The reintroduction of the reduced VAT rate on new homes is expected to have a strong stimulating effect. Buyers can thus expect a more favorable purchase price and a larger selection, says Ákos Kiss. According to the sales director of Property Market, which is also developing the BudaPart part of the city, it would be worthwhile to support homes in the rust zone, so that, for example, larger-scale rental apartment constructions could also be started, even on a market basis.

– What do you think about the family protection measures announced in recent weeks and months, especially the 5% VAT on new apartments and the possibility of reclaiming it by buyers?
- In the current situation, government measures are essential for economic recovery, so they are expected to have a strong market-stimulating effect. One of the important benefits of the reduction of the reduced VAT rate is that, with this, buyers can expect a more favorable purchase price and a larger selection, so they can also decide on a property with a larger floor area, and the CSOK reliefs - and at the same time the tax exemption - further help families to find the property that best suits their needs. move.

– The time horizon of the discount is already known from the bill (valid license by the end of 2022, handover completion by the end of 2026), but what are the important questions that you think are not clarified in the currently planned VAT regulations?
As long as the VAT on flats could already be 5% in the rust zone area designation, in the immediate action areas, the measure that came into force on January 1 is generally valid, however, it is important to highlight that the law temporarily allows, until December 31, 2022, that the the apartments of developments with a final building permit obtained up to that point can be sold with this VAT rate. Those who obtain a building permit in 2023 will again have to calculate the VAT on new apartments at 27 percent. In addition, with regard to the 5% VAT on new housing, it should also be taken into account that families who buy newly built apartments together with the family home building discount will be able to claim it back, but they will have to finance the cost of the purchase price.

– How will the planned reduction of housing VAT from 2021 affect the schedule, cost requirements, and income plans of the Property Market projects?
- At BudaPart , we find that the demand for residential properties is at the level before the first wave of the virus situation, which is clearly shown by the fact that nearly 70% of the apartments in the BudaPart Otthonok 'E' building, which will be completed this year, have already been sold. We see that there is a demand for developments with newer and premium locations, and due to the changed conditions, the apartments in the city district have become even more attractive, as the location close to nature, the wide service portfolio, the wealth of recreation opportunities, the infrastructure is strong, and the accessibility is easy. . Several houses are still under construction in the city quarter, and we already started pre-registration at the end of 2020 for the BudaPart Otthonok 'F' residential building, the sixth residential building of the project, and sales will begin soon.
At BudaPart, we designed our products in such a way that they are crisis-proof in the long term, and the pricing is based on the proper symbiosis of product quality, location and demand. Thanks to Market Építő Zrt., construction in the city district is progressing according to the schedule with outstanding quality, so we are confidently preparing our further projects with a solid background.

– To what extent do the other elements of the new subsidies (tax reductions, renovation subsidies of up to 3 million (for this, the 6 million loan), loft installation subsidies, etc.) affect the developments of the Property Market?
– The sales rate of newly built apartments can only be 10% per year within all residential properties sold and their utilization as a substitute product is rare. Buyers of newly built apartments choose these properties mainly because of the modern design of the houses, the high quality of the construction, and the use of energy-efficient solutions. All apartments in BudaParton are equipped with a smart home system and motion detectors and we use a number of environmentally conscious solutions, for example, the heating and air conditioning of our 'E' building is done with cooling and heating panels embedded in reinforced concrete, which solutions are not typical for second-hand apartments.