Options
Q. What are the options regarding property purchase in Hungary?
Location
Q. Should I look outside Budapest for a suitable investment ?
Buying At Best Price
Q. Will I be able to buy more cheaply directly from the developers?
Rental Guarantees
Q. Other developments are being offered with guaranteed rental returns for 2-3 years ! Wouldn't I be better to buy one of these?
Furniture
Q. Who will furnish my apartment ?
Rental
Q. Who will handle the rental management?
Mortgages
Q. What about mortgages ?
Security
Q. Local Security ?
Sipps Alternative
Q. Is investment in Hungarian property a tax efficient pension vehicle ?
A. Absolutely. Capital gain liability is written off at the rate of 10% per annum after 5 years. So in 15 years a property can be re-sold without any tax liability regardless of the profit.
Classic or New
Q. Should I buy classic or new build?
Underground Parking
Q. Is underground parking a good investment in its own right
Growth Potential
Q. Is there much potential left in Budapest?
Options
Q. What are the options regarding property purchase in Hungary?
A: 1. Private ownership. Suitable for for the small investor with one or two apartments. All transactions can be completed with a PAO (Power of Attorney). Client does not need to visit Hungary.
2. Corporate Ownership
Offers significant tax advantages for larger investors. Client must visit Hungary to sign certain papers.
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Location
Q. Should I look outside Budapest for a suitable investment ?
A. In our opinion, categorically not. Serious investors always favour prime locations in capital cities. This is a classic formula and it works!
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Buying At Best Price
Q. Will I be able to buy more cheaply directly from the developers?
A. NO. We work directly with the developers and the developer's price is the price you pay. This is NOT the case with other brokers.
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Rental Guarantees
Q. Other developments are being offered with guaranteed rental returns for 2-3 years ! Wouldn't I be better to buy one of these?
A. Again Categorically NO! First of all, the 6% you have been promised will have been put on the price. Secondly, the only reason the 'carrot' of the rental guarantee has been offered is because the development is proving difficult to sell as it is overpriced or badly located. Each phase of every development we offer is sold out well before completion. The rental demand mirrors this.
Rental
Q. Who will handle the rental management?
A. Once again we can do this for you or you can approach one of the numerous rental management companies.
Sipps Alternative
Q. Is investment in Hungarian property a tax efficient pension vehicle ?
A. Absolutely. Capital gain liability is written off at the rate of 10% per annum after 5 years. So in 15 years a property can be re-sold without any tax liability regardless of the profit.
Mortgages
Q. What about mortgages ?
A. 70% for private individuals @ 5.49%
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Local Security
Q. Local Security ?
A. All our developments have 24h concierge + security systems. Individual security systems are available for about £900.
No breaches of security have ever occurred within our completed developments.
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Classic Or New
Q. Should I buy classic or new build?
A. New build.
Q. Why new build?
A. 1. No problems with title.
2. No problems with ageing electrical and heating systems.
3. New builds have underground parking. This is essential in Budapest!. It puts a premium on the resale value and without it you will find your apartment difficult to re-sell unless it is single bedroom, student type, accommodation.
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Underground Parking
Q. Is underground parking a good investment in its own right?
A. Yes! Take a look at parking spaces in central London.
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