"How to Qualify for CSOK Plus or a Mortgage with GYED, GYOD, or GYES Income in Budapest, Hungary?"

Published: December 07 2023

Wondering how to qualify for CSOK Plus or a mortgage in Budapest, Hungary if you have income from GYED, GYOD, or GYES? In this article, we'll explore the key details and considerations when applying for a mortgage or CSOK Plus with these types of income.

As of December 1, 2023, the minimum wage in Hungary has increased by 15% to a net amount of 177,422 forints, while the guaranteed minimum wage has increased by 10% to a net amount of 216,790 forints. The maximum amount for GYED is now gross 373,520 forints in 2024. The GYOD will also be equal to the gross minimum wage amount, which will be 266,800 forints per month in the future. The GYES allowance will remain unchanged at 28,500 forints in 2024.

Different banks have varying criteria when considering GYED, GYOD, or GYES income for a mortgage or CSOK Plus application. Some banks may accept GYED as additional income up to its maximum amount, but require sufficient primary income alongside it. There may be certain banks that consider GYED as primary income, but only if there is at least 6 months remaining. In some cases, if there is less than 12 months remaining on GYED, it may only be accepted as additional income up to the amount of GYES. Other banks may simply consider a fixed income of 66,000 forints for CSED, GYED, and GYES, which can negatively impact the chances of getting approved for a mortgage, especially for higher earning parents. Additionally, some banks may impose limitations on the total income derived from family benefits, with a maximum limit of 300,000 forints, or may restrict the proportion of supplementary incomes within the total income, such as limiting it to 30% of the total.

It's important to consider the specific policies and criteria of different banks when applying for a mortgage or CSOK Plus with GYED, GYOD, or GYES income. Each bank may have different requirements and limitations in the evaluation process. Consulting with a financial expert or mortgage advisor can help navigate through these considerations and increase the chances of a successful application.

What are GYED, GYOD, and GYES? GYED stands for "gyermekgondozási díj" which is the maternity allowance provided to mothers from the birth of their child until they reach 24 weeks old. GYOD stands for "gyermekgondozási díj" which is the childcare allowance provided to parents until their child reaches 2 years old. GYES stands for "gyermekgondozási segély" which is the childcare assistance provided to parents until their child reaches 3 years old or until they start school, whichever comes first.

What is the maximum amount for GYES in Hungary? The maximum amount for GYES in Hungary will remain unchanged at 28,500 HUF in 2024.

How much is the GYED allowance in Hungary in 2024? The GYED allowance in Hungary can be a maximum of 70% of twice the minimum wage. With the recent increase in the minimum wage, the maximum GYED amount in 2024 will be gross 373,520 HUF.

Can GYED or GYES be considered as income when applying for a mortgage or CSOK Plusz in Hungary? Different banks have different policies regarding the acceptance of GYED or GYES as income for mortgage or CSOK Plusz applications. While some banks consider GYED as supplementary income up to its maximum amount, others may only consider it as primary income if there is at least 6 months remaining. The GYES amount may be taken into account with an additional 28,500 HUF. The expiration of GYED or GYES may also affect the bank's decision, with some banks only accepting it as supplementary income if there are less than 12 months left. Each bank may also have limitations on the total income from family allowances and may set a maximum percentage for supplementary income within the total income.

Is there a minimum income requirement for applying for a mortgage in Hungary? Yes, there is a minimum income requirement for applying for a mortgage in Hungary. The specific amount may vary depending on the bank and individual circumstances.

What is CSOK Plusz in Hungary? CSOK Plusz is a subsidized housing loan program in Hungary. It provides financial assistance to families who wish to purchase or build a new home. It offers favorable loan terms and conditions to eligible applicants.

How do GYED, GYOD, and GYES affect the eligibility for CSOK Plusz in Hungary? The impact of GYED, GYOD, and GYES on the eligibility for CSOK Plusz may vary depending on the bank and their specific policies. It is recommended to consider the acceptance of these allowances as income when choosing a bank for CSOK Plusz application.