Hungary » The Purchase Process

Foreign individuals and organizations can purchase residential, industrial or commercial real property in Hungary. Foreigners acquire agricultural land only if the land is not greater than 6000 sq meters and if the land lies outside residential or commercial areas (outside villages). Foreigners who have been living in Hungary for at least 3 years or longer, and who make a living from agricultural activity, can purchase agricultural land in Hungary. Non - European citizen must apply for a permission from the local authorities in order to purchase property in Hungary.

The steps of purchase process are given below:

• Once a property is selected, you will need to hire a capable lawyer. A lawyer's contribution is necessary to prepare and counter-sign your purchase contract anyway.
• You need an approval first from the mayor of the Local Government then from the Administration Office of the county. If these two bureaucratic organizations declare that the purchase does not interfere with any municipal or other public interests, your purchase permit is approved.

• Each of these two offices may take as long as 30 days to issue the permission. Because of the time factor, the seller must be informed of the process before the Purchase Agreement is signed.
• A meeting between the seller, buyer, and lawyer is then arranged, at which the contract is signed in the presence of the parties and a representative of the real estate office. Now the buyer is expected to hand over 10% of the agreed price as down payment.
• The most important step is when the buyer and seller sign the Closing Statement, which is a declaration that the purchase price has been paid in full and possession transferred. The buyer then takes possession. The final registration of ownership rights takes about six months.