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Home construction up 30%, new permits down 27%

Some 4,775 new dwellings were built in Hungary in the first quarter of 2020, up 30% compared to the same period a year earlier, but the number of dwelling construction permits and simple declarations fell, according to data by the Central Statistical Office (KSH).

The number of homes to be built decreased by 27% compared to Q1 2019. Based on issued construction permits and declarations, the number of planned dwellings stood at 7,032.

Nearly half (51%) of new dwellings are planned to be built in the capital. With the exception of a slight (1.1%) decrease in Budapest, the number of dwellings to be built decreased significantly in all settlement categories: by 50% in towns of county rank, by 41% in other towns and by 36% in villages.

According to KSH, builders used the simple reporting option in 37% of cases. This proportion was lowest in Budapest (4.5%) and highest in villages (95%).

More homes built in all settlement types

In Budapest, 1,184 new dwellings were put to use, up 29% compared to Q1 2019. The number of homes completed rose in every settlement category: by 8.1% in towns of county rank, by 44% in other towns, and by 38% in villages. The proportion of dwellings built by individuals fell from 45% to 43%, while that of dwellings built by enterprises increased from 54% to 57%.

Some 48% of dwellings put to use in new residential buildings were in detached houses, 46% in multi-dwelling buildings, and 1.5% in resident’s parks.

The average floor-area increased to 96.5 sqm, up 0.5 sqm compared to the first quarter of last year.