Residential property listing prices in Hungary were largely flat in October, according to data from real estate portal zenga.hu. Nationally, average advertised prices per sqm rose by just 0.1%, while in Budapest they fell 0.5% compared with September. The national average price remains at approximately 1 million forints per sqm, while the Budapest average stands at around 1.5 million forints per sqm. Annual price growth has also slowed, with Budapest recording a 3% year-on-year increase and the national figure slowing to 6%.
In Budapest, average listing prices per sqm fell in 12 of the city's districts between September and October, though in most cases the decline did not reach 1%. "Taking the composition effect into account, prices eased across all major areas of Budapest in October compared with September. The largest decline, of 1%, occurred in the inner districts of Pest, while outer Pest districts saw a 0.2% fall and Buda a 0.1% decline," said Péter Futó, head of analysis at zenga.hu.
Settlements around Budapest recorded a 0.2% rise in average asking prices, while Balaton-area settlements saw prices increase by 0.5% despite weak demand, suggesting sellers there have so far been slower to adjust to reduced buyer activity.
Among property types, panel-block flats have seen the most pronounced price correction. October brought a 0.8% monthly decline, bringing the total fall since the April peak to nearly 3% nationally. Brick-built flats also continued to correct, dropping 0.6% month-on-month, while detached houses rose 0.6%. In Budapest's 9th and 11th districts, average panel flats in good or standard condition are now listed 5% below year-earlier levels, with the 20th district down 4% and Zugló down 3% year-on-year. In the 8th district, panel flat prices have fallen 7% from their April peak.
"The coming months' prices will be significantly influenced by how demand develops following the phasing out of the Otthon Start scheme and the introduction of the more restrictive Wekerle Plusz programme. If buyer activity declines due to the changed financing conditions, that could further slow annual price growth and, in some property types and regions, bring further price falls," Péter Futó added.
