History of the Hungarian Residency Bond program

The Hungarian Residency Bond Program was very effective.

One of the options for securing residence in Hungary used to be the Hungarian Residency Bond Program. But what was this program and what did it entail? On this page, we will be providing you with a brief history of the process and its details.

As a member of the EU and the Schengen Area, Hungary is a great destination for expatriates and an ideal gateway to doing business in the European Union. The country is one of Europe’s leading destinations when it comes to European investments, which is why a lot of top multinational companies have a presence in Hungary. On top of its business attractiveness, Hungary also has wonderful public transport systems and infrastructure and a very business-friendly environment.

With an income tax rate that ranges between 10% and 19%, Hungary is one of the best destinations in Europe. Income tax here is always fixed at a flat 16%, one of the lowest rates in Europe. Hungary’s leading industries are the automotive, services and electronics sectors, making it more attractive to the baby-boomer generation than ever before.

Established in 2011, the Hungarian Residency Bond Program offered permanent residency for investors that were willing to buy into residency bonds. In exchange for a five-year financial commitment, participants of the program could secure lifetime residency in Hungary.

What were the benefits of the Hungarian Residency Bond Program?

Once you received your temporary residence card, you could apply for permanent residency within six months. The process of obtaining Hungarian Permanent Residency was quick and easy. Benefits of this program included:

• You had no residency obligation to complete the permanent residency process
• Once you were approved for permanent residency, you were granted Hungarian residency for life
• As a permanent resident of Hungary, you’d have access to all public services like healthcare and education
• You were allowed visa-free travel to the Schengen Area countries once you obtained Hungarian permanent residency

Who could apply for this program?

You could only apply for the Hungarian Residency Bond Program if you had a clear criminal record. Fortunately, the program didn’t have a net worth or management experience requirements. However, you should keep in mind that in rare cases, the Hungarian administrative offices might have required you to appear for an interview when applying for the program.

How the program worked

If you were hoping to apply for the Hungarian Residency Bond Program, you would have to buy investment bonds worth at least €300,000. Your investments then had a five-year maturity period, and there was also a one-time processing fee of €60,000. As soon as the bonds  matured, the capital was returned to the applicant without any accrued interest.

You used to be able to apply for permanent residency as soon as you paid your investment fees. Once approved, you would have been supplied with a temporary residency card that is valid for six months.

Want to learn more?

Although the Hungarian Residency Bond Program is not available anymore, we would still love to help you move to and live in Hungary. As a team of professional immigration lawyers, it is our mission and vision to assist our clients through every step of the program of applying for and obtaining Hungarian residency. Feel free to get in touch with the Hngary.com team today to learn more about our services and pricing options.