Purchasing real estate in Hungary may seem like the best investment you'll make in a long time, but it's no easy feat. It's not that impossible either, per se, but there are ways to go about it properly. And in order to buy a property in Hungary
, you'll want to follow some helpful tips. Tips like handling all your paperwork early, for instance, may prove vital in the long run. You can also hire a notary that’s easy to reach as well, which will ensure that everything goes smoothly. And don't forget to manage your financial plans properly to avoid getting into trouble with the law!
Free Up Your Time
First things first, you'll need to free up some of your time. There's no telling how long buying a property in Hungary can take. The process alone takes around 60 days (approximately two months), and then another 60 days until you can officially transfer the title to your name. Not to mention the possibility of mistakes along the way. From documents that you have to draw up again to missing requirements on both ends, you can never tell what may go wrong during this process. It can easily take up to six months in total or even more!
The First Step is Finding a Property
Let's say you want to relocate to Budapest
so you want to own a new property here to call home. Do you know just how many available apartments, houses, and more there are in this city? To say that it's in the hundreds of thousands is practically an understatement! As long as you're in the clear and you're allowed to purchase real estate in Hungary, the hardest part is choosing which one to buy. Your best bet nowadays is to go on a property listing website and check which places are available there. Fortunately, a good number of them come with extra services too, such as financial calculators, valuations, and more.
Handle Your Legal Paperwork Immediately!
More often than not, what prolongs the process of purchasing real estate in Hungary is getting all the documents ready. From the permit that non-EU citizens will need from the local authorities to the various other paperwork from government offices, gathering them all up already takes a lot of time. What more if you only start during the process? And then there's the chance that the seller themselves aren't fully ready too. This can prolong the process even further and before you know it, a whole year has already passed and you still don't have the keys to your new place.
Hire a Notary That's Easy to Communicate With
Don't underestimate the importance of your notary's role in the process. More than just notarizing the important documents, they can also serve as your representative throughout the process. With your authorization, your notary can be your eyes and ears, relaying to you everything that the seller and their party have laid out. And if you need them to, they can even sign the contracts on your behalf. This is why it's important that you hire a notary that's not just trustworthy, but also easy to communicate with. On the off chance that you can go to Hungary yourself, even when you have the right Schengen visa
, authorizing your notary to act as your proxy is your best option.
Manage Your Financial Plan Early
Similarly in other countries, buying a property in Hungary can cost a lot of money. So much so that your best option is to take out a mortgage loan. However, the process of applying for one can take a long time. And if you're not careful, it can long the purchasing process by months! So if possible, manage your finances—specifically getting a mortgage—as early as you can. More often than not, financial institutions will only approve your application if you already have a property in mind. The place can even play a huge part in whether they'll lend you the loan or not.
Think Before You Sign Documents
It should go without saying that you should really think hard before you sign any documents regarding your purchase of a property in Hungary. Specifically, the purchase agreement. This is an important document that will legally bind you and the seller to the sale. On your end, you will have to pay a 20% deposit upon signing. And unless you set certain terms and conditions, you won't be allowed to bow out of the agreement after you signed it. If you do, you risk getting into legal trouble and you won't ever see that 20% deposit ever again.
Set A Move-In Date
On the purchase agreement—or any other contract in the sale—you have to set a move-in date. Though it's not necessarily a requirement—though some notaries or real estate agents
will insist on it—it will still be helpful. Why? Because conflicts surrounding the move-in and move-out dates can potentially pose a problem. And if you're not careful, it can grow into a legal problem too. This can all be avoided as long as you and the seller set specific date/s on when you will move in and they will move out.
When you buy a new property in Hungary, you'll want to do it properly. And you can do that as long as you follow these helpful tips. You'll manage this tough endeavor just fine, even if it's your first time doing it!