Property bUDAPEST

Within this section of the Arena Estates website you will find useful information on the buying and selling of Hungarian property in the country’s capital city of Budapest and its surrounding areas. Arena Estates specialises in the sale of quality real estate product and the most viable worldwide property investment opportunities and in this section of the website we have tried to provide as much useful information as possible on the exciting newly emerging Budapest property market.

Unlike the other areas in Europe in which we currently operate, the city of Budapest is in a completely landlocked country and is not a traditional holiday destination. The reason we are here and have invested ourselves in the Budapest property market is that we are excited by the fantastic potential for capital growth.

Until 1988 Hungary was firmly locked away from the outside world within the old Iron curtain of the Soviet block. Since the historic elections of 1990 governments have come and gone, but the administration of the country’s capital city Budapest remained in the hands of Gábor Demszky ensuring a continued period of stability and growth. Of the ten new entrants to the European Union in 2004 Hungary’s economy has proved the most dynamic and it also has one of the highest per capita GDP’s. Many commentators and analysts have compared the Budapest property market to that of Ireland’s (and in particular that of Dublin) during the first few years of the 1990’s. Early bird investors have so far made a killing with Hungarian property in Budapest, but with all the economic indicators looking good, there is still a lot of growth to come.

Between 2003-05 the economy has seen a positive growth rate of 15-20% and in the Budapest property market, rental incomes have provided minimum yields of 7% rising to around 10%. There are a number of solid reasons and indicators to suggest that Hungary’s economy should continue to grow at current rates. Politically Hungary is stable and its system of government is transparent which has led to numerous Fortune 500 companies moving all or part of their European workforce into the country.

Although between 1999 and 2003 Budapest property prices increased by 60 percent, property investors can feel secure that there is still much more to gain from buying Hungarian property here. The European Union has invested significantly in Hungary since May 2004 and this inward investment is set to continue. One important factor contributing to Hungary’s continued economic success is the drive towards adoption of the Euro set for 2012. Government policy should remain sensible and stable in coming years as this target of further European integration is aimed for.

Another factor contributing to the growth in the property market and increases in prices of Hungarian property for sale in Budapest is geography. Fundamentally the city of Budapest is located at the heart of Europe, few of the other new EU entrants can boast such a positive location. As an ancient European capital city it has many of the charms and cosmopolitan nature of other major European cities, which coupled with the dynamism of the economy in the decade and a half since communism makes the still very low property prices extremely attractive for both investors and those looking for second homes in a European capital of culture.

For more information on Budapest property for sale please contact us on +36 1 266 5968 or e-mail info@arenaestates.com and an experienced advisor will be in touch as soon as possible.

Inspection trips to Budapest from £149