Hungary » Market Report

Hungary is one of the most popular Eastern European countries for second home owners. This trend is projected to increase now the nation has joined the EU. Even prior to EU membership the property market was healthy. The development of an industrialist economy and the growing tourist industry has all had a positive impact upon property values. Investors have seen very considerable returns over recent years and it is widely expected that growth rates will be maintained or even increase in the future.

The improvement in economy led to high building standards for property in Hungary and to world-wide interest in Hungary real estate. Today, Hungary is a rather stable country, whose economical situation is steadily improving. The recent prosperity in Hungary has further increased demand for property in Hungary. Hungary is fulfilling all the conditions like stability, financial growth and real estate demand. Making property in Hungary is a great investment because real estate market is flourishing.

Combination between high development rate and low prices has made property in Hungary a great investment immediately after the fall of the communism. The risks were high, since Hungary's economy, social and political situation were not stable, however the profits were also high. Property in Hungary had an extremely high yield, making these years the gold years in Hungary real estate investments.

The retail property market is diversifying, maturing and competition is heating up and international retailer confidence and commitment is based on the belief that strong spending patterns will resume as underlying GDP growth levels positively adjust from 2008 onwards.

Although all the aforementioned conditions exist, Hungary still has to undergo an important change: to change its currency and use the Euro. The fact that Hungary is using local currency offers a great opportunity for foreigners who wish to invest in Hungary real estate. The expected change is making our days an ideal time to invest in Hungary real estate for several reasons. Current low prices are making the acquisition of property in Hungary inexpensive. The anticipated change of currency is predicted to cause an increase in real estate prices, thus, investment in Hungary real estate is predicted to give a high yield.

International Property Brokers forecast, taking under consideration the rapid maturing era of buy-to-let sector, that the value of property in Hungary will experience a further growing phase of around 15% to 20% more. Investors may find it a feasible time for investing in the property market as the current analysis denotes a great possibility in the future for a growing market.