Hungary's housing market shows stabilising prices and larger buyer discounts

Average square‑metre prices in Hungary's residential market have essentially plateaued since the start of the year, while buyers are securing increasingly larger price reductions. The discount rate rose from about 3 % in mid‑2025 to over 4 % by spring 2026, with used brick apartments seeing typical buyer discounts of 4.6‑4.9 % and some regional deals reaching 5‑7 %.

Listing‑price growth has slowed: the annual increase for used brick flats fell from 4.3 % at the end of 2025 to an estimated 2.6 % for April‑May 2026. In the western Hungarian brick‑flat market, price reductions have already appeared. The premium segment shows heightened buyer caution, whereas affordable homes covered by the Home Start programme continue to attract steady demand. Duna House analyst Szegő Péter notes that the market is now split between a still‑active affordable‑housing side and a premium side that is gradually correcting, and he expects a gradual re‑balancing rather than a sharp turnaround later in the year. The National Bank of Hungary’s June report highlighted that, by the end of 2025, housing prices were about 22.5 % above levels justified by economic fundamentals, marking one of the largest overvaluations in two decades.