Property management FAQ

A fixed-term lease for the whole apartment, with a commitment from the tenant for that period. It is written to protect the owner against late payment, damage and early departure, while leaving room for reasonable flexibility with tenants.

You always approve the rent. We advise you on the amount based on the current market, to secure good profitability and avoid empty periods. There is no rent control in Hungary.

Tenants pay rent and charges in one transfer before the 5th of each month. If a payment is late, we see it immediately and contact the tenant without waiting for the end of the month.

We select tenants with a stable financial situation, and the lease and our follow-up are designed to prevent unpaid rent. If a payment is missed, we contact the tenant straight away. If no solution is found, the lease allows termination and the deposit covers the rent owed. To date, none of our rentals has ended in eviction proceedings.

Two months’ rent, paid before the tenant moves in; the lease only takes effect once the deposit is received. It is held on our management account and covers unpaid rent and damage.

The highest rent is not always the most profitable: a fair rent attracts long-term tenants. Our leases require tenants to tell us one month before the end date whether they renew, so we can start visits early and avoid a gap between two tenants.

Home insurance is taken out by the owner, and we arrange it as part of the management mandate. It covers fire, water damage, theft and more; its price depends on the size and location of the apartment. Rent-guarantee insurance is rarely offered in Hungary.

Water, gas, electricity and internet contracts stay in the owner’s name, because changing the holder in Hungary is slow and strictly regulated. With a power of attorney from you, we manage the contracts and pay the suppliers.

Insurance, structural repairs (plumbing, electricity, roof), consumption during empty periods, taxes and our fees. We pay them from the rents, so you receive a balance each month without paying bills yourself. For works larger than the rent, we may ask you for funds.

Their consumption and the condominium charges (excluding major works), through a fixed monthly advance set at the start of the lease. We collect meter readings regularly so the advance stays accurate and there is no unpleasant settlement at the end of the lease.

Tenants report problems on our tenant help desk page. We send a tradesperson from our network and keep a record of every intervention. Above the threshold set in the mandate (70,000 forints by default), we ask for your approval first, except in emergencies.

General meetings take place every year. We can represent you and vote on your behalf, on request or when an important decision is on the agenda, and we keep you informed of notable events in the building.

On each rent received under the mandate, excluding the charges paid by the tenant: 11% up to 300,000 forints of monthly rent, 9.5% from 300,001 to 570,000 forints, and 8.5% above. These rates include 27% Hungarian VAT (8.66%, 7.48% and 6.69% excluding VAT). For a property divided into several apartments, the rate applies to each lease.

No. Many Budapest agencies charge a flat fee during empty months; we do not, because our interest is the same as yours: keeping the apartment rented.

If we take over an apartment where utility or condominium payments are behind, a one-off regularisation fee may apply when the work involved is significant. It is quoted to you in advance, VAT included, with the amount excluding VAT shown beside it.

Yes: partial or full renovation, new equipment or decoration. These works are outside regular management and are invoiced at 10% of the amount spent, VAT included (7.87% excluding VAT + 27% VAT).

Always in forints, because expenses (utilities, insurance, taxes) are paid in forints. Rent can be collected in euros and your balance sent in the currency of your choice; we convert on receipt or before transfer. Euro rents protect you against a weaker forint, without guaranteeing it.

Rent comes in at the beginning of the month and we transfer your balance at the end of the month, after paying the expenses of the month, so that you never have to pay a bill yourself.

A monthly management statement for each apartment and a yearly summary to prepare your tax return.

Individuals pay a flat 15% personal income tax on rental income, after deducting either a flat 10% for costs or the actual documented costs. In practice our clients pay on average about 8% of their rent. Depending on your situation, a social contribution may apply. Companies pay 9% corporate tax plus up to 2% local business tax; for them, we involve a local accountant.

The annual return is filed online with the tax authority (NAV), by 20 May of the following year. Since January 2025, access requires Ügyfélkapu+ (two-factor login) or the DÁP mobile app. We can file for you or send you every figure you need.

If you wish, we keep 15% of each rent in a reserve to pay the tax when it is due, then return the surplus to you. The rate can be adjusted. It is optional: you can also pay the tax yourself with our figures.

One year, renewed automatically. If you end it, we hand over all documents and the full accounts of the mandate period.