After a record low for the Hungarian real estate market in 2024, 2025 has become a turning point, despite the challenges, Colliers Hungary experts say.
Although GDP growth in 2025 was lower than expected due to a slowdown in industrial production, analysts predict an acceleration of the economy by 2-3% in 2026. This is facilitated by a significant increase in wages: nominal increased by 9.9,5%, real by 4-5%, with a stable unemployment rate (4.4%).
The total volume of investments in real estate in 2025 reached 881 million euros, which is 117.5% more than in 2024. The most attractive sectors were office (50.8% of the total), hotel (18.3%) and industrial (17.4%).
Local buyers dominate (64% of transactions). International investors remain cautious, acting as sellers, but experts expect an influx of foreign capital in 2026 with an improvement in the economic situation.
The office segment
The office real estate market is showing positive dynamics: the vacancy rate has decreased, and net demand has increased. The total positive absorption was almost 100,000 sq. m.
At the same time, new construction is limited: only 138,900 square meters of offices are planned by the end of 2028. The vacancy rate has stabilized at around 15.9%.
Industrial sector
In 2025, more than 476,000 square meters were commissioned. m industrial facilities. The net volume of transactions reached 447,820 sq. m, which is 80,000 sq. m. m is more than last year's figure. Major projects are being implemented not only in Budapest, but also in the eastern regions of Debrecen, Miskolc, and Kecskemet.Commercial real estate
There is a pause in new construction in the retail market due to stricter regulations and on the eve of the elections. Investors are focused on the reconstruction of existing facilities. The largest project is the reconstruction of the Duna Mall in Budapest (completion by 2029). The revival of retail in the central streets of the capital is stimulating the growth of foreign tourism.
Colliers experts expect an increase in the activity of international investors. The most promising areas will be the conversion of old office premises, their adaptation to modern standards and housing construction.
Source: BBJ
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