How the Budapest Rental Market is Changing for Expats in 2026

In 2026, the Budapest rental market is showing signs of stabilizing after years of sharp growth, which directly affects expat renters and landlords alike. Average rents in the capital continue to rise, but at a more moderate pace (around 5–8% year-over-year) compared with the double-digit increases seen in earlier years, reflecting a cooling of the market after the post-pandemic surge in demand.

A major development influencing the market in 2026 is the regulation of short-term rentals, including stricter rules and bans in inner districts like Terézváros. This is expected to push more properties into the long-term rental market, increasing supply and helping balance rents in certain areas.

Despite this, the rental stock in Budapest remains relatively tight, with a low vacancy rate and strong demand from students, professionals, and families—including expats—especially during peak relocation periods like late summer and early autumn. Units in desirable central neighbourhoods still rent quickly, often within a few weeks if priced and presented competitively.

For expats, these trends mean more rental options and slightly slower price growth, but also the importance of acting fast and working with knowledgeable agents who understand the nuances of the 2026 market.

How Expat Budgets Are Changing for Employers

In recent years, corporate expat relocation budgets have shifted as companies balance cost control with the need to attract international talent. Traditionally, generous expat packages included substantial allowances for housing, moving costs, schooling, and travel, especially for senior roles. Today, while housing support remains one of the most common benefits, companies are tailoring packages more carefully and focusing on cost‑effective approaches rather than blanket high budgets. Housing allowances are still widely offered, but overall compensation and relocation benefits are increasingly designed to be flexible, personalized, and aligned with specific employee needs, especially as global mobility grows and remote work patterns evolve.