How to get a Hungary residence permit by investing in property

Overview of property investment for obtaining Hungarian residency

Hungary does not grant residence permits to foreigners who simply buy property. However, investors interested in the Hungarian property market can qualify for residency by purchasing units in a government-approved real estate investment fund.

Under the Hungary Golden Visa, foreigners who invest at least €250,000 in such a fund are granted a 10-year residence permit. This permit can be extended for another 10 years, provided the investment is maintained. Additionally, investors must register a residential address in Hungary — either rented or owned.

Requirements for funds. To qualify for the Hungary Golden Visa, a real estate investment fund must meet the following criteria:

• be registered in Hungary;
• be approved by the Hungarian National Bank;
• be listed among the qualified market operators recognised by the Constitution Protection Office;
• allocate at least 40% of its assets to Hungarian residential real estate.

Approved funds. As of now, two Hungarian investment funds have received accreditation.

The first accredited fund is SPRINT. It is a private closed-end fund focused on capital growth and income generation. It invests in residential properties, hotels, logistics centres, and office buildings across Hungary. The fund also includes debt securities, government bonds, and derivatives to ensure capital protection and yield.

The second fund is the Gravitas Hungary Fund. It is managed by the Gránit group, one of Hungary’s oldest financial institutions. The fund focuses on modern residential properties throughout Hungary, leasing them to generate stable returns.

9 benefits of the Hungary Golden Visa through real estate fund investment

1. Visa-free travel across the Schengen Area. Hungarian residents can travel to other Schengen countries for up to 90 days within any 180-day period, without the need for additional visas. Time spent in Hungary does not count toward this limit.

2. Residence permit for the whole family. Investors can include their spouse, minor children, and financially dependent parents in the Hungary Golden Visa application. Children aged 18—26 are also eligible if they are full‑time students supported by the investor. All family members receive residence permits simultaneously.

3. No relocation required. Investors are not obligated to live in Hungary full-time to maintain their residence status. While a local address is necessary to obtain and renew the residence permit, physical presence in the country is not mandatory.

4. Fast application process. The residence permit can be obtained in as little as 3 months. This timeframe includes Due Diligence, visa issuance, and making the investment. The process is quicker than for most other EU residency by investment programs.

5. Investment after approval. Applicants invest €250,000 in a real estate fund only after receiving pre‑approval and the Guest Investor Visa. This significantly reduces financial risk if the application is denied.

6. Path to permanent residency and citizenship. After 3 years of holding a residence permit, investors become eligible to apply for permanent residency. Hungarian citizenship is possible after 8 additional years of living with permanent residence status.

7. Business opportunities. Unlike other types of Hungary residence permits, the Golden Visa allows investors to work or run a business in Hungary. The country also offers a 9% corporate tax rate — the lowest in the EU.

8. Life in a safe country. Hungary ranks 14th in the 2024 Global Peace Index, which evaluates 163 countries using 23 indicators, including crime rates and citizen safety.

9. Access to healthcare and education. Residence permit holders can access Hungary’s public healthcare system, known for its quality and affordability. Children of investors may attend public schools or enroll in Hungarian universities.

Why invest in Hungarian real estate

Buying real estate in Hungary alone does not qualify an investor for a residence permit under the Golden Visa program. However, it remains a strategic move for those seeking long‑term returns, rental income, or a registered local address — which is mandatory for obtaining residency.

Below are the main reasons why Hungary is a promising destination for foreign property investors.

1. Rising real estate market. Property prices in Hungary have increased by at least 5% annually since 2015. In the first quarter of 2024, home sales rose by 36% compared to the previous year. This trend supports long-term capital gains for property investors.

2. Growing tourism sector. Budapest is one of the most visited cities in Europe. It consistently appears in Euromonitor’s Top 100 City Destinations Index. Other areas, such as Lake Balaton, also attract significant tourist traffic. This drives demand for short-term rentals and boosts occupancy rates during peak seasons.

3. Asset diversification. Hungarian real estate is a tangible, euro‑denominated asset in a stable EU country. It’s an attractive option for investors looking to diversify their portfolios and preserve wealth through long-term asset stability.

4. High rental yields. Thanks to a robust tourism industry and an evolving economy, demand for rentals is strong. Average yields hover around 4% in both Budapest and across the country, offering consistent passive income opportunities.

5. Affordable prices. Real estate in Hungary is more affordable than in many Western European countries. For example, apartment prices in Budapest are 40% lower than in Lisbon and 60% lower than in Barcelona — offering better value and larger living spaces for the investment.

Hungarian property market trends

Property prices in Hungary have almost tripled since 2015, according to the Central Statistical Office of Hungary. In Q4 2023, new dwellings were 11.5% more expensive compared to the same period of 2022.

The overall housing market prices in 2023 were 5.8% higher than in the previous year.

The Budapest real estate market is expanding. Although there was a decline in the number of properties sold throughout Hungary in 2023, the decrease in Budapest was more moderate compared to other regions. Additionally, Budapest was the only city to see an increase in real estate transactions by the end of 2023.

In 2023, prices for new dwellings in Budapest increased by 10% compared to 2022. In districts III, XI, XIII, and XIV, where new housing was sold in large volumes, the cost per square metre was €3,900.

Meanwhile, prices for second-hand housing decreased by 8.5%. The average cost of housing on Budapest's secondary market was €2,256 per square metre by the end of 2023.

The capital experienced a decrease in prices across all types of buildings. In the Budapest agglomeration, the price per square metre of detached houses in 2023 was 2.6% lower than the previous year, while the price of dwellings in multi‑dwelling houses was 5.3% higher.

The demand for small apartments within modern residential complexes is on the rise. New constructions are built considering energy efficiency standards, unlike properties on the secondary market. For owners, this translates to reduced monthly utility expenses in comparison to those in older buildings. The average utility bill for an 85 m² apartment in Budapest ranges from €100 to 250 per month.

Property prices in select districts of Budapest

District of Budapest	Average property price per m2	Average 80 m2 apartment price
XI, Újbuda	€3,600	€288,000
VIII, Józsefváros	€3,400	€272,500
IX, Ferencváros	€2,900	€232,000
III, Óbuda-Békásmegyer	€3,400	€272,000
IV, Újpest	€2,600	€204,000

The most popular regions for property purchase outside Budapest are the Northern Great Plain, with the city of Debrecen, and the Southern Great Plain, with the city of Szeged.

In 2023, the average price in county seats of the Northern Great Plain was €1,354 per m² for second-hand properties and €1,564 per m² for new real estate. In county seats of the Southern Great Plain, the average cost was €1,261 and €1,822 per m², respectively.

Real estate purchasing process in Hungary

While buying real estate in Hungary does not, by itself, qualify an investor for a residence permit under the Golden Visa program, a registered residential address is a mandatory requirement. This condition can be fulfilled by either purchasing or renting a property.

At Immigrant Invest, our legal and real estate professionals support investors who choose to purchase property in Hungary to meet this requirement. Our services include property selection, document preparation, legal due diligence, and obtaining purchase authorisation from Hungarian authorities.

Below are key steps to purchasing real estate in Hungary.

1. Select suitable properties. Immigrant Invest's real estate experts identify residential properties that align with the investor's preferences, goals, location needs, and budget.

2. Choose the property to purchase. The investor participates in property viewings either remotely or on-site when in Hungary.

3. Sign a preliminary agreement. Lawyers assist in drafting and executing a preliminary purchase and sales contract. At this stage, the investor pays a 10% down payment.

Based on this preliminary contract, the Hungarian Land Registry imposes a restriction on further transactions involving the property.

4. Legal verification and purchase authorisation. The property and its ownership are subject to legal due diligence to minimise risks. Once verified, the lawyer applies for official purchase permission from the Hungarian authorities. The approval process typically takes 2 to 4 weeks.

5. Finalise the purchase and acquire the ownership certificate. After receiving the purchase authorisation, the final purchase agreement is signed, and the remaining balance is paid. The Land Registry issues an ownership certificate within two days.

Taxes and fees when buying property in Hungary

For title transfers, a stamp duty of 4% applies to properties valued under HUF 1 billion, or approximately €2.6 million. Any amount exceeding this threshold is taxed at 2%, capped at a maximum tax of €534,380. This duty must be settled within three months of the property purchase.

Primary property purchases attract a VAT of 27%, typically included in the listed property price.

The fee for obtaining permission to purchase property varies from €170 to 200. Additionally, property buyers are responsible for several administrative fees:

• €22 for a property ownership certificate;
• €60 for imposing a veto on transactions involving the property;
• €30 for an extract from the land registry.

Fees for legal, realtor, and notary services associated with the transaction typically do not exceed 5% of the property's price.

Total additional expenses for purchasing a property usually do not surpass 10% of the property's price. For instance, when purchasing an apartment priced at €280,000, an investor can expect to spend around €308,000 for the transaction.

Who can obtain the Hungary Golden Visa by purchasing property investment fund units

Investor. The main applicant must meet the following requirements to obtain a Hungary residence permit by real estate fund investment:

• be at least 18 years old;
• be a non-EU and non-EEA citizen;
• have a clean criminal record;
• not be subject to international sanctions;
• hold valid medical insurance and be free from serious illnesses;
• provide evidence of a legitimate source of income;
• have no history of violating Hungarian or Schengen immigration laws.

Applicants from the United States must hold a second passport to apply. This condition also applies to all family members included in the application.

Family members. The investor can include the following members of their family in the application:

• spouse or registered partner;
• children under 18;
• parents of the main applicant or the spouse, if they are financially dependent and receive only a pension as income.

Children aged 18 to 26 can also apply for a residence permit if they are financially supported by their parents and are enrolled as students. However, they receive a 3-year permit, which can be renewed once if they continue to meet the requirements.

Required documents for Hungarian residence permit application

To apply for a Hungary Guest Investor Visa, applicants must prepare the following set of documents:

• valid passport;
• two recent passport-sized photos;
• medical insurance;
• letter of intent to meet the investment condition;
• documents proving the legitimacy of income;
• bank statements;
• CV for each family member over 18;
• marriage certificate, if applicable;
• birth certificates, if applicable.

When applying for a Hungary residence permit by investing in real estate fund units, additional documents are required:

• completed and signed government application forms;
• confirmation of investment in the approved real estate fund, such as a share certificate;
• proof of residential address registered in Hungary.

Expenses for Hungary Golden Visa by real estate fund units purchase

The total cost of obtaining a Hungary Golden Visa through investment in real estate fund units includes both the investment amount and several administrative fees. The expenses are the following:

• €250,000 — minimum fund units purchase amount;
• €65,000 — administrative fee covering a family of up to four, including the main applicant, spouse, and children under 18;
• €10,000 — administrative fee per dependent, starting with the 5th applicant;
• €15,000 — administrative fee per child over 18;
• €5,000 — subscription fee;
• 2.5% — annual maintenance fee charged by the investment fund.

The estimated total cost is approximately €326,250+ for a single applicant, a married couple, or a family of four. This includes the investment amount, administrative fees, and the subscription charge.

Housing expenses. Applicants must have a registered residential address in Hungary, which requires either renting or purchasing property.

For instance, renting a one-bedroom apartment in central Budapest costs approximately €600 per month, while a three-bedroom apartment in a similar location costs about €1,200. The average property purchase price in the capital is around €3,700 per square metre.

Getting permanent residency and citizenship after a residence permit in Hungary

Not all types of Hungarian residence permits offer a pathway to permanent residency or citizenship. However, the residence permit by investment does allow investors and their families to apply for permanent residence and later, Hungarian citizenship.

To qualify for permanent residence, foreign nationals must reside in Hungary with a residence permit for at least 3 years. During these three years, they must not leave Hungary for more than 4 consecutive months and spend no more than 270 days in total outside Hungary.

In addition to the residency requirement, applicants must:

• pass a cultural knowledge test;
• demonstrate that granting them permanent residency is in Hungary’s national interest.

The procedure is similar to obtaining residency: applicants confirm their address in Hungary, prove their income level or savings to live in the country, and buy medical insurance. Applications are submitted via the Enter Hungary website.

Permanent residence status is granted for life, but it can be revoked if the holder leaves Hungary for an extended period. Those planning to stay outside Hungary for more than 6 months must notify the Immigration Office in advance.

To become eligible for Hungarian citizenship by naturalisation, foreigners must continuously live in Hungary with a permanent residency status for at least 8 years. 

Applicants for Hungarian citizenship must confirm their knowledge of the Hungarian language, history, and legislation, and take an oath.

Hungarian passport grants investors access to the full benefits of EU citizenship, including freedom of movement across 170+ destinations. Hungary allows dual citizenship, so investors do not have to renounce their other nationalities.

Hungary residence permit by property investment: key takeaways

1. Direct property purchase does not qualify for a residence permit in Hungary. However, foreigners can obtain residency through indirect investment by purchasing units in government-approved real estate investment funds for a minimum of €250,000.
2. Residency through purchasing property investment fund units in Hungary can be extended to the investor’s spouse, minor children, and financially dependent parents.
3. A registered residential address in Hungary is required for all applicants. This can be fulfilled by either renting or purchasing a property.
4. The residence permit is valid for 10 years and can be renewed for another 10 years if the investment is maintained.
5. The Hungary residence by investment provides visa-free travel across the Schengen Area, the right to work or run a business in Hungary, and access to public healthcare and education.

Frequently Asked Questions