Real Estate Law

FAQ – Everything You Need to Know About Real Estate Purchase Agreements in Hungary

Buying property in a foreign country can be complex. We have compiled the most frequently asked questions to help you navigate the Hungarian real estate market with confidence. At Dobrocsi Law Office, we ensure that your real estate sale and purchase agreement is not just a document, but a guarantee of your legal safety.

1. The Process and Timeline

How long does it take to prepare the Sale and Purchase Agreement? Speed does not compromise precision at our firm. Once all necessary data (parties’ details, property topographical lot number, purchase price conditions) is available, we can prepare the draft contract and arrange the signing within 1 business day. We understand the time pressure often involved in international transactions.

What is the workflow at Dobrocsi Law Office? Our process is transparent and client-focused:

1. Consultation: We assess your needs and the transaction details.

2. Legal Due Diligence: We obtain the fresh Title Deed (tulajdoni lap) and map copy to verify the property’s legal status (checking for encumbrances, mortgages, or easements).

3. Drafting: We prepare the real estate sale and purchase agreement in Hungarian, and if required, in English or German.

4. Signing: The documents are signed and countersigned by the attorney at our office.

5. Land Registry Administration: We handle the full procedure until your ownership is officially registered.

2. Costs and Fees: Transparency First

What costs should I calculate besides the legal fee? Property acquisition involves several costs. Here is a breakdown to help you plan:

• Legal Fee: Our fee for preparing the real estate sale and purchase agreement and full administration starts from 190,000 HUF (net). The exact amount depends on the complexity of the case and the property value, fixed by individual agreement.

• Administrative Fees:

  • Land Registry procedure fee: 10,600 HUF / property.

  • Title Deed retrieval fee: 4,800 HUF / property.

• Property Transfer Tax: Generally 4% of the market value, levied by the Tax Authority (NAV) after the purchase. (We also provide advice on potential tax exemptions or reductions).

3. Safety and Expertise

Why is a lawyer necessary for buying property in Hungary? Unlike in some other countries, in Hungary, a real estate sale and purchase agreement is only valid if countersigned by an attorney (or notary). Beyond the legal requirement, we provide:

• Risk Screening: We filter out hidden legal risks (e.g., enforcement rights, alienation bans).

• Guarantee: We take professional responsibility for the document and the successful registration of your title.

• Complex Solutions: Whether it’s a mortgaged property or a complex investment, we find the legally secure path.

I am a foreign citizen. Can you help me? Absolutely. Our office specializes in assisting international clients. We provide the agreement and related legal counseling in English and German, ensuring that language barriers do not hinder your investment. We also assist with obtaining the necessary government permits for non-EU citizens if required.

4. Other Real Estate Services

Do you only handle sale and purchase agreements? No, our expertise covers the full spectrum of real estate law:

• Gift Agreements: For family asset transfers.

• Lease Agreements: For residential or commercial properties.

• Developments: Legal support for large-scale real estate projects, establishing condominiums, and contractor agreements.

• Special Contracts: Maintenance, life annuity, or exchange contracts.