Why Hungary?

We believe there are several good reasons to invest in Hungary. These reasons combine to make buying property in Budapest a highly attractive investment proposition.

1. EU Member State

Hungary became a EU member country in May 2004.

It is largely recognized that this new status will have a positive impact on the economic development of the country, and in particular Budapest.

2. Economic growth

The Hungarian economy is currently growing at 4.1% (as of September 2005) compared to growth in the UK of 1.7% and Germany 0.6%. This is likely to continue as Hungary catches up with the older, established EU States.

3. The Euro

Hungary is due to adopt the Euro in 2010.

This will mean that interest rates in Hungary will fall substantially to levels as low as other States, for example Ireland.

This typically has the effect of stimulating property markets, and causing prices to rise.

Shrewd investors are buying now in anticipation of the event. The Budapest property market now offers great buying opportunities.

4. More competitive mortgages

Interest rates are lowering in Hungary, as the Hungarian Central Bank needs to reduce rates to be ready for joining the Euro. This is making borrowing cheaper for Hungarians, and foreigners , again stimulating the market.

Also the banking sector is starting to become more competitive in providing mortgages, again this increases the number of buyers in the market.

5. Exodus to Budapest and Hungary

There is a clear trend that Western European retirees are seeking out locations where they can enjoy a good lifestyle and an affordable cost of living. Hungary is widely regarded as such a location, and its property market is predicted to experience continuous growth due to this phenomenon.

6. Tourism is booming in Budapest

This fact has been recognized by many low cost airlines which now fly direct to Budapest from many European cities. Budapest has a steady flow of tourists throughout the year. Short-term lets are in demand, which provides an attractive income stream for investors, again another driver of capital growth.

Take the opportunity to view this virtual tour video on the fantastic country that is Hungary...