Performance of real estate brokerage, real estate asset appraisal and intermediary activities

Application for certificate of good conduct

The certificate of good conduct can be applied before creation and maintenance of a legal relationship (e.g. employment relationship)or in order to verify that the applicant complies with requirements defined by an act. 

 

Please ask your employer whether you need a certificate of good conduct or not, and in case the answer is yes, what kind of certificate do they need.

 

The certificate of good conduct can verify that the individual

  • has not got any record in the register of convicted persons, and/or
  • is not under the effect of deprivation of civil rights, and/or 
  • is not prohibited to exercise a profession or an activity, or
  • complies with requirements defined by a Hungarian act.

 

The application can be submitted 

  • by mail on an official application form,
  • by phone via Government Customer Line 1818,
  • electronically using the Client Gate at the Hungarian eGovernment portal, where Client Gate identification is required, 
  • personally at the Customer Service of the Criminal Records Authority in Budapest, in case of priority service, 
  • personally at Hungarian Embassies or Consulates abroad.

 

The certificate of good conduct is free of charge 4 times a year, but there is a consular fee, if the application is submitted at a Hungarian Embassy or Consulate abroad.

 

The certificate of good conduct is delivered

  • by mail as recorded delivery (in case the application was submitted by mail, by phone or via Client Gate) 
  • personally at the Personal Customer Service Centre in case of priority service,
  • at the diplomatic or consular representation of Hungary.

 

Length of the process: 8 days (5 days in case of applying in person)

Application for joint tax certificate

For the notification of activity, business entities are obliged to attach a certificate of public dues justifying that they have no dues, in case they previously did not register into the database of taxpayers who fulfill all obligations concerning the payment of public dues . The negative joint tax certificate (11UK12 used in the General Framework Program) concompanys that the company has neither tax nor customs dues in the registration of NAV on the date of issue of the cerificate or on the day asked by the taxpayer in his/her application.

 

Forms and supporting documentation 

  1. Application for joint tax certificate
  2. Certificate for payment of procedure fees

Application for joint tax certificate can be submitted in electronic way.  More information

In case of electronic submission, the application can be attached with no more than 5-5 scanned document of tif and/or pdf format. Fees of procedure can also be paid in electornic way.

Client gate identification is a required.  

Notification of conversion of premises

The place of service provision can be established in a house that was previously used for residential purposes. The conversion of premises must be notified together with the start-up of the activity.

Forms and supporting documentation

  1. Application form
  2.  
  • 2.1.) Document certifying the entitlement of the applicant to the conversion of premises (title deed of the property, lease contract)
  • 2.2.) Certificate for payment of duty (duty stamp)

In building notification procedures competent authorities are notaries undertaking building authority proceedings in district and local governments. On the PSC contacts of building authorities can be found through the function of office-search. Detailed information on the procedure (steps to be taken to submit the application, forms, deadlines, fees and contacts) is available on the website of the competent authorities as well as the application form (its content is regulated by law). Forms are generally can be filled online and it can be printed. Regarding the format it is in pdf, xls or doc. 

The possibility to electronic administration is excluded by law. Furthermore, competent authorities require duty stamp, which can not be bought online. Supporting documents and declarations must be submitted in original.

Recognition procedure

In the process of applying for the authorisation, the recognition of the applicant’s degree in Hungary taken at a foreign university must be proved .

 

Forms and supporting documentation

  1. Application for recognition of document for certfying foreign qualification, which falling within the European community law
  2. Copy of notarial document certifying citizenship
  3. Certified translation of document verifying qualification
  4. Certified copy of document verifying the duration of studies and requirements of the university (for example: registration book)
  5. Certified translation of document verifying the duration of studies and requirements of the university  (for example: registration book)
  6. Curriculum vitae
  7. Certificate for payment of procedural duty

The procedure just in part can be made electronically. Although, electronic forms already exist, submitting authentic documents electronically is not possible.

The duty fee is 73 500 HUF

Lenght of process: 90 days

More information and contact

Performance of real estate brokerage, real estate asset appraisal and intermediary activities are partly licensed activities and partly subject to notification in Hungary. It may be performed both by private individuals and economic associations, however, economic associations are allowed to perform this activity only if the given association employs a person who meets the qualification requirements prescribed by law. If a service provider domiciled in another EEA member state decides to establish him/herself in Hungary, he/she may start and continue providing service subject to the same conditions as service providers domiciled in Hungary, and the requirements applying to service providers domiciled in Hungary must be applied to them.

As a commercial activity, real estate brokerage, real estate asset appraisal and intermediary activities may be performed both by economic associations and private individuals in Hungary.

Those persons may perform commercial real estate brokerage or commercial real estate asset appraisal and intermediary activities who: possess real estate broker or real estate asset appraiser and intermediary special qualification, and are taxpayers with no outstanding debts to public authorities.

An economic association may perform commercial real estate brokerage or commercial real estate asset appraisal and intermediary activity in case it has at least one personally involved member or employee - in the case of self employed individuals, this business may be carried out if the sole trader does not perform the activity himself/herself, but has at least one employee - who holds the required license, furthermore, has paid all public debts determined in a legally binding manner that had been incurred in respect of such activity.

The following persons shall not receive a licence for real estate brokerage or real estate asset appraisal and intermediary activity:

  1. those with a criminal record,
  2. those who have been banned from the performance of such activity by a legally binding court ruling,
  3. those who may not be officers or directors pursuant to the law on economic associations.

The supervisory authority of the real estate enterprise decides on the authorization of the commercial real estate brokerage or real estate asset appraisal and intermediary activity, which is the clerk of the city having jurisdiction according to the county seat of the residence or registered office of the service provider, in Pest county the clerk of the county local government and in Budapest the chief clerk of the Municipality of Budapest (Office Search).

It may be done personally, in writing, and if the real estate supervisory authority provides the required facilities, electronically.

The competent authority will decide on issuing the licence within 30 days.

The general duty of public administration authority procedure: HUF 3,000, which must be paid in duty stamp.

Documents necessary for processing (for private individuals):

  1. a copy of the certificate proving the specific qualification
  2. certificate of good conduct
  3. evidence of payment of the procedural duty

Documents necessary for processing (for enterprises):

  1. A public instrument issued not earlier than 30 days, which proves that the notifier is a taxpayer with no outstanding public debt, unless the notifier is contained in the database of taxpayers with no outstanding public debt;
  2. in the case of economic associations, the certificate of incorporation issued not earlier than 3 months, in the case of sole traders a copy of the certificate of registration in the official database of sole traders;
  3. evidence of payment of the procedural duty

Notification of the intention to perform commercial real estate brokerage or real estate asset appraisal and intermediary activity in the framework of cross-border service

If, as part of cross-border service provision subject to the obligation of notification, the service provider does not perform the activity himself/herself in practice, then the professional title intended to be used when providing service in Hungary must be notified to the authorities concerning the person actually providing the service. Furthermore, the documents to be enclosed with the notification must also be submitted in respect of the person actually performing the service activity. The notification of the service provider is valid for one year.

The intention of performance of commercial real estate brokerage or real estate asset appraisal and intermediary activity must be notified to the supervisory authority of the real estate enterprise, which is the clerk of the city having jurisdiction according to the county seat of the residence or registered office of the service provider, in Pest county the clerk of the county local government and in Budapest the chief clerk of the Municipality of Budapest (Office Search).

It may be done personally, in writing, and if the real estate supervisory authority provides the required facilities, electronically.

The general duty of public administration authority procedure: HUF 2,200, which must be paid in duty stamp.

There is no standard form assigned to the matter. The following documents are necessary for processing:

  1. a copy of the public instrument verifying citizenship
  2. an authentic copy and translation of a document that proves that the service provider is authorized to practice the given profession, as an authorized party domiciled in a member state
  3. authentic copies and authentic translated copies of the deeds certifying the successful completion of the training of the service provider in the member state where the training was provided
  4. in the event the service provider practised the given profession in the state where the service provider is domiciled, the authentic copy and authentic translation of the deed certifying that the service provider had practised the given profession in the state where it is domiciled for at least two years during a period of ten years prior to the submission of the notification
  5. evidence of payment of the procedural duty

 

Cross-border service provision

If you wish to launch this service in the form of cross-border service provision, please click here to read the general conditions of cross-border service provision in Hungary.

 

Legislative background:

  1. Act CXL of 2004 on the general rules of the procedures and services of administrative authorities
  2. Act LXXVIII of 1993 on the specific rules of the lease of apartments and rooms and the disposal thereof
  3. Act XCIII of 1990 on duties
  4. ÖM Decree 31/2009. (XI. 18.) on the conditions of the performance of commercial real estate brokerage and commercial real estate asset appraisal and intermediary activity, the detailed rules of the procedure
  5. Government Decree 217/2009. (X. 2.) on the designation of supervisory authorities of real estate enterprises