Housing Prices Surge in the Countryside as Budapest Market Stalls

In June, housing prices rose by 1.3 percent nationwide and 14 percent year-on-year compared to the previous month, but in Budapest, the price increase stopped on a monthly basis, while on an annual basis, the increase remained the highest in the country at 19.4 percent, based on the housing price index published by ingatlan.com.

The statement quoted László Balogh, chief economic expert at ingatlan.com, who said that the latest data shows that the driving force behind the housing market has moved to the countryside, while it has stalled in Budapest. Significant industrial developments and more favorable starting price levels are fueling demand in the Great Plain and eastern regions. In contrast, the wave of demand in Budapest, which was mainly driven by investors, subsided by the end of the first half of 2025, bringing a temporary end to rising housing prices in the capital.

At the same time, it was indicated that the Otthon Start program, which will start in September, could restart the Budapest housing market, but in the remainder of 2025, buyers purchasing for their own use could drive the market.

With regard to national housing price increases, they looked at individual regions of the country, which show significant differences and varying dynamics. According to the portal’s housing price index, the largest monthly price increase in June was in the Southern Great Plain region, which includes Szeged (eastern Hungary), where housing prices rose by 3.1 percent. In the Northern Great Plain, which includes Debrecen (eastern Hungary), monthly growth was 2 percent, while in northern Hungary it was 1.8 percent. On an annual basis, the Southern Great Plain saw a 16.5 percent increase in housing prices, while the Northern Great Plain saw a 15.4 percent increase, significantly exceeding the national average.

Via MTI; Featured photo: Pexels