Both the Occupier and Investment Sentiment Indicies turned positive in the 4th quarter of 2013 for the first time since 2011, with demand increasing for both the lease and purchase of commercial property. Rents have stabilized in the office and industrial sectors, although they continue to fall for retail properties. Sales prices continue to decline, however demand for distressed properties remains strong and supply has stabilized.


Michael Smithing, Chairman of RICS Hungary, stated "The Property Monitor confirms general market sentiment that the Hungarian real estate market has finally stabilized. Improved economic growth is driving increased demand for both commercial property and both rental and sales volumes are increasing. Given the relative oversupply in many market segments it may take some time for this increased activity to raise prices, however the market now appears to definitely be headed in the right direction."

 

RICS