It takes longer to sell a home in Hungary, despite rising number of transactions

The pace of the real estate market slowed down in the first quarter of 2024, said György Kosztolánczy. Presenting the findings of the latest survey of Otthon Centrum, he also noted that the turnover time increased for all three types of second-hand housing, meaning that it takes a longer time for dwellings to find buyers than in the previous survey. Not only the time, but also the difference between property types has increased:

flats in tower blocks continue to be the fastest to sell and have seen the smallest increase in the number of days on the market, while single-family homes, which have been on the market the longest, have seen the largest increase in the time it takes to sell them.

Based on statistics for the first three months of the year, apartments in blocks of flats spend an average of 97 days on the market before selling, two days longer than the national average for the previous quarter. Although this figure has decreased by a few days in Buda, the number of days on the market has increased in most areas. The market of flats in tower blocks in Budapest is the most active, with Buda and the outer Pest districts the most buoyant, with an average of 86 days, while the 99 days recorded in the city centre is essentially the same as the national average.

The average time to sell a flat in a condominium is 120 days this year, one week longer than the average for the previous quarter. Sales times have also increased in most regions, with only the regional centres showing a decrease of approximately two weeks.

Only the larger cities have better than average values: Buda and the six regional centres are in the best situation with 105 days, but the average of 115 days in the downtown area is also favourable. In the other rural cities and the outlying districts of Pest, it takes 130 days to sell, and 150 days in Pest county.

The expert said that although the upward trend in selling time has not been broken this year, it is expected that in the second half of the year, less time will be needed to sell. Despite the increasing number of transactions, many people are still holding off on buying, which can be explained by the increasingly favourable interest rates on home loans and the upcoming discounts available under the recently announced home renovation programme.

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