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Minister of Transport and Investment about the Wekerle Housing Construction Program

2026-09-18
The Tisza government has to face the housing crisis in Hungary. They see the management of this as expanding the supply of housing, and the Wekerle Housing Construction Program has been announced to achieve this. The Forbes Money podcast was hosted by Minister of Transport and Investment Dávid Vitézy, who was asked about the Wekerle program, who can build the planned apartments in Hungary, and what role NER construction companies can play in the reconstruction of the country.

Where will new apartments be built? When will they be ready to move into?

Regarding the question of whether there is a real need for a rapid housing construction programme in the light of the shrinking domestic demographic data, the Minister said that population decline is not uniform across the country. Rural settlements are becoming depopulated, while cities are becoming more and more crowded. Population is flowing towards larger cities, where there are more opportunities and a higher standard of living can be provided for families.

That is why the new housing stock to be built in the Wekerle Housing Construction Program must be concentrated in cities, including Budapest. The plan is to build on rust zones that are currently without function, even though they could be home to tens of thousands of families. EU funds must be used in such a way that construction must be carried out in those districts where the housing crisis is most pronounced. However, this takes time.

The launch of projects is a time-consuming process due to legal restrictions, procedures and bureaucracy. According to Dávid Vitézy, the Hungarian construction industry will flourish in addition to the EU-funded programmes, but this can be achieved in 2028 at the earliest. "I will be held accountable for this in two years' time," the Minister said.

He added that the Hungarian construction industry is currently in crisis. In his view, his predecessor was only concerned with stopping investments, and this led to the "Lázár nihil" we are now experiencing.

In connection with the question of when the affordable apartments to be built within the framework of the first Wekerle Housing Construction Program will be available for occupancy, the Minister asked for patience. In his opinion, we will definitely have to wait until the end of the term for these properties, although he emphasized that the protracted processes are not peculiar to Hungary. "This is a European problem. As the complexity of our lives increases, as more and more people want to have a say in what happens in their environment, as we strive for transparency more and more, these processes will also become longer."

 

As we have written, the Wekerle Program is targeting rust zones with adequate transport infrastructure. In this regard, Vitézy highlighted Rákosrendező (where, in his opinion, 10 thousand apartments can be built), Rákospalota, the area of the Kelenföld Railway Station and the planned area of the Student City.

In addition to the examples from the capital, the Minister highlighted that construction can also begin in large county centres.

 

 

We are not talking about the construction of a single residential building, but entire city districts – he highlighted in relation to the program.

 

Legislative interventions are also needed

The Orbán government did not think about rental housing, but Tisza sees them as essential for a healthy real estate market. He rejects the criticism that his government is anti-property, and emphasized that they are also planning to support the purchase of homes. First, however, the supply side must be stimulated.

The amendment of the Housing Act will be justified in order to make the rental housing sector sustainable. It is in the economic interest of the country that students and employees can find jobs in a city without being tied to a clod. This is what renting serves. Social mobility must be improved, as it will ultimately raise the standard of living of the population.

 

I'm not saying that there shouldn't be a program to encourage the purchase of homes. I'm saying that the solution for the part of society that is most in need of help and for those young people who are unable to get their first home can be not only a preferential loan, but also if there is a subsidized rental market – explained Dávid Vitézy.

To this end, the Minister spoke about tax policy measures. In his view, it is much more profitable for an institutional housing developer to sell the built property immediately than to rent out the apartments. The simple reason for this is that it would have to pay 27 percent tax on renting. According to the Minister, this makes dormitory and rental housing developments so uncompetitive that no one is thinking about them.

 

Source: Forbes 16 September 2026

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