Budapest real estate market — prices, rental yield and trend

• Average price: $5,043 / m²
• Gross rental yield: 4.47%
• 12-month price change (USD): 10.86%
• Net rental yield: 3.87%
• Transaction cost: 8%
• Bubble-risk band: elevated
• Price basis: local-market average

Residential property in Budapest averages $5,043 per square metre, +10.9% in dollar terms over the last twelve months. That makes it the 78th most expensive of the 264 markets in the set.

What a buyer pays in Budapest

The $5,043 figure is a local-market average across all residential property types: a flat in a prime district sits well above it, an older unit on the edge of the market well below. Buying costs — transfer tax or stamp duty, notary, registration and agency — come to about 8% of the price here. On a 100 m² apartment at the average price that is roughly $40,341 on top of the $504,262 purchase price. That is below the 9.5% median across the set, which shortens the time it takes for a purchase to break even. Of that, the transfer tax alone is 2–4% depending on the buyer and the property; the rest is notary, registration and agency fees. Against the Hungary national average of $4,049, Budapest carries a 24.5% premium — the gap between this market and the country as a whole. Among the other Hungary markets we track, Pécs at $2,937 is 71.7% cheaper, and Debrecen at $3,581 is 40.8% cheaper.

What it earns

A square metre lets for about $18.8 a month. Against a purchase price of $5,043 per square metre that is 4.5% gross, before tax. Both figures come from the same source and the same period, so you can check the arithmetic yourself. It ranks 204th of 311 markets by gross yield. Rental income is taxed at 13.5%, which takes the yield down to 3.9% net. The 0.6-point difference between the gross and net figure is the part most listing sites leave out. On the way out there is a third tax: a non-resident seller pays 0–15% on the gain, depending on how long the property was held and who is selling.

How the tax works. 13.5% of the gross rent: 15% personal income tax on 90% of the rent after the 10% standard expense allowance, with no social contribution (the Szocho Act § 5(2)(h) exempts rental income) and no bracket or threshold, so the rate is the same at every rent level and for non-residents. Itemised expense accounting can bring the real burden down to 8–10%. Source: nav.gov.hu.

Where the price sits against its own history

Prices are +47.6% over five years and +162.8% over ten in local terms. Today’s level sits 59.3% above the city’s own long-run trend. A gap that size does not have to close, but it is the number to watch. Glopra’s bubble-risk score for Budapest is 64 out of 100 — elevated risk. Of the 65 markets scored, 24 read higher. It combines the deviation from trend, price-to-income and the pace of recent growth — a warning light, not a forecast.

Budapest house price index, 2016–2025 (2016 = 100)

Rebased to 100 in 2016, the index stands at 329.6 in 2025. The series is in local currency, and the twelve-month numbers above show how much of that a dollar buyer actually keeps.

Who can buy in Budapest

Freehold; non-EU buyers need a permit. That is the rule a foreign buyer meets first, not legal advice — check the current position locally before you commit.

How this figure is built

The price figure for Budapest is built from asking prices from listings. It was last refreshed on 2026-10-29. We rate our confidence in this market’s data medium: the series is usable, but thinner or less current than our best-covered markets. We recompute every market the same way, which is what lets Budapest be compared with a country average or another city.

Sources: portfolio.hu · telex.hu · airbtics.com. Snapshot: 2026-10-29.