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Building Act Changes in Hungary: The Rules of Simple Notification

Building Act Changes in Hungary: The Rules of Simple Notification

Hungary
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At the end of March 2017, the Hungarian Parliament accepted the amendment to the Building Act, which enters into force on 27 April 2017. According to the current rules, if natural persons start the construction of new buildings which do not exceed the limit of 300 sqm or the extension of existing residential buildings up to 300 sqm, the constructions works have to be carried out by a simple notification instead of a building permit.

As a result of the recent amendment, the simple notification will also be applicable in case of the construction or extension of a building above 300 sqm ensuring own housing purposes and also if the new residential building contains only one complete flat. In addition, the list of unlawful cases had been extended, as in case these conditions are not met, it shall be considered as unlawful construction activity. According to the amendment, after the completion of the construction or extension works, the function of the building may not be changed within 5 years calculated from the issuance of the certificate by the authority verifying the existence of the residential building constructed by simple notification.

The annex of the Building Act containing the amount of the administrative fees for issuing the official certificate has been removed from the Building Act and will now be regulated in a ministerial decree. 

The amendment shall not apply for the building authorization procedures already in process.

By Gabriella Galik, Partner, KCG Partners Law Firm

Hungary Knowledge Partner

DLA Piper is a global law firm with lawyers located in more than 40 countries throughout the Americas, Europe, the Middle East, Africa, and Asia Pacific. This positions us to help clients with their legal needs around the world.

With more than 60 lawyers, including 14 partners, and a staff of over 140, DLA Piper Hungary is one of the largest international law firms operating in Hungary. What makes us stand out is that we offer not only legal services but also tax and business advisory support in a fully integrated manner. We maximize synergies between legal, tax, and business advisory services to offer a unique service for our clients, particularly in regulated industries such as energy, infrastructure, life sciences, banking, and telecommunications.

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DLA Piper Hungary has received numerous professional awards and is consistently ranked among the top law firms in Hungary by international rankings. We are ranked #1 by Mergermarket among the law firms active in Hungary based on the volume of M&A deals handled between 2005 and 2024.

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