New housing market sees long-awaited turnaround

Single-digit inflation, the Hungarian central bank’s easing measures, and consequently more affordable mortgage loans have brought about the long-awaited turnaround in Budapest’s new housing market, where buyers are returning again.

Last year, rising inflation, increased interest rates on loans and government securities, and the more uncertain economic situation noticeably restrained the demand for new and used homes. However, the situation has changed in the new housing market by now.

“It is worth considering purchasing a new home as soon as possible. Although real estate supply only slightly increased last year, the demand for this stock started picking up by the end of the year. All this has resulted in a decrease in the overall number of available homes. Moreover, from the second half of this year, capital released in the government securities market is expected to also appear in the new housing market, further strengthening the demand side,” says Áron Görög, Cordia’s sales director.

Read the full article at Realista/, here, in Hungarian.