The Total Fees for subscription Hungarian real estate investment fund for guest investor program is composed of
- Minimum Subscription – €250,000 in real estate fund units (must be government approved fund)
- Administrative and government fees which can vary but may include approximately €65,000 for a family of four and
- Management fee of 2.5-4% annually. There may also be additional charges for legal, translation, and other professional services, as well as a separate residence permit application fee.
Management and Administrative fees
- Minimum Investment: €250,000 must be invested in a government-approved real estate fund within 93 days of application.
- Administrative Fees: A family of up to four (including spouse and minor children) can expect to pay around €65,000 in administrative fees (covers screening fee, lawyer fee, professional fee, agency fee, fund subscription)
- Additional Dependents: An extra €10,000 per person is charged for any additional dependents beyond the first four, and €15,000 per dependent over the age of 18.
- Subscription Fee: A subscription fee of €4,100–€5,000 is also required.
Additional Fees
- Management Fee: The fund will charge an annual management fee, typically between 2.5% and 4% of the investment.
- Residence Permit Application: A residence permit application fee of approximately €110 is required, with an additional ~€40 for the card issuance.
- Health Insurance: You will need to budget for health insurance, which costs about €500 per year.
- Legal and Other Services: You will be responsible for costs associated with legal, notarization, translation, and courier services, which are not always included in the main application fee.
Expected Returns
- 2% to 5% per year (not guaranteed)
- Tax on Yield: The income generated from the real estate fund is subject to a 15% personal income tax in Hungary