Home Building Permit Issues Plunge in H1
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The number of home building permits issued in Hungary fell 38.6% year-on-year to 10,880 in the first half, data released by the Central Statistical Office (KSH) on Monday show.
The number of permits issued for homes in the capital slipped 16.6% to 4,258, while the number issued for homes in county seats and cities with populations over 50,000 fell 37.9% to 1,716. The number issued in smaller cities plummeted 47.2% to 2,743. In the country's smallest settlements, the number of home building permits issued slipped 53.5% to 2,163.
Last summer, Hungary's government announced a two-year extension, until the end of 2024, of a temporary 5% preferential VAT rate for home construction.
The number of home completions fell 19.5% to 7,353. Home completions in the capital dropped 36% to 2,316. The number declined 28% to 1,126 in county seats and cities with populations over 50,000 and fell 6.9% to 2,322 in smaller cities. In Hungary's smallest settlements, the number increased by 9.2% to 1,589.
Detached homes accounted for 48% of completions. Homes in multi-storey buildings with multiple dwellings made up 45% of the total and homes in residential parks 4%.
The average new home size was 97 sqm.
The share of homes built by businesses stood at 60%.
The data show 825 homes were demolished or condemned in H1.
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