The Wekerle Plusz home loan in Hungary: conditions, deadlines and what to check in the sale contract

On 28 October 2026, Government Decree No. 298/2026 (X. 27.) on the Wekerle Plusz home purchase loan (the “Decree”) entered into force, replacing the Otthon Start programme. The Wekerle Plusz loan is available to young people for buying or building their first home, up to HUF 50 million, for a term of up to 25 years, at a fixed customer interest rate of at most 3% for a new home and at most 5% for a used home. Below I explain who can apply, for what property, which deadlines matter, and what should be settled in the sale contract before it is signed.

1. Transition: how long can Otthon Start still be used?

The Wekerle Plusz loan has been available since 28 October 2026. Otthon Start remains available only to those who file their application by 15 November under the conditions below; the two cannot be combined [Decree, section 9].

From 28 October, applications for an Otthon Start loan may, as a rule, no longer be filed. As an exception, they may still be filed until 15 November 2026 – a strict, non-extendable deadline – if, for a purchase, the sale contract was concluded on or before 31 October 2026, or, for construction, the permit procedure was started or the simplified notification was made by that date [Decree, section 61; Government Decree No. 227/2025 (VII. 31.), section 33].

Under the Decree’s transitional rule, the former Otthon Start rules continue to apply after their repeal (16 November 2026) to applications filed before the 16th day following the Decree’s promulgation, i.e. before 12 November 2026 [Decree, sections 57(2) and 58]. As the two dates do not coincide, I recommend that anyone still buying with Otthon Start file the application by 11 November at the latest. Note also that 15 November 2026 falls on a Sunday, so the last working day at bank branches is in practice Friday, 13 November.

2. Who can apply?

The loan is available to a person with full legal capacity who, at the time of the application, is at least 18 and has not yet reached the age of 45 [Decree, section 2(1)(4)]. Eligible applicants are Hungarian citizens, EEA nationals exercising the right of residence in Hungary for more than three months, third-country nationals holding a long-term residence status, and recognised stateless persons [Decree, section 4(1)]. Further conditions:

• a clean criminal record [Decree, section 6];
• no tax arrears above the statutory threshold [Decree, section 7];
• no debt registered in the Central Credit Information System (KHR), or such debt settled at least one year earlier [Decree, section 8];
• no other state interest-subsidised housing loan, and an undertaking not to apply for one while the subsidy lasts [Decree, section 9];
• no obligation imposed in the past three years by an authority or a court to repay a housing subsidy [Decree, section 10].

Each applicant may take out the loan only once, even if an earlier one has been repaid [Decree, section 4(2)]. Spouses and cohabiting partners may apply only jointly; both must meet the conditions and both must acquire ownership of the home [Decree, sections 4(3)–(4) and 13(1)]. Only the applicant’s parent or sibling may join as a co-debtor, and they may not acquire ownership of the home [Decree, section 4(5)]. The Decree does not require children, marriage or social security coverage. Creditworthiness is decided by the bank, and the authority may not review that decision [Decree, section 3(6)].

3. Who counts as a first-time buyer?

As a rule, a person who neither at the time of the application nor earlier held a share of 50% or more in a home; the shares of spouses or partners in the same home are added together [Decree, section 11(1)]. Earlier ownership is not an obstacle if the home was worth no more than HUF 30 million, if it was demolished, or if the applicant acquired it encumbered by a statutory usufruct and the usufructuary still lives there [Decree, section 11(2)]. The HUF 30 million value must be proven by a valuation not older than 90 days or, for a home already sold, by the sale contract [Decree, section 11(3)].

4. What property qualifies?

A flat, a single-dwelling house, a farmstead (tanya) or a farm centre (birtokközpont) in Hungary that meets the housing requirements, whether purchased or built [Decree, sections 1(2) and 18]. The price may not exceed HUF 100 million gross for a flat in a multi-unit building, or HUF 150 million gross for a house, farmstead or farm centre [Decree, section 14(2)], and the price per square metre of usable floor area may not exceed HUF 1.5 million gross [Decree, section 15(1)]. Balconies, loggias and terraces count only at 50%, while garages and basement rooms are not included in the usable floor area [Decree, section 2(1)(7)]. The purchase price may not deviate by more than 20% from the market value established by the bank [Decree, section 14(4)].

The loan may not be used to buy a home encumbered by a usufruct, nor, as a rule, a partial share [Decree, section 13(2)]. Exceptions apply where the buyer acquires the exclusive use of one flat in a property held in undivided co-ownership – proven, for example, by an agreement on use in a notarial deed or in a private deed countersigned by a lawyer – or where the buyer purchases the remaining share of a home in which he or she already holds an inherited share and thus becomes the sole owner [Decree, sections 13(3) and (5)].

The seller may not be the buyer’s close relative or cohabiting partner; if the seller is a company, the buyer may not hold an interest in it and its owner may not be the buyer’s close relative [Decree, section 12(1)]. This restriction does not apply when completing an inherited share [Decree, section 13(4)(a)].

Only a newly built home with an occupancy permit counts as new, and for a purchase only if it was built for sale by a business entity and is being sold to a natural person for the first time [Decree, sections 2(1)(13) and 17(1)]. Every other home counts as used, with the higher 5% interest cap.

5. Loan terms

• amount: up to HUF 50 million; term: up to 25 years [Decree, section 31];
• interest paid by the customer: at most 3% for a new home and at most 5% for a used home [Decree, section 32];
• own contribution: at least 10%, unless adequate additional collateral is provided [Decree, section 35];
• bank fees: no more than HUF 30,000 in total in connection with the application and disbursement, plus the valuation and site inspection fees; for early repayment, no more than 1% of the amount repaid [Decree, sections 40(1) and (3)];
• decision deadline: 30 days for a purchase and 60 days for construction, excluding time allowed for supplying missing documents [Decree, sections 42(1)–(2)].

6. Deadlines and the sale contract

For a purchase, the loan application must be filed within 180 days of concluding the sale contract [Decree, section 41(1)(a)]. For a new home, the application must be accompanied by the sale contract filed with the land registry and the application for registration of ownership or of the buyer’s right, as noted on the property sheet [Decree, section 17(2)].

The bank transfers the part of the price financed by the loan directly to the account designated by the seller [Decree, section 21(2)]. Disbursement may begin only once the buyer has paid his or her own contribution, and any additional market-rate loan may be disbursed at the latest at the same time [Decree, sections 47(6) and 48(1)]. For the sale contract, this means:

• in the payment schedule, the deposit and the buyer’s own funds come before the loan-financed part, and the due date of that part reflects the bank’s decision and disbursement times;
• the contract should state what happens if the bank does not approve the loan (for example a right of withdrawal or a condition subsequent); otherwise the fate of the deposit may be disputed;
• the usable floor area and the price per square metre should be calculated before signing, because exceeding the HUF 1.5 million cap excludes eligibility;
• the purchase price can also be secured through a lawyer’s escrow (see the article on attorney’s escrow in a Hungarian property purchase).

7. Obligations after the purchase

The buyer must register the home as his or her residence within 180 days of disbursement [Decree, section 19(1)] and actually live there for five years [Decree, section 20(1)]. During this period the home may not be made available for use by third parties, no right of use or usufruct may be created over it [Decree, section 20(5)], and it may not be used for non-residential purposes [Decree, section 26(1)]. The Decree allows exceptions, for example for justified employment elsewhere for up to two years, studies, medical treatment or caring for a close relative [Decree, section 20(3)].

To secure these obligations, a mortgage and a prohibition on alienation and encumbrance are registered over the home in favour of the State for five years, up to 20% of the loan amount [Decree, section 28(1)]; the home is also encumbered by a mortgage and prohibition in favour of the bank for the term of the loan [Decree, section 29]. A sale, a change of residence or allowing others to use the home must be reported to the government office within 30 days [Decree, section 51(2)].

8. What if the conditions are not met?

If the home is sold, let or not lived in during the five years, the interest subsidy ends, the loan carries a market interest rate, and the subsidy already received must be repaid with interest at the central bank base rate plus 5 percentage points [Decree, sections 50(1), 51(1) and (3)]. The government office may, on equitable grounds, allow payment in instalments or, in particularly justified cases, a deferral of up to five years; the request must be filed within 30 days of receiving the decision [Decree, sections 52(1) and (4)].

If the bank rejects the loan application, the applicant may, within 15 days of receiving the rejection, ask the government office to establish that the conditions were met [Decree, section 45(2)].

How I can help

I draft and countersign the sale contract so that the payment schedule, the financing condition and the usable floor area match the Wekerle Plusz requirements; I act as escrow holder and handle the land registry procedure; I prepare the agreement on use required for undivided co-ownership and the contract for buying out a co-heir’s share; and I help assess eligibility and any earlier ownership. If a repayment obligation arises later, I can represent you before the government office and in a request for equitable relief. You can read more about buying property on the Real estate law and property sales page; the expected lawyer’s fee can be viewed in the fee calculator.

This article provides general information and does not constitute legal advice or replace the bank’s assessment of creditworthiness. It does not cover other elements of the Wekerle Plusz Programme (such as home savings or energy renovation), which are not governed by the Decree. It reflects the law as of 29 October 2026. This English version is provided for information; in the event of any discrepancy, the Hungarian version prevails.