Debrecen
Antall József str. 36., gf. 1.
+36 20 445 8480
On weekdays 8 AM to 5 PM
Open: 8 AM to 5 PM
On weekends we are closed
Antall József str. 36., gf. 1.
On weekdays 8 AM to 5 PM
On weekends we are closed
In Hungary, title to real estate can only be registered in the land registry if the gift contract has been drafted and countersigned by a lawyer (or recorded in a notarial deed by a notary public). Gift duty (ajándékozási illeték) on residential property is 9%, and on other property 18%, but between lineal relatives, spouses, registered partners and siblings a gift is entirely exempt from duty – that is, no duty is payable on a property gift between parent and child, or between grandparent and grandchild. Dr. Andirkó Law Firm is led by dr. Andirkó Balázs István LL.M., real estate law specialist — we draft property gift contracts in Debrecen and Hajdúböszörmény with in-person appointments, and throughout Hungary online, by video call.
A gift is a contract in which the donor transfers ownership of an asset – here, a property – to the donee without consideration. A gift is not a one-sided decision: the donee must also accept it.
The law distinguishes between customary gifts and gifts exceeding that scale. A property naturally always falls into the latter category, which means that:
A gift is a gratuitous acquisition, so unlike a sale and purchase it falls not under transfer duty for consideration but under gift duty – although in the most common situation, a gift within the family, it is exempt from duty.
The total cost of a property gift contract between parent and child typically consists of the attorney fee and a few tens of thousands of forints in official charges – with no duty. Between non-relatives, however, the duty is the largest item.
| Who receives the gift? | Gift duty |
|---|---|
| Lineal relative (parent, child, grandparent, grandchild, adopted child) | 0% – exempt |
| Spouse, registered partner | 0% – exempt |
| Sibling | 0% – exempt |
| Anyone else – residential property (flat, house) | 9% |
| Anyone else – other property (plot, garage, holiday home, business premises) | 18% |
The duty is based on the property net value, that is, the market value less the value of any encumbrances on it that can be expressed in money. It is worth stressing that form B400e is a declaration: after an on-site inspection the tax authority may establish a market value different from the one stated in it.
A common misconception: a cohabiting partner is not the same as a registered partner. If the parties live together but are not in a registered partnership, the gift is not exempt from duty. Likewise, a gift in favour of a cousin, an aunt, an uncle or a brother-in-law is not exempt either.
In these cases it is worth reviewing the full facts with our firm to see whether a more favourable solution can be found.
For gift contracts too, we work with fee bands based on the value of the property:
| Property value | Attorney’s fee |
|---|---|
| HUF 0 – 100 million | 0.5% of the value + VAT (min. HUF 150,000 + VAT) |
| HUF 100 – 200 million | 0.4% of the value + VAT |
| HUF 200 – 300 million | 0.3% of the value + VAT |
| Above HUF 300 million | a fixed HUF 1,000,000 + VAT |
The fee covers advice, checking the title deed, drafting and countersigning the contract, the land registry submissions and the NAV data sheet, as well as representation in the land registry and duty assessment procedures, but it does not include the official charges or the acquisition duty. We can only give an exact quote once we know every detail of the matter; we have, however, built a calculator with which the expected attorney fee for a property gift contract and a summary of the costs can be worked out in a minute.
| Item | Charge |
|---|---|
| Certified electronic title deed | HUF 4,800 each |
| Registration of ownership | HUF 10,600 / property |
| Registration of usufruct | HUF 10,600 / property |
Yes. A gift contract concerning real estate is capable of being registered in the land registry only if it has been countersigned by a lawyer or recorded in a notarial deed by a notary public. A downloadable contract template (in Hungarian) signed without a lawyer does not give the donee any title to the property – the property stays in the donor’s name on the title deed, with all the attendant risks (the donor’s creditors, enforcement, inheritance).
In a gift transaction a lawyer often has to act with even greater care than in a sale, because this is typically a reallocation of assets within the family that may later give rise to inheritance disputes. When drafting the contract we therefore also consider:
Many families face the same question: the parent wants the property to pass to their child – but when and how?
| Aspect | Gift | Sale (within the family) | Will |
|---|---|---|---|
| When does ownership pass? | immediately, on registration | immediately, on registration | only after death |
| Duty between lineal relatives or siblings | exempt | exempt between lineal relatives, subject to duty between siblings | inheritance duty is exempt in the lineal line |
| Can it be revoked? | the gift can be reclaimed only through litigation | not | yes, it can be amended at any time |
| Can the donor’s housing be protected? | yes, by retaining a right of usufruct | yes, by retaining a right of usufruct | housing is secured until death |
| Effect on later inheritance | raises collation and compulsory share issues | typically neutral | settles it directly |
| Is there creditor risk? | yes; in certain cases the gift can be challenged or classified as a contract defrauding creditors | typically lower | – |
There is no universally right answer: the decision is shaped together by age, family circumstances, existing loans, any need for care and the position of the other children. We set all this out in detail at the consultation – if you instruct us, the first consultation is free. Our related practice areas are inheritance law and family law, and the rules on wills (in Hungarian) are covered in a separate post.
In our firm’s experience the most common request is that the parent transfers ownership of the property to their child but wishes to live there for the rest of their life. The established solution for this is retaining a lifetime right of usufruct, which can be stipulated in the same gift contract and registered on the title deed.
What is worth knowing about usufruct:
Our articles on this topic: The value and termination of a right of usufruct (in Hungarian) · Which is stronger: ownership or the right of usufruct? (in Hungarian)
This is the most common worry on both sides – it is worth seeing it clearly.
After signing the contract but before the gift has been handed over, the donor may refuse performance if they prove that, since the contract was concluded, such a material change has occurred in the parties’ relationship or in the donor’s own circumstances that performance can no longer be expected of them.
A gift already handed over can be reclaimed only in narrow circumstances, in three cases:
An important limitis that a customary gift cannot be reclaimed, nor can a gift be reclaimed if it no longer exists, if the donor has forgiven the wrong, or if the donor has not asserted the claim for a longer period.
This is precisely why it is worth drafting the gift contract in advance so that the parties’ intention and the underlying assumptions appear in it clearly – this can be decisive in any later dispute.
If the donee sells the property received as a gift within 5 years, a personal income tax liability may arise.
Example: if a child sells a flat received duty-free from their mother for 50 million forints in the following year, the acquisition value is 37.5 million forints, the income is 12.5 million forints, and 15% personal income tax is payable on 100% of it, namely HUF 1,875,000 in total. The same transaction is entirely tax-free after the fifth year.
More on this: What to do when selling an inherited property? (in Hungarian)
The law of undivided joint ownership (in Hungarian) and the rules on division of use, as well as duty allowances and exemptions (in Hungarian) are covered in detail in our separate posts.
Gift duty on residential property (a flat or house) is 9% of the property’s net value, and on other property – for example a plot, garage, holiday home or business premises – 18%. Between lineal relatives (parent, child, grandparent, grandchild, adopted child), spouses, registered partners and siblings, a gift is entirely exempt from duty.
No. A gift between lineal relatives – so a property gift between parent and child, or between grandparent and grandchild – is entirely exempt from duty, including relationships based on adoption. The attorney fee and the land registry charges must, however, still be reckoned with.
Yes. The land registry will only register the donee’s title on the basis of a private document countersigned by a lawyer or a notarial deed. With a contract signed without a lawyer on the basis of a downloaded template the donee acquires no title, and the property remains in the donor’s name on the title deed.
At our firm the fee is 0.5% of the value + VAT up to a property value of 100 million forints, but at least 150 000 Ft + VAT; between 100 and 200 million forints 0.4% + VAT; between 200 and 300 million 0.3% + VAT; above 300 million forints a flat 1 000 000 Ft + VAT. The fee includes advice, checking the title deed, drafting and countersigning the contract, the land registry and NAV submissions and representation in the procedures, but it does not include the cost of the title deed (4 800 Ft per request), the official charges (10 600 Ft per property) or the acquisition duty.
Yes, and in practice this is the most common solution. A lifetime right of usufruct can be stipulated in the gift contract and registered on the title deed, under which the donor remains entitled to possess and use the property. A right of usufruct does not cease when ownership changes, which is why the market value of such a property is lower.
Only in narrow circumstances. A gift already handed over can be reclaimed if the donor or a close relative needs it for subsistence, if the donee or the donee’s relative has committed a serious infringement against the donor or a close relative, or if the assumption on which the gift was based has definitively failed. A customary gift cannot be reclaimed, nor can a gift that no longer exists or where the donor has forgiven the wrong.
Only if it is a registered partnership. In the case of a traditional cohabiting relationship not entered in the notarial register, the gift is subject to duty: 9% for residential property and 18% for other property. The same applies to a gift in favour of a cousin, an aunt, an uncle or a brother-in-law.
If the sale takes place within 5 years of acquisition, a personal income tax liability may arise. Where the gift was exempt from duty, the acquisition value is 75% of the sale price, so 25% of the proceeds is the computed income. This is taxable at 100% in the year of acquisition and the following year, 90% in the second year, 60% in the third, 30% in the fourth, and no longer from the fifth. The rate of personal income tax is 15%.
It depends on the family’s situation. A gift transfers ownership immediately and is exempt from duty between lineal relatives, but it can afterwards be revoked only in narrow circumstances and may affect later inheritance (collation, compulsory share). A will can be amended at any time but only takes effect after death. Inheritance by a lineal relative is likewise exempt from duty. It is worth consulting before deciding – if you instruct us, the fee for the first consultation is credited against the later attorney fee.
Only with the beneficiary’s consent. If a mortgage or a prohibition on alienation and encumbrance is registered on the property, the consent of the bank or – in the case of State support – of the Hungarian State is required for the gift. Where CSOK has been used, the 10-year prohibition on alienation and encumbrance must be examined separately.
Yes, but the legal representative acts on the minor’s behalf. It is important to note that a property owned by a minor can later be dealt with only in a limited way, and this too generally requires approval from the guardianship authority, so the consequences of such a gift are worth thinking through in advance.
Yes. A gift contract can also be concluded by video call; the lawyer’s countersignature is mandatory in that case too. Our firm accepts instructions online from anywhere in Hungary.
Dr. Andirkó Law Firm’s registered office is at 4025 Debrecen, Antall József utca 36., ground floor 1. (corner of Antall József and Barna streets), and clients are also received in person in Hajdúböszörmény. From elsewhere in the country we accept instructions online, by video call.
When you contact us we examine the legal status of the property and explain how the contract will be concluded, the attorney's fee and the expected costs. If you go on to instruct us, the fee for the first consultation is credited against later fees.
We draft the appropriate type of contract and provide the lawyer's countersignature.
We provide representation before the land registry authority, the tax authority and – depending on the type of case – any other authority or body.
Last updated: August 2026