What Few Have Known So Far: 10 More Q&A Questions About Supporting Home Renovation

The Minister of Family Affairs, Katalin Novák, also answered some special questions over the weekend:

Not only the Minister of Family Affairs, Katalin Novák, but also the editorial office of the Portfolio received a large number of questions regarding support for home renovation in recent weeks. With the help of József Argyelán, Bankmonitor’s expert, we will now answer the most special questions.

New questions and new answers

1. Is it possible to apply for home renovation assistance for a new home that is legally complete but not yet physically complete? For example, the construction of a terrace, balcony or solar panel, installation of the attic immediately after the delivery of the apartment, from the renovation bracket?

According to the current situation, we have two restrictions in this regard, said József Argyelán to our question. 1. If, according to the real estate registry, the property is already an apartment or a residential house, the subsidy can only be applied for, 2. it cannot be used for works that would have to be carried out on the basis of the original contract. In this case, the contract is not renewable and was not concluded after January 2021. However, other types of work can be done that can be done even on recently handed over properties (see list at the end of our article).

2. Can the construction aid be used for a second kitchen, bathroom or new room? Why yes, why not?

In the case of bathrooms and toilets, the decree explicitly states that the construction of the first room of this type on the property can be financed by the subsidy. The kitchen does not appear in any way on the list of works that can be done, it is equally likely that its design cannot be financed either. At the same time, you can finance the installation and replacement of kitchen furniture or appliances that can be built in a room intended for a kitchen. In the case of a new house, the bracket can also be used for the construction of a fence, pavement, terrace or air conditioning.

3. Previously, it was said that the work performed or the remuneration had to be certified not only (by invoice) but also by form or work contract. What does the regulation require in this regard?

Grant requires submission of contractor (s) completed after January 2021. This must be submitted for all work for which we request a refund. It is also necessary to present the invoices, and in the case of an invoice settled by bank transfer, proof of compliance. A complete invoice summary must also be submitted on the form.

It may be worth pre-financing state support from a loan, for this we recommend the Money Center Calculator:

4. Is it possible to use the home renovation grant with a foreign social ownership relationship? What are the limitations of this?

An employment relationship of at least one year is required, corresponding to the insured employment relationship according to Section 6 of the Hungarian Social Security Law (self-employment employment relationship! The so-called gyed graduate too. Still need to be insured , but the rules here are stricter: at present, according to article 6 of the Tbj Law, the claimant must be insured or an employment relationship with a pension can be accepted. That is, the foreign social security institution is included in the 1-year legal relationship, but the applicant cannot be insured by a foreign social security institution upon request. If a couple applies and one of them works abroad, the other at home, it is sufficient if one of them certifies the legal relationship in the country of origin.Of course, employment abroad does not always mean a foreign employment agency, it is conceivable that in this case the claimant continues to be registered in Hungary and therefore entitled to aid. (Quoted from Article 6 of the Labor Code: “a natural person who performs work for a foreign employer outside the territory of Hungary is also insured and this law is based on the Community Regulation on the coordination of social security systems or the bilateral social security agreement concluded by Hungary. falls within the scope of this

5. Is it possible to apply for the subsidy for a child studying in higher education so that from the age of 18 the child is no longer enrolled in the parents’ home?

There are two rules that define this: on the one hand, a parent can only claim support for his child who lives in the same place of residence, and on the other hand, the applicant has joint rights to all children who live in the same place of residence. home. (If at least one parent has considered the child when applying for the subsidy, it cannot be taken into account again in another application. An adult child does not have to live in the home for a year, even if the property is has bought for more than a year, but for a minor child: has resided in the dwelling in question for at least one year “.

6. How and in what amount can help be claimed if the parents divorce while the bills are being collected?

The timing of the application matters. An important question may be who the child stays with, children. If each is with a parent, he or she can claim full support (of course, he or she must also stay on the property). If at least one child is placed with the other parent, a maximum of 1.5 million HUF can be claimed separately (of course, one of them can take it to their new home). Unless one party waives the benefit of the other, as allowed by law. It is important who the name of the invoice is: then they are no longer common claimants, that is, the name of the parent claiming the benefit.

7. How much support can a person with two children from two different marriages receive?

It is a question of whether you have another child from your marriages that was not assigned to you. If not, the total support is 3 million guilders. However, the case of the mosaic families is not yet clear to us. However, according to József Argyelán, an expert at Bankmonitor, there are still many interesting questions for which we do not know the exact answer: A. a child was placed with the plaintiff, another with his ex-partner and remarried with a father in a situation Similary. How much can they be entitled to? B. One child is placed as a plaintiff, another with his ex-partner, remarries and another child is born. Since you can apply for the aid together, are you entitled to 3 million HUF? In this case, how much support could the former spouse receive from the other child? C. A child is placed with the claimant, another with his ex-partner, he remarries and another child is born. He had previously renounced his support in favor of the former partner. Now, if so, how much could the family claim for the new child? There can be countless variations, this situation needs further regulation.

8. Can invoices for 2021 be presented in such a way that the applicant is only eligible in 2022, for example when a child is born (or reaches the age of 12 weeks)?

The obstacle to this is currently unknown. The legal conditions must be met when applying for the grant, not when starting the work. However, no renewal should be based on this, as what happens if, contrary to the plan, the family is still not eligible for support by the end of 2022, or if the family is not eligible within 60 days after the issuance of the last invoice? In these cases, they lose support, which should be considered a risk.

9. Where to apply in person or, if the application is online, is there a web interface where everything can be submitted?

Personally, support will be available at government windows from January 1, 2021 to December 31, 2022. In addition, support will be available by mail or on the electronic interface of the Hungarian State Treasury, but we do not yet have information about this last interface.

10. Who can verify the work and how, within 6 months after disbursement, and in which cases should the aid be repaid?

Within 180 days of grant payment, the government office can verify grant usage. This is accompanied by an on-site inspection, that is, they can go out to see if the renovation work has actually been done. If the aid has been used illegally, it will only be necessary to return it plus the penalty interest.

Support for home renovation (for example in case of moving to a newly purchased used house) can also be combined with CSOK, it is also worth using the Money Center Calculator for this:

The list of eligible works is once again

Support can be claimed for almost any job related to home renovation:

• introduction of water, sewerage, electricity, gas, or construction or replacement of your internal network
• construction of a bathroom or toilet in an apartment that does not have such a room,
• the design, modernization or replacement of heating system components, including the use of renewable energy sources,
• building insulation, including plinth insulation, thermal, acoustic and waterproofing works,
• replacement of external doors and windows, installation or replacement of blinds, blinds, shutters, mosquito nets, security grills, replacement or renovation of cornices, thresholds,
• roof replacement, renovation, insulation,
• construction and modernization of the chimney,
• air conditioning installation, replacement,
• solar collector, solar system installation, replacement,
• interior renovation, including replacement, renovation, painting, wallpapering, construction of galleries, design and replacement of interior stairs, installation or replacement of sanitary ware, electrical switches and sockets, installation, replacement or rehabilitation of interior doors, sills, thresholds,
• renovation of a building with the same topographic real estate registration number as the apartment, a non-residential room (especially: summer kitchen, laundry room, storage),
• fence construction,
• construction of a car storage room or open garage,
• terrace, loggia, balcony, marquee construction,
• make and replace coverings of spaces,
• creation of a winter garden,
• if the claimant or their child is a person with reduced mobility, the specific accessibility works,
• strengthen the foundation structure, and
• installation and replacement of built-in furniture or kitchen appliances.

Cover image: Getty Images