(Bloomberg) — Hungary plans to nearly quadruple the tax on short-term rentals and suspend new licenses for Airbnb Inc.-style apartments. in connection with the actions of the government of Prime Minister Viktor Orban aimed at combating the deepening housing crisis in Budapest.
The draft proposal would raise the fee for such rent to 150,000 forints ($405) a month from just 38,400 forints, the Economy Ministry said in a statement on Monday. There will also be no new permits for short-term apartments in 2025 and 2026, it said.
The restrictions, which would apply only in the capital, are intended to tackle rising rental and property prices, partly driven by a rise in Airbnb and Booking Holdings Inc. housing. The cost of housing in Budapest has almost quadrupled over the last decade.
Residents of the city’s sixth district, one of the most popular areas for tourists, last month supported a total ban on short-term rentals from 2026 after years of complaints about noise, trash and rising rental costs. The mayor of the district committed to adopting regulations by the end of the year, consistent with the results of the local referendum.
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