The real cost of buying and renting in Budapest
Budget roughly 5 to 6 percent of the purchase price in one-off costs to buy a resale home: the 4 percent transfer duty, your lawyer's fee and a few fixed fees. For renters, it helps to know that rent is rarely the whole monthly number. Here is every fee laid out plainly, with figures in forints and an approximate euro conversion.
The costs of buying a home
| Cost | Typical amount | Who pays | Notes |
|---|---|---|---|
| Property transfer duty (illeték) | 4% of market value up to 1 billion HUF; 2% on the portion above; capped at 200 million HUF per property | Buyer | The largest item. Same rate for residents and foreigners. NAV sets the market value, usually starting from the contract price, and sends a payment order after the transfer is filed. See when and how it is paid. |
| Lawyer fee (ügyvéd) | about 0.5% to 1% of price plus 27% VAT (some quote up to 1.5%); published minimum fees are around 100,000 to 150,000 HUF | Buyer (resale custom) | Higher end for bilingual contracts and foreign-buyer complexity. There is no official tariff: fees are freely agreed and some firms cap the fee, so ask for a written quote. Your lawyer checks the title and handles the transfer. |
| Agent commission | 3% to 5% (up to about 6.5%) plus 27% VAT | Seller (normally) | Built into the asking price. Buyer usually not billed directly. Practice varies: a few agencies split the fee between seller and buyer or charge the buyer a fee, so ask before you view. |
| VAT on new builds | 5% reduced rate, or 27% standard | Built into price | Normally already in the asking price. Current law ends the 5% rate on 31 December 2026; an extension is proposed. See the VAT section below. |
| Non-EU acquisition permit | 65,000 HUF per property (about 180 EUR); reduced fee 13,000 HUF (about 36 EUR) | Buyer (non-EU only) | Government office fee set by Act LXXVIII of 1993, section 1/B (njt.hu, text in force 1 October 2026); decision due within 45 days. The reduced fee is for buyers with free-movement or long-term residence status who have applied for Hungarian citizenship and are buying a home. Euro approximate at about 365 HUF per EUR (ECB reference rate, 30 October 2026). |
| Mortgage-related: valuation (értékbecslés) | about 40,000 to 60,000 HUF (about 110 to 165 EUR) | Buyer (if financing) | Higher for houses. Banks often waive it under a promotion, so it can be 0. |
| Mortgage-related: loan disbursement (folyósítási díj) | Often a percentage of the loan | Buyer (if financing) | Frequently waived (0 HUF) under a promotion. Check the bank's conditions list (kondíciós lista). |
| Mortgage-related: charge registration (jelzálogjog bejegyzés) | 20,000 HUF (about 55 EUR), fixed | Buyer (if financing) | Fixed state land-registry fee per property since mid-2024. The biggest non-waivable mortgage item. |
| Land registry fee (ownership registration) | 10,600 HUF per property (about 29 EUR), fixed | Buyer | State fee for registering you as owner, paid when your lawyer files the transfer (government office land registry fee list, retrieved 11 November 2026). Separate from any mortgage charge registration above. |
| Condominium common charges | Ongoing monthly | Owner | Ask for the figures before buying. |
Sources, retrieved 11 November 2026: transfer duty rate, market-value basis and cap per Act XCIII of 1990, sections 19 and 69 (njt.hu, text in force 1 October 2026); land registry fees per the government office fee list; lawyers' fees are freely agreed under Act LXXVIII of 2017, section 30, with published minimums from Financera, 26 October 2026 (100,000 to 150,000 HUF) and one law firm's price list (e-ingatlanügyvédek.hu, 31 August 2026: minimum 150,000 HUF, capped at 600,000 HUF); who pays the agent per the same two sources and Engel & Völkers Hungary, which splits its fee between seller and buyer. The 5 to 6 percent total is the sum of the rows above for a resale purchase and matches the 5 to 6 percent an adviser suggests setting aside in Economx, 12 June 2026. Verify current figures with your lawyer. These are cost rates set by policy or market convention, not market prices per square meter. Euro figures approximate at about 365 HUF per EUR (ECB reference rate, 30 October 2026). Data and sources.
Where the one-off costs go
An illustrative 80 million HUF resale bought with a mortgage, using the rates above and the calculator assumptions. The transfer duty (illeték) is by far the largest item; the calculator below runs your own price.
| Cost component | Amount (HUF) | Share |
|---|---|---|
| Transfer duty (illeték, 4%) | 3,200,000 | about 79% |
| Legal fee (0.75% + 27% VAT) | 762,000 | about 19% |
| Valuation (értékbecslés) | 50,000 | about 1% |
| Charge registration (jelzálogjog) | 20,000 | under 1% |
| Total one-off costs | 4,032,000 | 100% |
Illustrative only, for a resale purchase with a mortgage: about 5 percent of the price. Excludes the 10,600 HUF land registry fee, the non-EU acquisition permit and any waivable or seller-paid items. Rates per the table above and the calculator assumptions. Euro figures approximate at about 365 HUF per EUR (ECB reference rate, 30 October 2026).
Buying cost calculator
Enter a price to see the main one-off costs of buying a resale or new-build home in Budapest. Figures update as you type. This is an estimate of purchase costs only, not a quote. Euro figures are approximate at about 365 HUF per EUR (ECB reference rate, 30 October 2026).
Assumptions and sources
- Transfer duty (illeték): 4% of the price up to 1 billion HUF, 2% on the portion above, capped at 200 million HUF per property. Same for residents and foreigners. NAV charges it on market value, so the contract price is the working assumption here.
- Not added: the fixed 10,600 HUF land registry fee for registering ownership, and the non-EU acquisition permit (65,000 HUF) where it applies.
- Legal fee (ügyvéd): the percentage you set, plus 27% VAT. Typically 0.5% to 1% in practice.
- Valuation (értékbecslés): about 40,000 to 60,000 HUF, often waived under a bank promotion. Source: e-ingatlanügyvédek.hu.
- Mortgage charge registration (jelzálogjog bejegyzés): fixed 20,000 HUF per property since mid-2024. Source: jutasi.hu.
- New-build VAT (5% reduced or 27%) is normally already in the asking price, so it is not added again here. Confirm the rate with your lawyer.
- Loan disbursement (folyósítási díj) is often a percentage and frequently waived, so it is not added by default. Check the bank's conditions list (kondíciós lista).
- Agent commission is normally paid by the seller and built into the price, so it is not added to the buyer total.
- EUR figures are approximate at about 365 HUF per EUR (ECB reference rate, 30 October 2026). Check the live rate against a real offer.
The real monthly cost of renting
Here is the full monthly picture beyond the headline rent, so you can budget with confidence.
The headline number first: citywide asking rents in early 2026 average about 190,000 HUF per month for a studio, 260,000 HUF for a one-bedroom, and 360,000 HUF for a two-bedroom (KSH-ingatlan.com rent index; district ranges here). Everything below is what stacks on top of that rent.
| Cost | Typical amount | Notes |
|---|---|---|
| Deposit | 2 to 3 months' rent | 3 if you have pets. More than 3 months is unusual and worth a second look. |
| Advance at signing | First month's rent | Usually paid with the deposit at signing. |
| Common charge (közös költség) | about 9,000 to 37,000 HUF/month for a 50 to 60 m² flat (about 25 to 101 EUR) | Building and maintenance fee for shared areas, usually separate from rent. Each building sets its own rate: about 180 to 350 HUF/m² where water is metered separately, about 470 to 620 HUF/m² where water is included. |
| Metered utilities | about 30,000 to 55,000 HUF/month | Electricity, gas, water, heating, internet. |
| Agent fee (if used) | about one month's rent | Only where an agent is involved. You do not need one to rent. |
Common charge: rate sheets published by two Budapest buildings (in force from 1 May 2026 and from 1 January 2026), retrieved 11 November 2026; these are examples, not an average, as no official statistics exist (Pénzcentrum, 25 January 2026). Euro figures approximate at about 365 HUF per EUR (ECB reference rate, 30 October 2026).
VAT on new builds
New-build homes carry VAT in the price. A reduced 5 percent rate applies to qualifying new residential units (flats up to 150 m², houses up to 300 m²), while the standard rate is 27 percent. The current law ends the reduced rate on 31 December 2026, with a transition to 2030 for projects whose building permit is final by then. The government announced on 20 October 2026 that it will keep the 5 percent rate with no end date and submitted the bill to Parliament on 27 October 2026 (Portfolio, 20 October 2026; Andersen Hungary, 30 October 2026), so check its status. Because VAT is built into the price you are quoted, check with your lawyer which rate applies to a specific new development before you commit.
Annual taxes
Annual property taxes in Hungary are local taxes, decided by each municipality and, in Budapest, by each district. The main one for owners is the building tax (építményadó), and some municipalities charge a flat communal tax (kommunális adó) per home. Whether a tax applies, the rate and the exemptions differ from district to district and can change by local decree, so ask your lawyer or the district tax office what applies to your flat. The Local Taxes Act caps building tax at 1,100 HUF per m² a year, a ceiling that is indexed to inflation, or at 3.6 percent of the adjusted market value (Act C of 1990, sections 6 and 16; njt.hu, text in force 1 October 2026).
One newer item to know about: under the 2025 law on protecting local identity, a municipality, and in Budapest a district, may adopt a decree that asks people moving in from elsewhere to pay a settlement contribution (betelepülési hozzájárulás) (Act XLVIII of 2025, section 11; njt.hu, retrieved 11 November 2026). It exists only where a local decree says so, and your lawyer checks this for the specific address.
Capital gains when you sell
If you sell a Budapest home, the tax on a profit is personal income tax (SZJA) at 15 percent on the gain, the profit only, not VAT and not the whole sale price. The gain is roughly the sale price minus what you paid and your documented costs. Selling residential property is not a VAT event for a private seller.
The taxable share of the gain shrinks with each calendar year you have owned the home and reaches zero from the fifth year after the year of purchase. NAV counts from the year your purchase contract was submitted to the land registry, not from the exact date:
| Calendar years after the year of purchase | Taxable share of the gain | Effect |
|---|---|---|
| Year of purchase and year 1 | 100% | Full gain taxed at 15% personal income tax |
| Year 2 | 90% | Tax base starts to taper |
| Year 3 | 60% | Tax base reduced |
| Year 4 | 30% | Tax base reduced further |
| Year 5 and later | 0% | No personal income tax, the sale is tax-free even at a profit |
So a home sold in the fifth calendar year after the year of purchase, or later, carries no personal income tax on the gain. For example, a flat bought at any point in 2021 can be sold free of this tax from January 2026 (NAV, 14 October 2026). A sale by a company is taxed differently, under corporate tax. These rules are set by policy and can change, so confirm the current taper with your lawyer or accountant.
Currency, transfers, and paying from abroad
Euro figures on this site are approximate, converted at about 365 HUF per EUR (ECB reference rate, 30 October 2026). The exchange rate moves, sometimes noticeably, so it is worth checking the live rate against a real offer rather than relying on a conversion here.
Frequently asked questions about Budapest costs and taxes
How much are the total costs of buying a home in Budapest?
Budget roughly 5 to 6 percent of the purchase price in one-off costs to buy a resale home. The largest item is the property transfer duty (illeték) at 4 percent. The lawyer's fee adds about 0.6 to 1.3 percent including VAT, and the land registry fee for registering your ownership is 10,600 HUF. A non-EU acquisition permit (65,000 HUF) and mortgage-related fees come on top where they apply. Agent commission is normally paid by the seller, so it is not in this figure; if an agency also charges the buyer, add that fee.
How much is property transfer duty (illeték) in Hungary?
Transfer duty is 4 percent of the home's market value up to 1 billion HUF, and 2 percent on the portion above that, capped at 200 million HUF per property. The rate is the same for residents and foreigners, and the tax office (NAV) assesses it after the transfer is filed.
Is transfer duty charged on the price or the market value, and when do I pay it?
The duty is 4 percent of the home's market value (forgalmi érték). The tax office (NAV) determines that value from comparable sales and can take the price you declare into account, so the contract price is the usual starting point. You do not pay at signing: after your lawyer files the transfer, NAV sends a payment order, to be paid within 30 days of receiving it. First-home buyers can ask NAV for surcharge-free monthly instalments over up to 12 months, and other buyers can apply for instalments or a deferral. If you sell another home within five years before or one year after the purchase, the duty is charged only on the difference in value between the two homes (replacement-home relief, cserét pótló vétel), so tell your lawyer about any such sale.
Duty rules: Act XCIII of 1990 on duties, sections 19, 21, 26(15), 69 and 78 (njt.hu, text in force 1 October 2026), and NAV, 14 October 2026, both retrieved 11 November 2026. The five-year window for replacement-home relief comes from the Act as amended by Act LXXXIII of 2025; NAV's page still showed the earlier three years on that date, so ask your lawyer to confirm it for your purchase.
What does a property lawyer cost in Budapest?
The lawyer fee is typically about 0.5 to 1 percent of the price plus 27 percent VAT, with some quoting up to 1.5 percent. There is no official tariff: fees are freely agreed, published minimum fees are around 100,000 to 150,000 HUF, and some firms cap the fee, so ask for a written quote. The higher end reflects bilingual contracts and foreign-buyer complexity. Your lawyer is the person who checks the title and handles the transfer in a Hungarian deal.
What does renting actually cost each month beyond the rent?
Beyond the headline rent you usually pay a common charge (közös költség) for shared-area upkeep, about 9,000 to 37,000 HUF per month for a 50 to 60 m² flat depending on the building and on whether water is included (2026 rate sheets from two Budapest buildings), plus metered utilities (electricity, gas, water, heating, internet) of about 30,000 to 55,000 HUF per month. At signing you also pay a deposit of 2 to 3 months' rent and a first month's rent in advance, plus an agent fee of about one month's rent only if an agent is used.
Is there capital gains tax if I sell within 5 years?
Yes, in the first few years. The tax is personal income tax (SZJA) at 15 percent on the gain only, not the whole sale price. NAV counts calendar years from the year of purchase: the taxable share of the gain is 100 percent in the year of purchase and the year after, 90 percent in the second year after, 60 percent in the third, 30 percent in the fourth, and 0 percent from the fifth year after the year of purchase. So a home bought in 2021 or earlier can be sold in 2026 with no personal income tax on the gain.
Want a figure sanity-checked for a real property?
Your own independent, bilingual lawyer can confirm the figures for a specific deal. For a quick gut-check on whether a cost looks normal, the community has been through it and is happy to help.
Foreign-buyer document and cost checklist
This whole page in your pocket: a one-page checklist of the documents to line up and every one-off cost to budget for when buying as a foreigner.
Want to talk it through with a human?
For now, the guides and the community are the best route. Down the road we plan to offer openly priced help ourselves, plus a small vetted circle of independent professionals. No hidden fees, ever. Exactly how this site makes money.
Where a number is set by government policy it can change. Confirm current figures with your lawyer before you commit money. Euro figures are approximate at about 365 HUF per EUR (ECB reference rate, 30 October 2026); check the live rate. Data and sources.
Make it easier
- Rent cost calculator: add up rent, building charge and utilities for any listing.
- Buyer timeline and cost tracker (PDF): plan every payment from offer to land registry.
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