Overview of Hungary as a destination for expatriates
Hungary, a Central European country, is known for its stunning architecture. Its capital, Budapest, is often considered one of the most beautiful cities in Europe. Hungary offers a mix of cosmopolitan urban areas and serene countryside, making it a versatile destination for expatriates.
Hungary boasts a growing economy with diverse technology, finance, and tourism opportunities. This economic stability attracts many expatriates seeking new career prospects or business ventures.
EU or EFTA citizens do not need a visa or permit to enter Hungary. However, third-country nationals must apply for entry and residence permits.
In Hungary, several types of residence permits are available. Since 2024, investors have been able to obtain Hungarian residency by purchasing real estate fund units, buying property, or making a charitable donation.
Ways of obtaining residency in Hungary
Hungary offers various options for obtaining residency, each catering to different needs and circumstances.
Hungary Golden Visa — investment-based residency. The Golden Visa program offers residency to individuals who make a significant investment in Hungary, such as:
- Purchase of real estate fund units — €250,000+. Real estate funds that issue investment certificates must be registered with the Hungarian National Bank.
- Buying property — €500,000+. Applicants must obtain permission at the Land Registry with the help of a lawyer. The investor will also pay property taxes and fees.
- Charitable donation to an institute of higher learning — €1,000,000+. Public interest trust foundations performing public tasks must maintain the educational organisation.
The investor may also include a spouse and children under 18 in their application. Parents can be added later, after the main applicant obtains residency.
Applications for residence permit issuing may be submitted in Hungary from July 1st, 2024. Investors can apply for the real estate purchasing option from January 1st, 2025.
White Card — for digital nomads. The White Card is designed for remote workers who wish to live in Hungary while continuing to work for a foreign employer. It provides flexibility for those who want to experience life in Hungary without the prospect of obtaining permanent residency or citizenship.
To qualify, applicants must demonstrate a stable income of around €3,000 per month and provide proof of remote employment.
Only the main applicant can apply for a White Card. Dependent applicants need to apply separately for their own residence permits on any possible grounds.
Work residence permit — employment-based residency. This permit is for individuals who have secured employment in Hungary. It requires a job offer from a Hungarian employer and involves a straightforward application process. The work residence permit is ideal for those seeking to integrate into the local workforce and enjoy the benefits of Hungary’s growing economy.
Residence permit for high-qualified specialists — EU Blue Card. It permits its holder to reside within the EU while undertaking employment in a position required to be filled by:
- worker of higher professional qualifications, and has higher professional qualifications required to perform their job, or has professional experience for the specified period;
- worker who has an EU Blue Card issued by a Member State and has legally resided in that Member State for at least 12 months or has lived for 6 months in a second Member State.
Residence permit for opening a company — entrepreneurial route. If you plan to start or invest in a business in Hungary, this permit allows you to reside in the country while managing your enterprise. It is an attractive option for entrepreneurs looking to tap into the Hungarian market.
Applicants must establish a legal entity in Hungary. The most common types of companies for foreign investors are:
- Kft, Korlátolt Felelősségű Társaság — a limited liability company, which is the most popular form of business;
- Zrt, Zártkörűen működő Részvénytársaság — a non-public joint stock company;
- Nyrt, Nyilvánosan működő Részvénytársaság — a public joint stock company.
Capital requirements are HUF 3,000,000 (€7,700) for Kft company and HUF 5,000,000 (€12,700) for Zrt.
The residence permit is valid for one year, with the right to be extended once for two years. Spouses, children, and parents can obtain a Hungary residence permit during the extension process.
Student residence permit is available to international students enrolled in Hungarian educational institutions. It allows students to live in Hungary for the duration of their studies and explore the possibility of staying longer after graduation. Students must provide proof of enrollment and sufficient funds to cover living expenses during their stay.
9 advantages of living in Hungary
1. Affordable cost of living. Hungary offers a high quality of life at a lower price than many Western European countries. From housing to daily expenses, living there is significantly more affordable, allowing for a comfortable lifestyle without excessive expenditure.
For example, monthly living expenses for a single person range €780 to 1,650, while a family of two should expect to spend €1,650—3,000.
2. High-quality healthcare. Hungary offers high-quality healthcare services, both in the public and private sectors. The country is known for its advanced medical facilities and highly skilled healthcare professionals.
Expats often opt for private healthcare to benefit from shorter waiting times and more personalised care. Hungary’s dental care is particularly renowned, attracting many medical tourists.
3. Diverse and storied legacy. Hungary is steeped in history and culture, offering many historical sites, museums, and cultural events. Budapest, the capital, has stunning architecture, world-class opera, and vibrant festivals. The city is home to the majestic Buda Castle, offering stunning views of the Danube River and the iconic Chain Bridge.
The Parliament Building, with its intricate Gothic Revival architecture, is a must-see landmark. Additionally, the thermal baths, such as Széchenyi and Gellért, provide a relaxing experience.
4. Hungary’s central European location makes it a convenient base for travelling to neighbouring countries. It is well-connected by road, rail, and air, allowing easy access to destinations such as Austria, Slovakia, and Croatia. This makes Hungary an ideal home for those who enjoy exploring Europe and conducting business internationally.
5. Beautiful natural landscapes. Hungary boasts a diverse range of natural landscapes, from the rolling hills of the Hungarian countryside to the shores of Lake Balaton, the largest lake in Central Europe.
The country offers numerous opportunities for outdoor activities such as hiking, boating, and wine tasting in its famous vineyards. These picturesque settings provide a serene backdrop for those seeking a peaceful lifestyle.
6. Excellent education system. Hungary offers a robust education system with various international schools catering to expatriate families.
The country’s universities, such as Eötvös Loránd University and Central European University, are well-regarded and attract students worldwide. This makes Hungary an excellent destination for families looking to provide their children with a high-quality education in a multicultural environment.
7. Safe and welcoming environment. Hungary is known for its safety and low crime rates, providing a secure environment for residents. The country’s hospitable nature and friendly locals make it easier for newcomers to settle in and feel at home. This sense of safety and community benefits families and individuals looking to relocate to a peaceful and welcoming country.
8. The thriving economy has been steadily growing, offering numerous opportunities for business and investment. Hungary’s economy is notable for its openness to international markets and its substantial appeal for foreign direct investment (FDI). The country has actively pursued FDI, attracting €6.5 billion in 2022 and doubling that amount to €13 billion in 2023.
Budapest, in particular, has become a hub for tech and innovation, attracting entrepreneurs and investors looking to capitalise on the region’s dynamic economic landscape.
9. Active lifestyle. Hungary offers a wide range of leisure activities: thermal baths and spa resorts, lively nightlife, and gourmet dining. The country’s rich culinary traditions and diverse recreational options ensure a fulfilling and enjoyable lifestyle for residents.
Disadvantages of moving to Hungary
Hungarian language complexity. Hungarian is known for being one of the most challenging languages due to its unique grammar and vocabulary, which are not related to most other European languages. This can make everyday communication challenging for those who do not speak Hungarian, especially outside major cities where English proficiency is less common.
Complex administrative processes. Navigating Hungary’s bureaucratic system can be cumbersome, particularly for expatriates. The residency permit processes, business registration, and other administrative tasks can be time-consuming and involve considerable paperwork.
Employment restrictions. Non-EU nationals may find it challenging to secure employment in Hungary due to work permit requirements and a preference for EU citizens in the job market.
While there are opportunities in the IT, engineering, and healthcare sectors, securing a job can be more difficult for those without specialised skills. Additionally, salaries in Hungary tend to be lower than in Western Europe, which might be a drawback for some expatriates.
Varied weather conditions. Hungary experiences a continental climate with cold winters and hot summers. Winter can be particularly harsh, with temperatures often dropping below freezing and frequent snowfall.
The climate can be a significant adjustment for those not accustomed to such weather. The summer heat can also be intense, particularly in urban areas like Budapest.
Smaller expat network. Compared to larger Western European countries, Hungary has a smaller international community. This can make it more difficult for expatriates to find social connections and support networks outside Budapest. While expat groups and communities are active, those seeking a more diverse and extensive international environment might need more.
Immigration options for different nationalities
For US citizens. Hungary offers several visa options for Americans, including work, study, and family reunification visas. The application process involves submitting required documents such as a valid passport, proof of sufficient funds, and a clean criminal record. The processing time typically ranges from a few weeks to several months, depending on the visa type.
For UK citizens. Post-Brexit, UK citizens face new immigration rules when moving to Hungary. While the 90-day visa-free stay applies, UK nationals need to obtain residency permits and long-term visas for stays longer than that. These options require proof of employment, sufficient financial means, and health insurance coverage.
For EU citizens, the right to move and reside freely within Hungary is enjoyed. However, they must register with the local authorities within 90 days of arrival. This process is straightforward and requires proof of identity and health insurance.
For non-EU citizens, various visas and residency permits, such as work, study, or family reunification, can be applied for. The application process involves providing documentation like a valid passport, proof of income, and health insurance. The timeline for approval can vary, so early planning is essential.
Housing in Hungary
In Hungary, expats can find a variety of housing options, including:
- apartments,
- houses,
- shared accommodations.
Apartments are most common in urban areas, while houses are more prevalent in suburban and rural regions. The average cost of a 3-bedroom apartment in the Budapest centre is €1,200 per month.
To find a rental property, it’s best to refer to reputable real estate agents or use trusted online platforms. Ensure you understand the rental agreement terms and the rights and responsibilities of both parties.
Utility bills are typically paid monthly and can be managed through the landlord or service providers. The average cost of basic utilities, including electricity, heating, cooling, water, and garbage is €140 for a 90 m² apartment in Budapest .
Hungary requires residents to register their addresses with local authorities. This process involves submitting your rental agreement and identification documents. Compliance with local regulations is crucial to avoid penalties.
Popular cities for expats in Hungary
Budapest. As the capital city, Budapest is a vibrant hub for expats, offering a blend of modern amenities. The city is known for its historic architecture, bustling nightlife, and diverse culinary scene.
Debrecen, Hungary’s second-largest city, is a quieter alternative to Budapest. It has excellent educational institutions and healthcare facilities, ideal for families seeking a balanced lifestyle.
Szeged. Located near the border with Serbia, Szeged is famous for its university and sunny weather. The city offers a relaxed atmosphere and is known for its annual festivals and thermal baths.
Pécs is often referred to as Hungary’s “Mediterranean city” due to its mild climate. Located in the southwest, Pécs dates back to Roman times, with attractions such as the Early Christian Necropolis and the Pécs Cathedral.
The city is also known for its lively arts scene, with numerous galleries, theatres, and cultural events, including the Pécs National Theatre Festival.
Győr is an industrial and economic centre in northwestern Hungary near the Austrian and Slovak borders. The city is home to a significant Audi factory, contributing to its robust economy. Győr’s well-preserved Baroque architecture, including the Bishop’s Castle and the Town Hall, attracts many visitors.
How to immigrate to Hungary as an investor
Under the Hungary Golden Visa Program, investors receive a 10-year residence permit and can invest after approval.
Unlike other countries such as Portugal, Spain, Greece, and Cyprus, where investment precedes the residence application, Hungary requires a different process. The migration department reviews their application for a Guest Investor Visa before any investment is made, minimising the risk of being denied a residence permit.
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1—2 weeksFinding an expert
Consult with a qualified lawyer or authorised legal advisor to assist you in navigating the steps required to obtain a residence permit in Hungary.
Finding an expert -
1 dayPreliminary Due Diligence
Go through a preliminary check of an applicant to anticipate and mitigate any risks of rejection. The check is fully confidential.
Preliminary Due Diligence -
2 weeksPreparing documents
The investor collects documents for a Guest Investor Visa application as per the list provided by the expert.
Preparing documents -
1 weekApplying for a Guest Investor Visa
If the application is approved, the investor is granted a six-month Guest Investor Visa. Within this period, the investor must visit Hungary and apply for a residence permit.
Applying for a Guest Investor Visa -
Up to 93 daysTravelling to Hungary
After the first entry to Hungary with the Guest Investor Visa, the investor has 93 days to fulfil the investment condition and submit the application.
Travelling to Hungary -
3 daysApplying for a residence permit
Application submission in Hungary is available:
- by electronic means via the Enter Hungary electronic information system and procedure initiation platform;
- in person before the competent regional directorate of NDGAP as per the applicant’s place of accommodation.
After approval of the application, the investor makes an appointment with a migration office.
Applying for a residence permit -
Up to 3 weeksSubmitting biometrics and obtaining a residence permit card
The investor goes to the migration office to provide the originals of a passport and other documents, submit biometrics, and take a photo to be placed on a residence permit card.
Hungarian authorities send residence cards by mail.
Submitting biometrics and obtaining a residence permit card -
10 years laterRenewing the residence permit
Investors must prove that they still meet all the investment requirements to extend their Hungarian residency for another 10 years.
Investors who make a charitable donation obtain a residence permit extension without additional requirements.
Renewing the residence permit
Dual citizenship possibilities
Hungary allows dual citizenship, which can be beneficial for expats who want to maintain ties with their home country. Dual citizens enjoy the benefits of both nations’ services and protections.
To acquire dual citizenship, you must meet residency and language requirements and show integration into Hungarian society. It takes at least 11 years to get a passport of Hungary.
Maintaining dual citizenship requires adherence to both countries’ legal and tax obligations. Dual citizenship provides access to social services, voting rights, and simplified travel. However, it may involve complex tax arrangements and obligations to both countries.
Preparation for the move — what you need to know before immigrating to Hungary
Opening a bank account in Hungary is essential for managing your finances and completing various formalities. The country uses its currency, the forint (HUF), making it crucial to have a local account for transactions and bill payments.
EU and EFTA nationals face fewer documentation requirements compared to non-EU expatriates. A passport or ID card and proof of address are typically sufficient for EU citizens. At the same time, non-EU nationals may need to provide additional documentation, such as a residence permit and proof of employment or income.
Schooling options. Public schools in Hungary generally require proficiency in Hungarian, which may pose a challenge for expatriate children. Budapest offers various international schools for families who prefer an alternative due to language barriers or other reasons. These institutions provide education in English and other languages, catering to the needs of expatriate communities.
Hungarian universities are known for their affordable tuition fees and living costs compared to other European countries, making Hungary a popular destination for international students. The admission process is straightforward, and many programs are offered in English.
Public and private healthcare. Expats working or studying in Hungary are typically covered by the public health insurance system, which provides access to various medical services.
In addition to public healthcare, expatriates can opt for private healthcare providers, which offer shorter waiting times and higher levels of comfort. Many expatriates also subscribe to international health insurance plans for broader coverage.
Bringing Pets to Hungary. To bring pets to Hungary, you must comply with import regulations, including vaccinations and microchipping. Ensure that your pets have valid health certificates and are up to date on their vaccinations, particularly rabies.
Pet-friendly housing is widely available, though it may require additional deposits or fees, so it is advisable to clarify these terms with landlords in advance.
Urban transport systems. While car ownership is common in Hungary, expatriates living in larger cities such as Budapest can benefit from well-developed and affordable public transport networks.
Budapest, in particular, offers a comprehensive system of buses, metros, and even boat services along the Danube, providing convenient options for commuting and exploring the city. Public transportation is efficient and cost-effective, making it a practical choice for daily travel.
Summary of key points about moving to Hungary
- Relocating to Hungary presents many benefits, including an affordable cost of living and a high quality of life. The country offers a welcoming and enriching environment for expatriates, making it an attractive destination for those seeking new opportunities.
- From obtaining a Hungary Golden Visa by investment to exploring various permits for work, study, or entrepreneurship, Hungary caters to a wide range of expatriate needs.
- To make immigration as smooth as possible, potential residents should familiarise themselves with local requirements and procedures, including opening a bank account, navigating the education system, and understanding healthcare options.