If the foreigner was granted an immigration permit, or has lived in Hungary for at least five years because of work contracts, the purchase of the property must be allowed. Another condition for granting permits is the existence of reciprocity, in other words, permits can be granted only to citizens of countries where Hungarian citizens can also buy properties. The number of foreigners buying real estate properties in Hungary has not changed essentially over the last three years, according to figures provided by local public administration offices that grant permits for purchase. While in 1999 these offices granted 8,352 permits to foreigners, the number was 7,642 in 2000. The majority of foreigners buying properties in Hungary are German, Austrian and Romanian citizens , however, requests have been submitted by nationals from Australia, Canada, Peru, Finland, Ireland, Ukraine, Israel, certain North African countries and Asia.
Many foreign buyers are pensioners of Hungarian origin.
Last year, foreigners in Hungary bought no outstandingly expensive properties. The number of real estate properties bought by foreigners in the northern and eastern counties of Hungary is insignificant. As against earlier experiences, a new element is that more and more foreigners are seeking and buying old peasant homes and holiday homes in smaller villages located 10-15 kilometres from Lake Balaton. These old houses are frequently refurbished in their former, period style, in a high-standard manner, but there have been examples of new owners demolishing the buildings, and replacing them with completely new ones. Some foreigners want to buy properties with the intent of settling in Hungary, however, most German and Austrian buyers want to have properties in Hungary for recreation and holiday aims, or because of their friendship with Hungarians.