Why This Matters Right Now
Prices are rising again. Across the market, home values are roughly 12% higher than a year ago, based on recent transaction data. Mortgage costs have eased compared with last year. With the base rate around 6.5%, mortgage rates have levelled out. They remain elevated, but are no longer rising.
The 3% Otthon Start programme adds another layer. It lowers entry barriers for first-time buyers, especially at lower price levels. Because it is capped and targeted, it mainly affects cheaper homes.
The result is a careful return of buyers mostly buying at the lower end, and negotiating hard.
Here, “affordable” refers to places priced below the national urban average about 736,000 HUF per square metre, but in these areas prices have risen by 14–18% over the past year, compared with roughly 12% nationally.
Where Prices Are Moving Fastest
The locations below are still cheaper than the national city average per square metre, but prices there are rising more quickly. Figures reflect recent transactions and typical long-term rents.
Miskolc
Entry price: 420,000 HUF/sqm
Recent growth: close to 18%
Typical rent: 140,000 HUF/month
Gross yield sits around 4% before costs.
Local industry and infrastructure investment help keep homes letting quickly.
Szolnok
Entry price: 430,000 HUF/sqm
Recent growth: around 16%
Typical rent: 145,000 HUF/month
Gross yield near 4%.
Good rail connections keep tenants coming.
Pécs
Entry price: 520,000 HUF/sqm
Recent growth: roughly 15%
Typical rent:170,000 HUF/month
Gross yield around 3.9%.
The university reduces empty months.
Debrecen – outer districts
Entry price: 650,000 HUF/sqm
Recent growth: about 14%
Typical rent: 220,000 HUF/month
Gross yield close to 4%.
Manufacturing expansion continues to attract workers.
Budapest XXIII district
Entry price: 610,000 HUF/sqm
Recent growth: near 17%
Typical rent: 190,000 HUF/month
Gross yield just under 4%.
Prices are rising as gaps with nearby districts close.
Prices are rising, but they’re still below the national city average of roughly 736,000 HUF per square metre. New-build supply in these areas is still limited.
What’s Driving the Momentum
Pay packets are bigger than a year ago. Average earnings are about 14% higher than a year ago, which helps buyers save faster for a deposit.
Fewer new homes were built last year, so buyers are competing more for existing properties.
Rents are about 10% higher than a year ago, so landlords are finding it easier to re-let homes without cutting asking prices.
Typical mortgage rates are now closer to 7%, down from last year’s highs and sitting slightly above the 6.5% base rate. Even small changes at this level have a visible effect on monthly payments.
That’s why price growth is picking up first in lower-priced areas.
What This Means for Rental Owners
Rising prices are positive, but if prices increase faster than rents, your rental return drops.
Rents have room to grow, but tenants can only pay so much. In regional cities especially, once those limits are reached, rent growth slows.
Empty months depend mostly on local jobs and students in university cities. Areas with stable employers or large campuses tend to see fewer gaps between tenants.
Repairs, insurance and loan costs are still higher than a few years ago. That means keeping it rented, and pricing it sensibly, matters more than hoping for another year of rapid price growth.
In simple terms: steady rent matters more than how fast prices are rising.
The Common Mistake With Fast-Growing Areas
Assuming fast growth will continue.
Fast growth often means an area was previously cheap and is now closing the gap. Once prices move closer to surrounding areas, growth usually slows.
If prices in an area have already risen sharply, there may be less room for further gains.
Why Managing Rentals Feels More Complex Now
Small changes in mortgage interest rates can still move repayments noticeably.
Some areas are still seeing rent rises; others are flat.
Paperwork and compliance requirements have also increased. For many owners, managing a rental now takes more time and attention than it used to.
Many landlords find that professional property management helps reduce empty months and late payments. For some, it makes sense as a way to avoid problems rather than chase higher rent.
A Calm Way to Approach the Year Ahead
Don’t overpay. Buying below the local average gives you a buffer.
Compare your rent to what similar homes are actually renting for — not just what is advertised.
Check that repayments still work if mortgage interest rates move higher again.
A property that stays rented at a realistic price is usually a safer bet than relying on fast price growth.
Quick Summary
Are lower-priced areas still available? Yes, especially in regional cities and outer districts priced below about 736,000 HUF per square metre.
Is growth picking up again? Prices are about 12% higher than a year ago, with faster rises of 14–18% in cheaper locations.
Are rents keeping up? Rents are up around 10%, slightly behind prices in some areas.
Is borrowing easier? The base rate is around 6.5%, and typical mortgage rates are closer to 7%.
What matters most in 2026? Buying carefully, setting realistic rents, and keeping properties well managed.