Hungary's New Golden Visa: 5 Surprising Features You Need to Know

Applying for a residency-by-investment or "Golden Visa" program often involves high stakes and significant uncertainty. In many countries, investors must commit hundreds of thousands of euros to a property or fund before their application is even reviewed, let alone approved. This creates a period of financial risk where a negative decision could leave an applicant with a major investment but no residency rights.

Hungary's new Golden Visa program is a noteworthy entry in the European landscape, featuring several surprisingly investor-friendly features that directly address these common risks. Like other EU residency programs, it grants holders the right to travel within the Schengen Area for up to 90 days in any 180-day period. However, its core structure contains several unique advantages. Based on its official regulations, this article highlights the five most impactful and counter-intuitive features of the Hungarian program.

Budapest from above with five stars symbolizing the five unbeatable advantages of the Hungarian Golden Visa.

1. The Game-Changer: Get Pre-Approval Before You Invest

Unlike most of its peers, Hungary allows investors to secure a preliminary decision on their application before committing any capital. This unique, fast-track structure (typically 60-90 days) fundamentally changes the risk profile for the applicant.

The process has two qualifying investment paths: a minimum €250,000 investment in an approved real estate fund or a €1,000,000 non-refundable donation to a designated Hungarian university. The latter option is a key route for applicants who may be restricted from fund investments, such as U.S. citizens.

Regardless of the path chosen, the application follows a security-focused sequence:

1. First, the investor applies for and receives an "investor visa." This serves as the pre-approval, confirming eligibility before any funds are moved. (Notably, citizens from visa-free countries like the US, UK, Canada, and Australia can skip this step and proceed directly to the investment phase).

2. Second, only after receiving this visa (or being cleared to skip it), the investor makes the qualifying investment or donation.

3. Third, the investor and their eligible family members receive their final 10-year residence permits.

This structure eliminates the legal and financial uncertainty that plagues other programs, preventing the scenario where an applicant is left holding a significant investment without the promised residency rights.

2. Lock in a Decade of Residency Immediately

The Hungarian Golden Visa provides a 10-year residence permit from day one. This is a significant departure from the common practice in many other European countries, where initial permits are often valid for only one to five years and require expensive, time-consuming, and legally uncertain renewal processes.

Hungary’s 10-year permit provides immediate long-term security, shielding investors from future legislative shifts for a full decade. However, it is crucial to understand that for the permit to be renewed for a second 10-year term, the regulations require the investor to have an active qualifying investment at the time of renewal. This makes the program a long-term but conditional commitment for those seeking more than 10 years of residency.

3. Sell Your Investment After 5 Years, Keep Your Permit for 10

The program requires the €250,000 fund investment to be held for a minimum of five years. In a key feature that enhances financial flexibility, the investor can sell the investment after this five-year holding period, and their 10-year Golden Visa remains valid for the full term.

This decouples the long-term residency right from the qualifying investment after the initial mandatory period. In many other countries, the visa automatically expires when the investment is sold. While this feature offers flexibility, investors must perform careful due diligence on their chosen fund manager, as their capital will be locked in for at least five years. As of early 2025, options include managers with long track records and newer firms, highlighting the need for strategic selection. Furthermore, investors aiming to renew their permit after 10 years must remember to reinvest before their initial term expires.

4. An Insurance Policy with No Strings Attached

There is no minimum physical stay requirement in Hungary to obtain or maintain the Golden Visa. Holders are not obligated to spend any time in the country, and there is no risk of the permit expiring due to absence.

This positions the permit as a pure 'Plan B' asset, ideal for investors seeking jurisdictional diversification without immediate relocation plans. It transforms the permit from a residency obligation into a powerful insurance policy, granting the holder and their family the unrestricted right to move to Hungary without the obligation to do so, contrasting sharply with programs that enforce physical presence.

5. Secure Your Children's Future with Long-Term Rights

The program offers exceptional long-term stability for families. If a child is under 18 when the residence permit is issued, their residency is valid for the full 10 years. Crucially, the permit does not expire once the child turns 18, 21, or 24, and no proof of continued financial dependency is required after the permit has been issued.

This provides far greater certainty than programs where a child's status expires upon reaching the age of majority. However, an expert analysis must note a critical uncertainty: Hungarian law is not yet clear on whether renewal will be granted for children who have already reached legal age when the initial 10-year permit expires. This is a key long-term planning consideration for families with teenage children.

Conclusion

The Hungarian Golden Visa program appears intentionally designed with investor security, long-term stability, and flexibility at its core. By allowing approval before investment, granting a 10-year permit upfront, and decoupling residency from the investment after five years, it addresses some of the most significant pain points found in other global programs while providing clear conditions for long-term renewal.

With features that directly address the biggest risks in investment migration, could Hungary's model set a new, more investor-friendly standard for Golden Visas across Europe.