Owner costs of an apartment in Hungary: what to count beyond the price

The price in the contract is only part of what you will spend on a property. The rest falls into three groups: costs at purchase, the owner's regular costs, and the costs that appear if you let the property. There are no rates or sums here on purpose: they change and depend on your status, so exact figures should come from a lawyer and a tax adviser before you sign.

Costs at purchase

• Legal support. A lawyer checks the documents and the contract and, in a remote purchase, prepares the power of attorney as well.
• State fees and transfer taxes. Their size, and who pays them, is set by law and by the contract.
• Registration of ownership in the state land registry.
• Translations and certified documents, if you sign from abroad.
• Bank charges and currency conversion when payments are sent internationally.

How the purchase goes, stage by stage, is described in "Buying property in Hungary", and buying from abroad is covered in "Remote purchase from abroad".

The owner's regular costs

• Utilities: electricity, water, heating, internet.
• Upkeep of common areas and grounds. In a complex with a gated territory and a park this is usually a separate regular charge.
• Property taxes, where they apply at the location of the property: the arrangements are confirmed with a lawyer.
• Insurance of the property.

If you let the property

• Management: meeting guests, cleaning, minor repairs, dealing with tenants. If you live in another country this is almost always a paid service.
• Agent and booking platform commissions.
• Vacant periods between tenants. At a resort they are more noticeable out of season: see "Seasonal letting at Balaton".
• Tax on rental income and reporting. Obligations may arise both in Hungary and in your country of tax residence: find out before the first letting.

What to ask before signing

• What the regular upkeep payment covers and how it may change.
• Who manages the grounds and what exactly they do.
• Who pays the taxes and fees on transfer of title, and how they are split in the contract.
• Whether there are connection, registration or handover costs on top of the price.
• Whether the answers can be given in writing, as an appendix to the contract.

How to build this into your calculation

Keep two sums: the full cost of entry (the price plus everything you pay before registration) and the owner's annual costs. Base any estimate of return on these sums, not on the price list. The general order of such an assessment is in "How to assess an investment property". If you are still choosing between a resort and the capital, see "Lake Balaton or Budapest".

The project's apartment types and layouts are in the apartments section. Any price growth shown on the site is a scenario, not a guarantee.