In Budapest’s city centre, in the 6th district, short‑term flat rentals were banned on the basis of a local referendum held in September 2024. A special task force is now out hunting down illegal Airbnb properties – they are carrying bright stickers with them, and the fine can run to several thousand euros.

Budapest district banned Airbnbs forever

The district’s mayor, Tamás Soproni from the Momentum party, reported on his Facebook page that on Monday the district began tracking down those properties which continue to offer short‑term stays. To be clear, flats in the 6th district can still be rented out on a long‑term basis; it is only Airbnb‑style short‑term letting that is banned.

Budapest Airbnb ban
Photo: FB/Tamás Soproni

The ban came into force on 1 January, after residents of the district voted for it in autumn 2024. Owners had 14 months to prepare for the change. According to Soproni, accommodation services can still operate, but only in the form of hotels, guesthouses, or hostels. This naturally involves providing extra services, in contrast to the previous system of short‑term flat rentals.

Fine may reach thousands of euros

The mayor’s aim is to prevent the 6th district from becoming deserted. He has previously said that there are already buildings where only one or two residents remain, while every other flat is rented out short term, which makes life impossible for residents and destroys local communities.

At present, council staff are touring accommodation sites together with partner authorities, including officers from the National Tax and Customs Administration and the police, and are sticking the red notice seen below on those operating in breach of the rules. The slip reads “Prohibited activity”, under which the operator is warned that “official proceedings have been initiated due to short‑term flat rental.”

Budapest Airbnb ban
Photo: FB/Tamás Soproni

By the end of the process, the operator may face a fine of several thousand euros.

Hotels vs Airbnbs

The relevant local government decree was previously challenged by the Budapest Government Office, but during the proceedings the Curia ruled in favour of the district, clearing the way for the introduction of the ban.

airbnb budapest tax oversight couriers crypto traders
No more Airbnbs in Terézváros. Budapest next? Photo: depositphotos.com

In Budapest, on the basis of a government decision, the registration of new private accommodation providers is banned until 31 December 2026.

The restriction of Airbnb in Budapest has long been at the centre of political battles. Landlords argue that supporters of the restrictions are doing the hotel owners’ bidding and are damaging tourism, because visitors who cannot stay in an Airbnb will choose Prague or another destination instead of Budapest. Meanwhile, hotel owners complain that they are subject to many rules (and costs) that do not apply to private hosts, meaning they lose tourists. Residents’ concerns also feature in the debate, as Airbnbs can cause serious disturbance to local communities.