Because of the coronavirus outbreak the average monthly rent in Budapest fell to HUF 156,000 at the end of the second quarter from HUF 175,000 at the start of the year, according to a new joint research project of the Central Statistical Office (KSH) and realtor Ingatlan.com, state new wire MTI reports.
The average monthly renting price in county seats was HUF 108,000 at the end of Q2 and HUF 138,000 in cities. The renting price in cities was higher as this category includes agglomeration areas outside of major settlements, the report notes.
The average flat on offer was between 53-60 sqm and the median moved between 50-52 sqm in the first half of 2020.
In Q2 the average per square meter price was HUF 3,100 in the capital, HUF 2,200 in cities, and HUF 2,000 in county seats.
A long-running dataset shows that both the average and the median monthly renting price of residential properties rose between 2015 and 2020, the period examined by KSH and Ingatlan.com
In H2 2015 the monthly average was HUF 106,000 and the median was HUF 90,000 for residences rented out by private individuals. These rose to HUF 136,000 and HUF 125,000, respectively, by H1 2020.
The average monthly rent in Budapest in H1 2015 was HUF 140,000, while in cities it was HUF 123,000 and HUF 90,000 in county seats.
KSH noted that the proportion of rentals in the Hungarian housing market is extremely low in European comparison with micro census data from 2016 showing that only 6.7% of residential properties, some 260,000 homes are used by renters. In 2018 around 4.8% of the population lived in rented properties compared to the 21% EU average.
In an explanatory text, KSH noted the research had its limitations as data offered by Ingatlan.com do not cover the entire residential renting market. They only cover current renting offers and give no data on ongoing renting contracts.