Questions and answers

The following is a list of typical Questions and Answers:

On top of purchase price of property in Budapest, there are additional costs of approx. 11% e.g.:

Stamp Duty (2 - 6%)
Legal Fees
Agents fees (paid by purchcaser) No %
VAT is applicable at 25%

Obtaining Finance?
Finance should be arranged in Ireland.

What are the best districts to buy in?
Districts 5 and 6 are where the Parliament, Opera House and Hero Square are. Districts 7, 8, 9 and 13 are also very attractive from an investment perspective.

What about Tax?
Irish Taxpayers are liable for Tax on their income worldwide. This includes Capital Gains and Rental Income.

Is there any restriction on moving Capital out of Hungary?
No restriction.

Can I open a Bank Account in Hungary?
Yes.

At what stage do you own a property?
On Closing. The vendor can withdraw from contract signing but this is rare. The vendor must pay double deposit to the purchaser if this arises.

What is the Rental Return on Investment?
Circa 5% and the market is quite buoyant.

Rental Agency costs?
One months rent to secure tenants.

Management costs?
Full property management from 8.5% to 12.5% paid quarterly in advance.

Letting Agreements?
Leases are typically one year or more with rent payable monthly in advance and two months deposit.

More information:

Youngs Budapest,
52 Merrion Square East,
Dublin 2.

Ph: 6310311
Fax: 6310320

Website: www.youngsbudapest.ie
email: sales@youngsbudapest.ie.