Central 1-Bedroom Apartment in Historic Ferenciek tere
Property Address: Ferenciek tere 11
Floor: 1st floor, located in a historic building with elevator access
Total Area: 56 sqm, thoughtfully designed for a spacious and functional layout
Net Monthly Income: €900, offering strong rental yield in a central location
Location Highlights: Heart of the 5th District: Situated on Ferenciek tere, this apartment is located in one of Budapest’s most iconic and historic neighborhoods.
District V, Budapest – Historical and cultural center of the capital
District V (also known as Belváros-Lipótváros) is considered the heart of Budapest, famous for its perfect combination of historical architecture and modern life. This is where the city’s most iconic buildings are located such as the Hungarian Parliament Building, St. Stephen’s Cathedral, and Freedom Square. Located along the banks of the Danube River, District V not only attracts tourists by its poetic scenery, but also by its busy commercial routes, restaurants, cafes and luxury shopping centers. This is also an area with a convenient transportation network, easily connecting with other districts of Budapest. With outstanding development and unique cultural values, District V is an ideal place for both residents and tourists who want to explore the essence of the Hungarian capital.
There are no regulations in the country limiting the amount of real estate an individual can own. All properties are resold, but to maintain a green card, the customer must still own (multiple) properties with a total value of at least 175,000 euros.
The real estate that investors buy after being granted a certificate of ownership will be owned permanently and have the right to transfer it as an inheritance.
The owner will only have to pay one tax when owning the property. Land tax will be calculated according to the formula: 3000 Forint * Total area of the apartment on the house title. (This fee may vary depending on the area of the property) This tax will be notified to customers by True Estate when it is due and support for annual tax payment.
– Regarding the procedures for preparing business documents, investors need to note the following points:
+ The conditions for apartments in a building to be operated as short-term rentals will be decided by the competent authority of that District. For apartments in central districts such as District V, VI, VII, the quota has almost been exhausted. Therefore, the ownership of real estate that can be rented short-term in these districts is increasingly limited.
+ If the real estate is located in a building that is granted short-term business rights, the apartment must ensure the operating standards set by the Hungarian Department of Tourism. This agency will send an authorized person to directly evaluate to rank and grant a business license for the apartment (from 1 to 4 stars)
– Compared to other countries, regulations in Hungary are quite complicated and require experience. True Estate is confident that the apartments we introduce to investors all satisfy business conditions, some apartments are already in operation and have been rated 4 stars. In addition, in the shopping cart there are still apartments that are not in the form of short-term business, suitable for individuals to invest for vacation and living.
– According to statistics from Moody’s, the residential real estate market index in Hungary increased 1.5 times from 357.7 in Q2 2020 to 525.19 this year and will continue to grow due to the country’s open foreign investment policy.
– This figure is quite impressive as Hungary ranks 2nd in terms of real estate price increase in Europe (after Estonia).
