Buying process

Buying property in Hungary is very different from buying property in your home country in many ways. First of all, you have to find out if you are allowed to purchase property. Please take the following into consideration:

• Limiting regulations
  There are some limiting regulations for foreign private persons buying property in Hungary. If you want to buy a house outside built up areas, the plot may not be larger than 6,000 m². It is therefore impossible for overseas buyers to purchase farmland, vineyards or forest land. This regulation does not apply to built up areas. But military or strategic properties as well as property in natural areas or alongside waterways are ruled out for foreign buyers. Always check the data of the Land Registry.
  
  
• Permission
  Before you can buy a second home in Hungary you need to obtain permission from the local district authorities. There is always the chance that you will not be granted permission to buy a second home in view of municipal interests. This is not likely to happen, though, especially not if you are an EU citizen.

The buying process will be set in motion once a purchase price has been agreed upon by the vendor and the buyer. The solicitor plays an important part in the buying process.

The solicitor will draft a preliminary buyers contract. Both parties involved sign the contract and this means that they both agree with the transfer of the property. The buyer will have to pay a deposit of 10% to 20% of the purchase price. There usually are no conditions subsequent included in the contract. But exceptions can be made for foreign buyers who have to wait for permission from the local district authorities. After the preliminary buyers contract has been signed, the solicitor will register the property with the local Land Registry office so that the same property cannot be sold twice. The solicitor will also take care of other legal business, such as applying for a permit with the authorities, making sure that the notary public determines your citizenship and arranging for payment of the purchase price.

After the local district authorities have granted you permission to purchase, usually after 4 to 8 weeks, you can finally pay the last deposit and you will be the legal owner of the property. The final payment has to be made through the solicitor who will then register your property with the Land Registry.