Hungary
■ Population: 10,032,375
■ Capital: Budapest
■ Mercer cost of living: 84.5
■ Life expectancy: 72 years
■ Literacy: 99.4%
■ Government: Parliamentary democracy
■ GDP per capita: US$4,431
■ Unemployment: 5.9%
■ Currency: Forint (Ft)
■ Exchange rate: Ft1 = £0.003; £1 = Ft355
■ Languages: Hungarian
■ Climate: Temperate and cloudy with humid winters and warm summers
■ Expats: There are about 40,000 expats in Budapest, many of whom are British and German.
Hungary is a beautiful country with a very varied topography. Land-locked and located in the centre of Europe, it is bordered by no fewer than seven other countries. Straddling Western and Eastern Europe, Hungary is ideally located for residents to enjoy the benefits of both. Jobs and economy: Hungary joined the EU in 2004 and has been enjoying dynamic economic growth since 1997. With a current growth rate of 2.9 per cent, it is one of the most prosperous countries in Eastern Europe. Unemployment has fallen to 5.9 per cent, inflation has fallen to six per cent, wages are rising and industry has diversified.The service industry employs 65 per cent of the population.The main employment centre is
Budapest, with one-third of businesses situated either in the city or the surrounding area.These businesses include a number of international companies, such as Audi, Electrolux and Samsung.The major industries are mining, metallurgy, construction, textiles, chemicals and car production.There are plenty of job opportunities in hi-tech industries, publishing,
consulting, tourism, agriculture and manufacturing. Publications that feature “situations vacant” in English include the Budapest Sun, the Budapest Business Journal and Budapest Week.
Education: Most public and private schools in Hungary are excellent, and there are a number of international schools in and around Budapest that teach the English curriculum. It is also possible for foreigners to attend university here.
Healthcare: The health service in Hungary is stateowned and run, but the government is planning to privatise some hospitals in the near future. Residents pay social security contributions. Non-residents must take out separate health insurance.
Renting: Throughout Hungary, rental apartments are in plentiful supply, particularly in the centre of Budapest, where 33 per cent of properties are for rent.Tenants are expected to pay one month’s rent in advance, and one or two months’ rent as a deposit.They also pay for the utilities and contribute to the house fund, which is for maintaining common areas. Rental adverts can be found in local newspapers, and there are many English speaking rental agencies.A two–bedroom apartment in Budapest costs about Ft183,600 (£510) per month. Rental prices are rising by about eight per cent every year.
Buying: Foreigners must apply for a permit before purchasing property.The price of property in Hungary is increasing dramatically. Since 2000, prices in parts of Budapest have
increased by between 80 and 100 per cent. Even properties in the least desirable districts are set to increase by 14 to 18 per cent in 2005.There is a well-established registry system and legal apparatus, and it is usual to pay a ten per cent deposit to secure the property. Several banks in Hungary now offer mortgages to foreigners, of about 40 per cent of the purchase price. A two-bedroom apartment in Budapest will cost approximately Ft30,899,880 (£85,800), while a fourbedroom house will cost Ft44,094,000 (£124,150).
Tax: Income tax is charged ona sliding scale starting at 18 per cent, going up to 38 per cent for those who earn over HUF1,500,000.You are also taxed on any income generated
outside Hungary. Property tax includes stamp duty of between two to six per cent of the purchase price, and capital gains tax of 20 per cent.