The Hungarian Guide - Investing and retiring in Hungary

  • A stunning capital with unique setting A stunning capital with unique setting
  • walking and birdwatching paradise walking and birdwatching paradise
  • undisturbed nature rich in rare species undisturbed nature rich in rare species
  • enjoy the 144 mile lakeside cycle track enjoy the 144 mile lakeside cycle track
  • Teeming with History Teeming with History
  • over 300 Thermal Health Spas and warm lakes over 300 Thermal Health Spas and warm lakes
  • picturesque lakes with Carp weighing over 100 lb picturesque lakes with Carp weighing over 100 lb
  • Feast on delicious sunripened local fruit Feast on delicious sunripened local fruit
  • Lake Balaton gets as warm as the Caribbean in the summer Lake Balaton gets as warm as the Caribbean in the summer
  • Tranquil Lake Balaton Tranquil Lake Balaton
  • Lush rolling hills of western Hungary Lush rolling hills of western Hungary
  • buy a thatched cottage for under £30 000.. buy a thatched cottage for under £30 000..
  • horsemen and nature lovers paradise horsemen and nature lovers paradise
  • Europe's second largest freshwater lake Europe's second largest freshwater lake
  • A paradise for watersport enthusiasts A paradise for watersport enthusiasts
  • Tihany peninsula- a pearl of history and nature Tihany peninsula- a pearl of history and nature

Higher Interest Rates on Savings

great money saving tips in HungaryProperty owners can open up Hungarian Bank Accounts and earn interest rates higher than those offered by UK and Irish banks. Not only do you get a great return on your savings but you are insured by the European central bank up to £85,000 / €100,000 and twice this amount if its a joint account.

Assuming you own your Hungarian property and are mortgage free this allows you to live extremely well, especially when you consider the council tax costs in Hungary are typically less than £50 / €60  per annum. In the UK interest rates are typically 1.5% per annum so you would need to invest in excess of £100,00 / €120,000 savings in order for this to yield enough return to pay the average UK council tax bill of £1,456 / €1750  ( Band D 2013/4 ). Whereas in Hungary your Council Tax costs can be covered by investing as little as a few thousand pounds / Euros in a higher yielding Hungarian bank account.
One should consider that instant access accounts in the UK and Ireland typically only offer 0.22% in interest.  Bank of England figures show that the average cash Individual Savings Account (Isa)  interest rates are only just better, yielding no more than 0.66%.
What is even more miserable is that the cost of living remains incredibly high in the UK and Ireland.