Ernő Takács said home builds were on the rise, parallel with an increase in sales and prices, boosted by savings coming out of maturing retail government securities in the first half of the year and the announcement in the summer of the Home Start subsidized credit scheme for first-time home buyers.
He added that the 16,000 homes built in 2025 were still well under the 25,000 annual number necessary to replace the country’s ageing housing stock.
Takács acknowledged government steps to expedite projects with units eligible for Home Start credit but suggested the government could make the 5% VAT rate on new homes a permanent, rather than a temporary measure.
Takács said property market investments were set to double to EUR 800 million in 2025 and could reach EUR 1 bln in 2026.
He added that the Hungarian capital dominated the market, but Chinese investors were becoming more active as ones from Western Europe scaled back their activity.
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