Adjusted for changes to the composition of homes sold as well as price, prices were up by 8.8% for new homes and 0.6% higher for resale homes in 2016.

New home prices have increased by 19.5% since 2015 at face value, but adjusted for changes to composition prices are still 2.0% below the 2015 level.

A similar trend is true for resale homes where unadjusted prices increased by 23.9% compared to the base year but were down by 14.5% after adjustments.

Based on preliminary numbers KSH said that 55,400 homes were sold in Hungary in the first half of 2017, down from 77,097 in the same period of 2016. Out of the preliminary figures, 53,736 homes were resale homes and some 1,800 new homes. In the first half of this year 2,600 homes were built specifically to be sold.

In the capital resale homes sold for 22.6 million forints (EUR 73,000) on average, 1.4 million more than in 2016. The average per square metre price of resale homes in Budapest rose to 402,000 forints from 361,000 forints. Resale home prices rose by 7% in county seats and dropped by 3% in smaller cities.

Republished with permission of Hungary Matters, MTI’s daily newsletter.