Many workers in public service in Hungary expected their employer to help them pay housing costs next year. The government will end that help. The change could affect about 200,000 people. Finance Minister Kármán András mentioned it during a background talk last week. The government did not publish a full public notice.
You may feel this cut first in your monthly budget. Most workers received support worth about 1 million forints per person this year. If your employer paid that amount toward rent, mortgage or utility costs, ask your employer now how your pay will change. Put the lost amount into your spending plan before the new year begins.
Other housing loan rules also change. The government will replace the Otthon Start Program with Wekerle Plus. The new loan uses a 5 percent interest rate for used homes instead of a 3 percent rate. The program will also exclude buyers over 40 and people who already own half of a home. If you planned to buy a used home, ask a bank whether the new terms fit your family.
- The government will end housing support
- About 200,000 people will be affected
- Housing loan rules are changing
- Interest rate will rise for used homes
- Mothers may lose tax exemptions after age 40
- Building permits will be delayed until 2026
A tax break can also shrink your spending money. Some mothers lose tax exemption when they reach age 40. For a gross salary of 500,000 forints per month, that loss can be about 75,000 forints. Other workers keep tax relief only on pay below 1 million forints gross each month. Check your pay slip after the tax change starts. If your loan approval counted the old tax-free pay, tell your bank you may need a new income check.
New rules delay building permits for Otthon Start housing projects until the end of 2026. Developers may build fewer homes during that time. Buyers waiting for apartments may face longer waits or higher prices. If you bought an apartment that is not built yet, ask the seller for a written update about permits and the move-in date. Keep copies of your payments.
You can check your housing budget now. Save money for lost benefits or delayed moves. Ask your bank for current loan rules before you sign a contract. Watch your pay slips if tax breaks change.
| Aspect | Current Situation | Future Change |
|---|---|---|
| Housing Support | 1 million forints per person | Support will end |
| Interest Rate | 3 percent for used homes | 5 percent for used homes |
| Tax Exemptions | Available to some workers | Changes for mothers over 40 |
| Building Permits | Currently approved | Delayed until end of 2026 |
| Home Buyers | Normal wait times | Longer waits expected |
| Contract Consultations | Based on current rules | Must check new terms |
