Home Start credit cap rises for detached homes – what It means for buyers

The price threshold for Home Start credit scheme eligibility has been raised from HUF 100m to HUF 150m for detached homes, state secretary Miklós Panyi said in a video message on social media on Saturday.

Panyi said the threshold was raised after talks with property market experts, banking sector insiders and property developers. The price threshold for homes in multidwelling buildings will remain at HUF 100m, he added.

Panyi said banks had told the government they would be ready for the programme’s rollout on September 1.

The Home Start Programme will offer first-time home buyers, regardless of age or family status, subsidised loans up to HUF 50m with fixed rates of 3pc.

In an interview with public radio broadcast on Sunday, Panyi said monthly repayments on a HUF 25m, 25-year Home Start loan would be around HUF 120,000, well under the HUF 185,000-190,000 for a market-priced loan.

He noted that Home Start credit could be combined with other government home purchase support, such as a scheme for couples who pledge to have children.

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