Cheaper Counties Lead Hungary's Property Market as Demand Cools in Expensive Regions

Hungary's real estate market is exhibiting diverging trends, with demand cooling in previously booming, high-priced areas while cheaper, less developed counties are seeing sustained interest and delayed price increases. Counties such as Jász-Nagykun-Szolnok, Békés, and Szabolcs-Szatmár-Bereg are experiencing price hikes that lag behind the national average, maintaining their affordability compared to major economic hubs.

In contrast, regions that have seen significant price appreciation in recent years, like Csongrád-Csanád and Baranya counties, are now witnessing a notable decline in buyer interest. Demand has fallen by 15% in Csongrád-Csanád and 7% in Baranya, areas that benefited from industrial investments and investor activity. Pest county and Veszprém county also reported decreases in interest, with 8% and 11% drops respectively, suggesting that rapid price increases in Budapest's agglomeration are prompting buyers to wait.

Budapest itself has become the biggest loser in terms of market activity. Data indicates a 29% average decrease in inquiries during the first five months of the year compared to last year. This downturn is largely attributed to the substantial price surge in the capital, where the average advertised price per square meter has reached 1.5 million forints. This high cost is narrowing the pool of potential buyers, pushing price-sensitive individuals towards more affordable rural areas. Demand in the capital is now largely concentrated on properties meeting the criteria of the 'Otthon Start' program.