Foreign nationals holding property in Hungary are facing a tightened regulatory environment. Hungary's legislature has moved to strengthen oversight of non-resident and non-EU property ownership. New requirements touching conveyancing procedures, land register submissions, and government permit thresholds took effect in early 2025. Missing the compliance window carries concrete consequences: delayed title registration, blocked property transfers, and potential administrative penalties.
Hungary's amended real estate legislation introduced stricter permit requirements for non-EU nationals acquiring or retaining property, alongside enhanced due diligence obligations at the conveyancing stage. EU citizens retain acquisition rights in most categories but face new documentary conditions. Affected owners must review their title deed status and land register entries before mid-2025 compliance deadlines.
This alert sets out what changed, which owners and business categories are directly affected, and the immediate steps required to preserve property rights in Hungary.
What changed – the regulatory development and effective date
Hungary's property legislation was amended with effect from January 1, 2025. The changes operate across three distinct layers.
First, the permit system for non-EU nationals was restructured. Non-EU individuals and entities seeking to acquire residential or agricultural property must now obtain prior government authorisation. The application process is more prescriptive. Authorities now require detailed documentation of the acquirer's legal status, source of funds, and intended use of the property.
Second, the conveyancing process was tightened. A közjegyző (Hungarian civil law notary) must now certify additional declarations at the point of property transfer. The notarial deed – the instrument through which Hungarian real estate transactions are formally constituted – must reflect compliance with the updated permit conditions. Any notarial deed prepared before the effective date but not yet registered may require supplemental certification.
Third, the ingatlan-nyilvántartás (land register) submission deadlines were shortened. Previously, parties had a longer window to file for title registration after execution of a notarial deed. Under the revised rules, the registration application must be submitted within a compressed timeframe. Delays now trigger an automatic review by the district land office, which may suspend the title transfer pending investigation.
The amended investment screening provisions under Hungary's national security legislation – which apply to real estate in designated zones near critical infrastructure – were also updated. Foreign investors acquiring property in these zones must notify the relevant authority within a specified number of days of signing. Failure to notify can result in the transaction being declared void.
For the tax dimension of property acquisitions and restructurings in Hungary, see our analysis of tax law matters in Hungary, which covers transfer duty, VAT treatment, and withholding obligations on property disposals.
Who is affected – threshold criteria and business categories
The changes are most acute for three categories of foreign property owner.
Non-EU individual owners holding residential property in Hungary acquired without a prior permit – under transitional rules that previously permitted post-acquisition regularisation – must now complete a retrospective authorisation process. The deadline for existing owners to submit retrospective applications falls in mid-2025. Owners who do not act risk having their title flagged in the land register as subject to a contested legal status.
Corporate entities registered outside Hungary that hold Hungarian real estate directly or through Hungarian subsidiaries are subject to enhanced due diligence requirements. If the ultimate beneficial owner of the corporate structure is a non-EU national, the entity must demonstrate compliance with the permit regime. This applies regardless of whether the acquisition occurred before or after the 2025 effective date, if the property has not yet been formally registered under the new rules.
EU nationals and EU-registered companies are not required to obtain prior permits for most residential property categories. However, they are now subject to stricter documentation requirements at the conveyancing stage. The notarial deed must include a declaration of EU status. Any title deed issued without this declaration after January 1, 2025 may be returned by the land register for amendment.
Agricultural land remains subject to a separate and more restrictive regime. Foreign ownership of agricultural land is effectively prohibited for non-EU natural persons. EU nationals may acquire agricultural land only under conditions tied to residence and active farming requirements. Corporate structures – regardless of EU status – face heightened scrutiny and, in many cases, cannot acquire agricultural land directly.
To receive a preliminary review of your property ownership structure in Hungary, contact us at info@ferrazwhitmore.com.
What to do now – immediate actions and compliance timeline
International property owners should take the following steps without delay.
- Audit your land register entry. Instruct a lawyer in Hungary to obtain a current extract from the land register confirming the status of your title deed. Verify that your name or entity appears as registered owner and that no encumbrances, restrictions, or pending review flags have been added since January 1, 2025.
- Confirm permit status. If you are a non-EU national, verify whether your original acquisition was made under a valid permit or under transitional provisions. If a retrospective authorisation application is required, begin the process immediately – the mid-2025 deadline leaves limited time for document preparation.
- Review any pending property transfers. If you are mid-transaction on a property transfer in Hungary, confirm with your notary that the notarial deed in preparation reflects the 2025 requirements. Deeds signed but not yet submitted to the land register may need to be amended before filing.
- Assess corporate structures. If your Hungarian property is held through a corporate vehicle, map the beneficial ownership chain and confirm whether the non-EU threshold is triggered. Restructuring options – including transfer to an EU-registered entity – should be evaluated before the compliance window closes.
- Screen for investment screening obligations. If the property is located near infrastructure designated under national security legislation, verify whether a notification to the screening authority was filed at acquisition. A law firm in Hungary with cross-border investment experience can advise on late notifications and potential remediation.
Engaging a real estate lawyer in Hungary with experience in cross-border transactions is essential at this stage. The combined due diligence, notarial, and land register requirements leave little margin for procedural error.
Comparable tightening measures in other EU jurisdictions are worth monitoring. Our regulatory alert on real estate regulation changes in Portugal sets out how similar trends are developing in the Iberian market.
About Ferraz & Whitmore
Ferraz & Whitmore is an international law firm based in Lisbon, advising clients on real estate matters – including property transfer, due diligence, conveyancing, title deed review, and land register compliance – across 46 jurisdictions. Our team combines Portuguese civil law expertise with English common law tradition to support international entrepreneurs, institutional investors, and corporate groups navigating property acquisition and ownership regulation in Central and Eastern Europe. The firm's real estate practice includes practitioners with experience before Hungarian regulatory authorities and cross-border transaction teams operating across both EU and non-EU property markets. As a law firm in Hungary-facing matters and broader European real estate, we work with clients who need results-oriented counsel across multiple legal systems. To discuss your Hungarian property position, contact us at info@ferrazwhitmore.com.
Disclaimer: This publication is provided for informational purposes only and does not constitute legal advice. The information herein should not be relied upon as a substitute for professional legal counsel tailored to your specific circumstances. Ferraz & Whitmore assumes no liability for actions taken or not taken based on the contents of this material. For advice regarding your particular situation, please contact info@ferrazwhitmore.com.