Buying property in Hungary

Buying Property in Hungary
The rule of law in Hungary is very sound and follows EU directives.
Buying a property in Hungary is very straightforward and simple and Hungary still has many years of growth ahead.
You also have the added advantage of not having property taxes.

The largest block of foreign nationals that are purchasing property in Hungary are from Ireland. The remaining groupings of foreign nationals tend to come from some of the other European Union nations.

Hungary left the Soviet and communist era behind with a much stronger economy that had other nations. Most financial analysts and economic experts maintain that Hungary will enjoy a GDP that will exceed by 50% annually over what is being experienced in other EU nations over the coming few years.

Thanks to efforts made by the Hungarian government to liberalize and streamline its real estate laws, including those laws that pertain to foreign ownership of real estate, more and more foreign nationals are investing in Hungary.

A foreign national can invest as an individual in real estate in Hungary a foreign national must obtain permission from the Hungarian Land Registry to purchase real estate in that country. Again, this step must be taken only if a foreign national intends to hold title to real estate in Hungary in his or her individual capacity.

The process of preparing an application for the Land Registry is a simple matter. There bcan is up to a month's wait before the Land Registry acts on an application to purchase real estate.

Some foreign nationals forgo the Land Registry application process by establishing a limited liability company in Hungary that can take ownership of real estate without the requirement of registering with the Land Registry Office. A competent lawyer in Hungary can complete the documents necessary to create a limited liability company within a day -- and can have them filed immediately with the appropriate governmental authorities.

This takes place during the execution of a preliminary sales agreement. The buyer posts a deposit of about 10% of the overall purchase price of the real estate.

The last step in the real estate sales process is the execution of the final sales agreement and the conveyance of the deed from the seller to the buyer. The deed will then be registered with the Land Registry Office which will make necessary changes in the legal records pertaining to the property to reflect the new ownership of the real estate.