Average Housing Prices in Budapest Soar to €250,000

Demand for real estate in Hungary has surged in recent months, leading to a sharp increase in prices in February 2025, according to Tudastar, citing data from Ingatlan.

The average housing price in Budapest has risen by 17%, reaching nearly HUF 100 million (€250,000). Compared to January, the increase is 4.4%.



Across Hungary, prices have grown more moderately: +10.4% annually and +2.4% monthly. Regions with the highest year-over-year price increases include Southern Transdanubia, Northern, and Southern Great Plain, where prices have risen by 11.2%. More moderate increases have been recorded in Pest County, Central and Western Transdanubia, and Northern Hungary, ranging from 4.8% to 7.3%.

Why Are Prices Rising So Fast?

According to Ingatlan.com’s chief economist, László Balogh, the increased demand in early 2025 has directly influenced prices, with sellers reacting quickly to heightened interest. The rapid price surge in Budapest and across the country is primarily driven by supply struggling to keep up with demand.

As of early March, the average price per square meter in the secondary housing market reached HUF 1.24 million (€3,100). In Budapest’s most desirable districts, buyers are now willing to sign contracts at HUF 1 million (€2,500) per square meter as soon as such offers become available.

However, more affordable options are still available. For example, in District X, the average price per square meter is HUF 975,000 (€2,437), while in suburban districts (XV, XVI, XVII, XVIII, XIX, XX, XXI, and XXIII), prices range from HUF 767,000 to 922,000 per sq. m (€1,917 – 2,305).

Mortgage interest rates in Hungary currently range between 6.3% and 6.7%, with monthly payments between HUF 129,402 and 133,000 (€324 – 333), offered by MBH Duna Bank, UniCredit Bank, Gránit Bank, and MagNet Bank.

Where Are the Cheapest Apartments in Budapest?

The average price of resale apartments in Budapest is approaching HUF 100 million (€250,000), reaching HUF 97 million (€242,500) in early March—a record high. The average price of all secondary-market housing (including houses) is HUF 108 million (€272,000).

The most affordable districts include Districts XX and XXIII, where the average apartment price is HUF 55 million (€138,000), and Districts XXI and X, where prices range from HUF 57–58 million (€143,000 – 146,000).



Outside Budapest, the cities with the most real estate listings include Pécs, Debrecen, Kecskemét, and Szeged, where prices range from HUF 688,000 to 732,000 per sq. m (€1,739 – 1,839). The cheapest housing options can be found in Salgótarján, Békéscsaba, Kaposvár, Miskolc, and Szolnok, where prices range from HUF 282,000 to 485,000 per sq. m (€709 – 1,219).

What’s Next for Hungary’s Real Estate Market?

Duna House predicts that Hungary’s real estate market will continue to strengthen in 2025, with an increase in transactions and mortgage lending. The market is supported by government programs such as:

- CSOK housing subsidies
- Employer housing benefits for rent and loan payments
- State-supported loans for young professionals

These factors could drive a 10-20% increase in housing prices by the end of 2025.

Meanwhile, Reuters reports that the Hungarian government plans to allow citizens to use private pension funds for real estate purchases tax-free. This initiative aims to stimulate the housing sector ahead of the 2026 elections, injecting approximately HUF 300 billion (€754 million) into the market, potentially raising prices by 10-15%, particularly in major cities.



Foreign investments were expected to grow in 2024 due to the launch of Hungary’s Golden Visa program. However, the real estate investment option was removed, reducing interest in the scheme. As a result, only 25 applications were submitted in the first two months of 2025.

Additionally, Hungary’s rental yield remains low, ranging from 1.7% to 4.4%, making rental investments less attractive to foreign buyers.