New two-year Airbnb moratorium in Budapest

Starting January 1, 2025, Budapest will implement a two-year moratorium on registering new Airbnb-style private accommodations. This decision was approved by the National Assembly and publicly announced by the government via Facebook.

Author

Andrew Davison
November 27, 2024

However, there is a provision that allows property owners to register new accommodations until December 31, 2024, if they submit their applications before the deadline.

Impact on Short-Term Rentals

The latest draft legislation proposed by the government indicates that alongside this moratorium, there may also be an increase of fourfold in the flat tax imposed on short-term rental properties. This initiative is part of the government's broader economic strategy, aimed at addressing housing affordability in the capital. Recent discussions have also highlighted the government's role in the ongoing housing crisis.

Notably, a few weeks ago, the Terézváros local council voted in favor of restricting Airbnb operations, reaffirming a commitment made following a local survey in September. Early indications following the decision suggest that there has been a slight decrease in property prices within that district. The complexities surrounding short-term rentals were also discussed in a recent episode of a podcast featuring guests representing differing viewpoints on the matter.

For more information, visit Telex.