The measures introduced by the government have also played a key role in the fact that 10,300 new homes have already been constructed during the first three quarters of this year, in addition to which 2.7 percent more construction permits have been issued compared to the same period in the previous year. Based on developments so far, the number of newly constructed homes is expected to continue in 2019 as a whole.

Assisting families in acquiring their own homes remains at the centre of the government’s housing policy, a goal that is being facilitated by the Family Home Creation Scheme (CSOK), which has contributed over 353 billion forints (EUR 1 billion) towards realising the dreams of 117 thousand families since it was launched. As part of the Family Protection Action Plan, the programme has also been made available to people living in small settlements from July of this year, meaning people now have the opportunity to purchase and refurbish used properties within the framework of the Village CSOK scheme. It should be noted that in addition to the capital, the number of issued construction licences and new homes constructed has increased by the greatest extent in small towns, by 4.4 percent and 6.4 percent year-on-year, respectively.

The housing market processes indicate that following the drastic decline in 2008, the qualitative modernisation and quantitative improvement of Hungary’s 4.4 million homes is continuing. In addition to the funding provided towards home creation on the part of families, the results of government measures aimed at the job market and the realisation of construction industry projects are particularly being felt. Planned new housing construction projects that were issued a construction permit prior to 1 November 2018 may continue to be marketed with a preferential level of VAT, in accordance with the government’s decision. As a result of these measures, a host of construction industry development projects that are already underway could be completed in the upcoming period.

(Ministry of Finance)