The main exhibitors at the country's stand will be innovative industrial property developers at the world's largest real estate development exhibition.Continue reading
The boom in the housing market at the start of the year was driven by a surge in demand for newly built homes, according to the latest analysis by real estate website Ingatlan.com. According to the summary, while demand for second-hand apartments and houses for sale rose by three percent year-on-year in January, the real estate portal recorded 73 percent more telephone enquiries for newly built homes.
It was primarily investment buyers who boosted demand for new residential properties, which is approaching a five-year record level, with a particularly strong interest in Budapest, said László Balogh, chief economic expert of Ingatlan.com. While supply has also expanded, the market for new homes remains in demand, and more supply would be needed for real competition to emerge.
One of the main reasons for the exceptionally high prices in this segment of the property market is the relatively tight supply.
The average price per square meter of the more than 3,000 new residential properties for sale in Budapest exceeds HUF 1.5 million (EUR 3,725), with only two districts, the 18th and 20th districts, remaining below HUF 1 million (EUR 2,482). The average price per square meter is close to HUF 1.6 million (EUR 3,972) in the 11th and 13th districts, which offer the largest selection of new homes, and in districts 1, 2, and 12 on the more expensive Buda side, the average price per square meter is over HUF 2.6 million (EUR 6,455).
In Pest county, the average price per square meter for newly built properties is slightly above HUF 900,000 (EUR 2,235). In total, more than 1,000 new homes are waiting to be bought in the county seat towns, at an average price of HUF 950,000 (EUR 2,358) per square meter. In Szeged, Debrecen, Zalaegerszeg, Pécs, Székesfehérvár, and Eger, the average price per square meter is above HUF 1 million (EUR 2,483).
Balogh pointed out that
the rise in the price of new housing is a sign of rising prices for second-hand housing.
This phenomenon is already noticeable in the case of new residential properties, with prices in the capital already reaching HUF 1.48 million (EUR 3,675) per square meter, which represents an increase of 16% in one year and 24% in two years.
According to the expert, interest in new homes is still on the rise in February, but investor demand from the government bond market could subside by the end of June, and easing demand pressure could bring a slowdown in house price increases in the second half of 2025.
Via Ingatlan.com, Featured photo via Facebook/Biggeorge Property