billyandjan

Hi
My name is Billy, and we are looking at buying a home in Hungary, either Pusztakovacsi or Buzsac. Can anyone tell me if these are respectable areas or not

Rural Hungary

Hi and welcome to the forum. Personally, I would avoid Pusztakovacsi, Buzsac is quite a nice village and I believe, has regular police patrols which helps keep the crime levels down (either that or sheer coincidence that I was twice stopped in the village).

billyandjan

Hi thanks for that,

We would like to buy a holiday home but are new at this. We have a meeting with Hungarian Houses and have also found another estate agent, Duna House, which we may also try when over next month!

Could you recommend a good English speaking solicitor for us to use if we find somewhere suitable on this trip, any advice would be appreciated.

Kind Regards Janet

Rural Hungary

Hi Janet, the best advise I can give is to read the forum thoroughly, I think you will find it extremely useful.
Solicitor will really depend on where you buy.

rammy100

I used Duna House to buy my place (in Budapest) and found them to be fine, easy to deal with etc.

Whatever you do, spend as much time as you can looking around the places where you are thinking of buying.....just like you would in the UK and don't rush into anything - there is no need to. I suggest you find your town and then rent somewhere nearby if you can and suss everything out to see if it fits with what you want.

But good luck, have fun and enjoy yourselves.

Dave

John Gilbert

Our nearby town, Taploca has a free news sheet with a huge section covering sales & letting of houses and flats there and in nearby villages. Prices quoted in the paper so no chance to price differently for forieners. Don't know but imagine that this happens all over the region.

Peter_in_Hungary

Hi Billyandjan
wot Rural Hungary said
wot Rammy100 said
wot john Gilbert said
I entered - elado ház Buzsák - into google and came up with the Hungarian ads There seem to be lots of choice.
A work of caution, as a non-Hungarian the class of land / property you can buy is restricted, primarily anything classed as an agricultural property, (which could include a vineyard with a house on it or some types of 'holiday homes') and you may be offered some work-around contracts for these restricted properties. The previous caviler attitude to these regulations has gone and officials are now looking very carefully at contracts that are not straight forward.
February should see a change in the law (enactment in 2014) that will allow access to all properties for EU citizens, however there will be new restrictions on the purchase of previously restricted property allowing only to those who live within a certain distance, 20km is rumored, to purchase.
The aim is to prevent non-Hungarians from buying agricultural property but remain within the EU rules and the authorities are threatening to declare the work-around contracts void.

Rural Hungary

Oh, that will cause problems for some!! I know one agent who has an unbelievable number of properties registered to them, all of the owners living abroad. What would happen in that case Peter? I'm assuming the title would have to remain as is until the restriction is removed which, I imagine, would eventually be the case to comply with EU regulations or is it possible for them to make this a permanent restriction?

John Gilbert

[/html]"February should see a change in the law (enactment in 2014) that will allow access to all properties for EU citizens, however there will be new restrictions on the purchase of previously restricted property allowing only to those who live within a certain distance, 20km is rumored, to purchase.
The aim is to prevent non-Hungarians from buying agricultural property but remain within the EU rules and the authorities are threatening to declare the work-around contracts void.[/quote]"

Very interesting - I wondered how they planned to manage it. I can see that the agricultural land may be vunerable to foriegn purchase from 2014.

I thought maybe they would say EU citizens could buy a small sized plot, but the rule you describe may well satisy the EU requirements better as EU & Hungarian citizens should be treated the same.

The truth is that most Hungarians who own a small plot of grapes on the hill also have a house in the village nearby. It could become difficult though for people from Budapest who want to buy a small plot near the Balaton as they have for generations, but live the other end of the M7 160 Km away.

Very interestesd to see how this develops over the next year ?

Peter_in_Hungary

The EU allows restrictive regulations in many areas (e.g. tax, employment and land ownership) but also forbids discrimination to EU citizens, so as long as you treat your own citizens the same as other EU citizens - no problem.

The aim of the new regulations are 2 fold. First to stop Hungary being sold to foreigners, and second to stop land being bought and sold as an investment product, but to keep it as affordable production land without absentee landlords. (I believe Denmark has a similar 'locals only' restriction).

A typical work around contract today is where a Hungarian owns the property and a foreigner has the 'Right of Use'. This Right of Use is registered on the title deeds and essentially make the property unsaleable unless the 'User' signs away this Right. (Lease hold was also used in the past but the length of a lease is now restricted to close this route)

For some time now it has been a legal requirement for the 'User' of land to be registered in the Land office so that the legal requirement to maintain land in good order can be enforced. A new regulation has just been brought out requiring all Land Users to re-register by March 31st. The new registration document requires the the additional data of the Users nationality!!

In Hungary it is not possible for companies to own land (but they can be Users), Only real people can own land. It will be difficult to undo the work around contracts of the past, but the aim is to curtail the problem for the future. Also the deeds of a property are a matter of public record and anyone can go to the Land Office and view any deeds to see who owns the property or has user rights or what classification applies, for free (a printout is chargeable)

Rural Hungary

Leasehold is what most of the people I know have, some with leases dating back to just after the law was implemented.

I have always been curious as to what would happen in cases were a date was stated in the contract for when the lease would end and ownership would transfer. If said date has now passed and lease extension not possible due to the closer scrutiny of such contracts, where does the buyer stand legally? The majority of people purchasing in such a way appear to have put complete trust in an agent, friend, friend of a friend etc. My concern was always that should the relationship change between parties or the company declare bankruptcy, what legal standing does the buyer have - none I suppose!

Thanks for the info on the the new regulation, makes sense now - so long as the regulation is applicable to all EU nationals then it complies. However, again, what happens in this case that the buyer of that stunning little szollo haz in the hills is not resident in Hungary and thus outwith the 20km regulation? Guessing this would be as above and the buyer, for the foreseeable future, would have no legal standing.

In Hungary it is not possible for companies to own land (but they can be Users)
Am I correct in thinking though that a foreigner can purchase a company which already owns land and therefore, effectively become the owner?

mawood47

By the end of the Summer it will be clear what is Zerkert, closed garden at present new rules are appearing monthley, any land above 1 hecter will be farm land, Yes I now I thick but last Tuesday I and the wife wear in meeting at the Minsteral ofice rural affears, I live on my plot witch is Zerket, I paid for it but I can not owen it, unless I reclassefy,

Rural Hungary

You're not thick digger, certifiable perhaps, but not thick Only kidding.
I know a chap who wants to do the exact same as you, he fell in love with a little house in the Zala Hills, I can't blame him, stunning views across to Slovenia and Croatia, vines, fruit trees and complete tranquility. He will buy it, even though it will not be in his name and he must trust that at some time in the future, he will be able to legally own it. There will be no lease agreement or other attempt at finding a loophole. Some would say he is crazy but he sees it as an opportunity to enjoy a small piece of Paradise.

mawood47

Yes ower place is on the sale maket right now on this web site, no I donot whant g the sale to leav my place but disabilts are forcing the Sale I nead to be on Leval Ground at present ower plot is on Hillside and the views well what can I say, spent time recostructing now fit a King in is Castle. I can only offer a link to latest news, 1 go to web site for Lovasbereny there is a link to change to English on the oppening page 2nd or 3rd section there is a translation over the new Land Laws

Rural Hungary

Hi Digger, am I reading it correctly that the title for the property isn't in your name and the buyer, unless Hungarian, wont be able to be registered as the owner either? Or have I got the wrong end of the stick somewhere?