Budapest’s residential property market is undergoing one of its biggest structural shifts in recent years, with young first-time homebuyers replacing investors as the dominant force behind housing demand, according to the latest Duna House Barometer.
The brokerage’s May 2026 market report shows that 36% of all home purchases in Budapest were made by first-time buyers, compared with 30% by investors, reversing last year’s market structure when investment purchases dominated the capital’s housing market.
The change comes as Hungary prepares to roll out the government’s Home Start Programme, aimed at helping younger buyers enter the property market amid persistently high housing prices.
Investors step back
One year ago, investors represented the largest buyer group in Budapest, accounting for 42% of purchases, while first-home buyers made up just 26%. Today, those positions have effectively switched.
According to Duna House, speculative demand has retreated as younger working households increasingly enter the market, particularly in districts that traditionally attracted investment purchases.
Buyers are getting younger
The demographic profile of Budapest buyers has also shifted significantly. The combined share of buyers aged 20 to 40 increased from 34% to 45% over the past year, while the proportion of buyers aged over 60 fell from 18% to just 9%.
Employees now account for 55% of all purchasers, up from 45% a year earlier, while wealthier buyer groups, including retirees, senior executives and middle managers, have become less prominent.
Budapest differs from the rest of Hungary
Outside the capital, the picture is markedly different. Across the rest of Hungary, first-time buyers were already the largest purchasing group and strengthened their position further, rising from 31% to 34% of transactions.
Unlike Budapest, investor activity remained broadly stable, increasing slightly from 22% to 23%, while the market continues to be dominated by employees with stable incomes rather than speculative buyers.
Sellers tell a different story
Interestingly, investors remain highly active, but primarily on the selling side. In Budapest, 41% of property sales involved investment properties, making it the largest motivation among sellers despite declining slightly from 44% a year earlier.
At the same time, the share of inherited properties being sold dropped sharply from 24% to 14%, while more owners are selling homes in order to move into larger properties.
Property values remain high
The changing buyer profile has not translated into lower prices. Among Budapest, first-time buyers purchased homes worth an average HUF 69.1 million, with an average size of 54 square metres.
Investors paid an average HUF 93.1 million for properties averaging 57 square metres. Buyers upgrading to larger homes spent an average HUF 145.2 million, acquiring properties of approximately 107 square metres.
