Budapest

Why Budapest? Budapest is a cultural and financial Mecca that is overflowing with technological and investment opportunities for everyone. Budapest is the capital of Hungary. Budapest is the center for the country’s transportation, commercial, industrial, and political activities. As Budapest is located in the heart of the European Union, some people consider it one of the most important cities in Europe.

Budapest has 1.7 million residents and is well known as one of the most beautiful cities in Central Europe.  The city is listed as 52nd on MasterCard’s ‘World’s Top 75 Financial Centers’ list and 74th on Mercer Consulting’s ‘World’s Top 100 Most Livable Cities’ list. Despite the modern conveniences of the city, Budapest has an old-world feel with its unique architecture. Hungary was under a communist regime for over 40 years. In 2004, Hungary joined the EU and now boasts a free market economy and substantial economic growth.

• Location Budapest is the capital city of the Republic of Hungary, located in Central Europe and borders seven countries. Budapest is adjacent to the Danube River, which is a major thoroughfare.
• Climate As Budapest is located between the Alps and the open Great Plain, it experiences warm summers and cool winters. Winters are fairly short, with the very cold weather arriving in mid-December.  In summer, from April to September, Budapest has a high proportion of sunny, warm days with the sun shining for about 10 hours a day. On average, there are 139 rainy days and 100 days of full sun.
• Religion Budapest’s residents have a diverse religious base including: Roman Catholic 45%, Atheist 20% Clavinist 12%, Lutheran 8%, Other, mainly Christian 15%.
• Geography Hungary shares a border with Slovakia, the Ukraine, Romania, Yugoslavia, Croatia, Slovenia, and Austria. Hungary is located in a basin with mostly lowland-relief with hills in the northeast of the country.
• Industry Since WWII, Hungary has developed a variety of industries including: steel, machine tools, diesel engines, locomotives, appliances, pharmaceuticals, and petrochemical products. Food processing accounts for a significant portion of exports including: wine, poultry, grain and meat. Foreign investment spurred substantial growth in manufacturing and productivity from 2000 through 2005.  The Hungarian government supports private industry with legislation and monetary. High-tech equipment including: computers, telecommunication equipment, and household appliances, produced the strongest industrial growth in recent years.
• Technology As a country, Hungary has embraced 21^st Century technology and Western culture. The headquarters of the European Institute of Innovation and Technology will be located in Budapest. 
• Education Budapest is Hungary’s main center of education and home to a diverse group of universities. It is estimated that 99% of the country is literate and that is attributed to the well-funded public school system, which offers affordable education through the University level.
• Transportation System Clearly, Budapest has a sophisticated transportation infrastructure to support its residents and visitors. It is modern, large enough to handle the mass groups of commuters, and constantly being developed to manage the increasing population. As it is located in Central Europe, Budapest is a major transportation corridor. Budapest’s public transport is provided by a privately owned company and offers Metro lines, a sophisticated rail system, airport, buses, trolleybuses, trams, suburban railway lines, and a boat service.
  • Airport Budapest Ferihegy International Airport has 3-passenger terminals and serves all the major airlines.
  • Railway Budapest is also a major railway artery, which makes it easily accessable by the entire EU. Budapest boasts the busiest traditional city tram line in the world, with trams running at 60 to 90 second intervals at peak time and 3-4 minutes off-peak and usually packed with people.  Day services operate 11:30 p.m. each day, and a night service is available as well. 
  • Metro Lines There are three metro lines and a fourth is currently under construction. The Yellow line, built in 1896, is one of the oldest subway lines in the world, following only the early lines of the London Underground.
  • Waterways The Danube River flows through Budapest to the Black Sea. Budapest is considered a major commercial port. In the summer months a scheduled hydrofoil service operates up the Danube to Vienna.
• Newspapers Hungary has a highly literate population, with literacy estimated at almost 100 % for both men and women. There are no shortage of quality news publications with more than 40 daily newspapers and more than 1,600 print publications.
• Culture Budapest has no shortage of cultural entertainment. There are theatrical performances and concerts of classical and light music every day, with both Hungarian artists and guests from all over the world. Hungarian classical and folk music is world-renowned. The Budapest Spring Festival and the Budapest Autumn Festival are two major international music, theatre, film and art festivals.  ”The Phantom of the Opera” is on all the year round at the Madách Theatre, and foreign language productions, mostly English, are put on at the Merlin Theatre.
• Economy The economy of Hungary transitioned to a privatized economy after the fall of the Soviet Union 10 years ago. As Hungary entered the new millennium, inflation was at a manageable 9%, growth was at a robust 3.5-4 percent and productivity was among the highest of all Eastern European nations.  Hungary was so successful with their economic transformations that it was one of the first former communist countries to gain membership into the European Union.
• Real Estate Considerations Private investors are not required to travel to Hungary to purchase property. Private investors have the option to sign a power of attorney in the Hungarian embassy and send it to Budapest. Then your sales agent is able to sign the contract on your behalf.
• Banking System In 1987, Hungary created a two-tier banking system.  They were one of the first former communist countries to accomplish this task. Today investors have the option of obtaining mortgage from a Hungarian bank under the following conditions: LTV up to 70%, LIBOR+2.5% Annually, Traditional payment options; principle + interest.
• Ownership rights for non-citizens Purchasing property in Budapest is a simple process that requires a permit to purchase property. All non-Hungarian citizens who which to purchase property must apply for a permit from the local municipality. Most foreigners can expect to receive a permit within 2 - 3 months. The only legal grounds for denial of a permit are if it is viewed that the interests of the community would be compromised. This is an uncommon occurrence as the government fully supports growth.

If Budapest seems like the right community for you, take the next step by researching the properties we have available in the area. We have properties to fit every lifestyle and budget.

[1] Nomination of the banks of the Danube and the district of the Buda Castle“. International Council on Monuments and Sites.

[2] “World’s Top 100 Most Livable Cities“. Business Week. Retrieved on 2008-01-31.

[3] http://www.wordtravels.com/Cities/Hungary/Budapest/Climate. Retrieved on 2008-10-08

[4] http://www.budpocketguide.com/TouristInfo/Geography_of_Bp.asp Retrieved on 2008-10-08

[5] http://en.wikipedia.org/wiki/Budapest Retrieved on 2008-10-08.

[6] http://www.budpocketguide.com/TouristInfo/Geography_of_Bp.asp Retrieved on 2008-10-08.

[7] http://www.nationsencyclopedia.com/Europe/Hungary-INDUSTRY.html Retrieved on 2008-10-08

[8] “EU nations pick Budapest for technology institute“, International Herald Tribune, The New York Times Company (2008-06-18). Retrieved on 2008-06-20.

[9] http://en.wikipedia.org/wiki/Budapest Retrieved on 2008-10-08.

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