginning of November, the average price per square meter of apartments in Budapest nearly reached 1.1 million HUF, with prices in eleven districts already higher than that. (One year ago, the average price per square meter in Budapest was still below 1 million HUF.) The demand for both new and renovatable properties has also increased significantly.
"Customers are afraid that apartments will be more expensive next year.
"Customers are afraid that apartments will be more expensive next year." "In the past 6-8 weeks, demand has significantly surged, with inquiries at a much higher level," confirms Anita Sándor, Sales Director at LIVING residential property developer.
"We have observed that most people are looking for properties suitable for investment purposes, such as studio apartments or one-bedroom apartments with a living room, as well as larger apartments with three or four rooms suitable for families. However, the demand for larger apartments is still lower in terms of purchasing power," she continues.
