Budapest has, of late, become a popular destination for property investors who are looking for investment opportunities that would yield high returns. These investments have restored the architectural prowess of the city as well as a thriving contemporary culture, which is driving even more investments thus boosting the demand for commercial and residential property. The Hungarian capital is divided into 23 districts, which are separated into 2 sections along the Danube River, referred to as Buda and Pest. Whenever foreign investors visit Hungary, Budapest in particular, they normally prefer to invest in the districts located in the downtown areas. Districts V, VI, and VII have some of the best neighborhoods in the city, and it’s where most investors hope to invest. These neighborhoods boast beautiful parks, dynamic bar and restaurant scenes, which are all nestled under the historical backdrop, making them the prime target for property investors.
To help you decide on where to invest, we have summarized the most popular districts among property investors. These are areas that due to their amazing neighborhoods and magnificent architectural composition, have become a prime target for investors looking to invest in Budapest. They include the following:
Districts in Pest
District V – this district is located at the heart of the capital, and it’s the commercial, political, financial a tourist center of the country. It is in this district where the Hungarian parliament is located, as well as Vaci shopping street and St. Stephen’s Basilica. This means that District V is where tourist attractions, fine dining, and well-kept neighborhoods come together. Property in this district has quite high demand, which makes it the perfect location to invest in real estate.
District VI – this is the other district that property investors are crazy about. The district is centrally located in a convenient location that’s lined with art nouveau residences and magnificent neo-renaissance mansions. The district has a bustling neighborhood which is a tourist hotspot, and, without a doubt, the most amazing location for incoming property investors. There are major renovations being carried out in the district, making it even more ideal for real estate investment, as properties will be in even more demand once the improvements are done.
District VII – in this district, its inner areas are known to be the historical Jewish quarter of Pest, which has transformed into the high energy nightlife hub it is today. Taking into account all the districts in Budapest, this is the most densely populated district, and being centrally located makes it the perfect place for short-term tourist rentals. As a property investor, investing in rental apartments can be the perfect investment, given the fact that tourists flood the district from all over the globe, and they will for sure need a place to stay when there are in town.
District VIII – the district is located on the outskirts of Budapest. It is less crowded, and if you are looking for a more affordable alternative to the central districts, then this is the place to be. As the district was initially built in the 18th century, and a suburb of pest, it has some impressive historical buildings that are just exceptional, like the original parliament building. What’s more, the district is in close proximity to downtown areas. Now, even you have to agree that this is an ideal location to set up a residential home, especially considering its quietness and easier access to the larger Budapest city.
District IX – this district has an upcoming and dynamic neighborhood, home to a community of students as well as families alike. The district plays host to universities such as Semmelweis and Corvinus, and also has a Raday Street which has restaurants, bars, and music venues, thereby creating a vibrant youthful ambiance. It also has the Great Market Hall as well as the open green spaces, and it very close in proximity to the city center, which makes it the ideal option for real estate investments. This also is the perfect environment to invest in rental apartments given the number of students it plays host to, and as you know, students need places to rent.
District XIII – this district was initially built as an industrial area, but later in the 1920s, it was rebuilt as a residential district. Given the District’s proximity to the downtown core as well as the Margaret Island, it has become a desirable neighborhood. Property investors, both local and foreign, are choosing to invest in the district due to its quietness as well as its magnificent architecture. It is located north from District V and it has a lot of Bauhaus style buildings.
Districts in Buda
District I – district I is entirely characterized by its rich historical heritage and its rolling hills. It home to Buda’s historic quarter. It also plays host to a number of famous buildings such as the extremely famous Buda Castle, the Fisherman’s Bastion, the Hungarian National Gallery and the famous St. Matthias Church. The historic buildings in the district led to it being referred to as the castle district. And as this name suggests, the neighborhoods are just timelessly beautiful, which is why property investors are so focused and willing to capitalize on this beauty.
District II – this is another peaceful and quiet district in Budapest. People looking to reside in a quiet environment, away from the busy downtown, should look into this particular district. The green spaces plus the quiet neighborhood makes it the perfect location to raise a family. What’s more, with an efficient transport system as well as the new luxurious condominium developments make it even more demanding for investors looking to set up residential properties in the region.
Basically, these are just some of the most popular districts in Budapest, which are seeing an increase in property investments due to their ideal locations and their magnificent neighborhoods. So, foreign real estate investors, who were wondering about the areas to invest in Budapest, with this information, you will be able to make a much more informed decision based on your preferences.