After the shock effect in March, the Budapest rental market clearly came to life, but the price decline did not stop, according to Rentingo.com data.

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The average advertised rent for rental apartments in Budapest was HUF 148,000 in April this year, representing a decrease of 8% compared to March data. Therefore, compared to the peak of 169,000 forints in January, you must pay more than 20,000 forints less for an average apartment in Budapest. Also, the old airbnb apartments, which are constantly expanding the offer, are usually central, renovated and fully furnished properties, so the price / value ratio for tenants has become much more favorable compared to the beginning of the year o last year.

According to Rentingo.com’s tenant database, the demand side of the market shows an even more interesting picture, according to which tenants registered in April would pay an average rent of 133,000 HUF. The amount to be paid by tenants increased significantly in February, but after the decrease in March and April, the demand for solvents is already below HUF 138,000 in January.

The supply-demand gap narrowed significantly last month: while announced rents exceeded solvent demand by an additional 22 percent in January, the gap narrowed to 12 percent in April. This suggests that the deal has become commonplace.

Parallel to the further rent reduction, the owners did not continue to reduce the deposit rate, only 29 percent of the owners are satisfied with a 1-month deposit for the apartments advertised in April, and 70 percent ask the tenants a 2 month deposit.

Further falls in rents may decrease in May, but we can hardly expect a rebound. According to Rentingo.com experts, as normal life returns to normal, demand may continue to rise, but the supply side is constantly under pressure from the return of previously used tourist apartments to the long-term rental market. As more and more homeowners face the fact that large numbers of foreign tourists are not expected to wait this year.



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