The Hungarian government has approved the first real estate investment fund under the relaunched Guest Investor Program (GIP), a major milestone since the program’s introduction in July 2024. The approved fund, the SPRINT Hungary Real Estate Development and Investment Fund, is now authorized to accept investments from foreign nationals seeking Hungarian residency. This development provides a clear pathway for individuals looking to benefit from Hungary’s revitalized “golden visa” scheme.

Key Investment Options

The GIP offers three distinct pathways for obtaining Hungarian residency:

1. Real Estate Fund Investment: A minimum investment of €250,000 in an approved real estate fund, such as the recently authorized SPRINT fund.
2. Residential Property Purchase: Acquisition of residential property valued at €500,000 or more (available only until January 1, 2025).
3. Higher Education Donation: A non-refundable €1 million donation to a higher education institution supporting scientific or artistic initiatives.

Residency Benefits

Investors who participate in the GIP gain significant privileges, including a ten-year residence permit that can be extended to their spouse and dependent children. This permit also grants visa-free travel within the Schengen Area for up to 90 days within any 180-day period, making it an attractive option for those seeking enhanced mobility across Europe.

Rigorous Fund Approval Process

To ensure the integrity of the program, all investment funds undergo stringent vetting by the Constitution Protection Office and must meet specific financial and operational criteria:

• Alternative investment fund managers must oversee assets worth at least €100 million (€500 million for funds without leverage) and commit to a minimum five-year investment period.
• Non-alternative fund managers qualify if their real estate fund portfolios exceed €600 million in value.

The government has signaled its commitment to maintaining high standards, making Hungary an appealing destination for discerning global investors.

Future Prospects

With four additional investment funds currently undergoing licensing reviews, further approvals are expected in early 2025. These new funds will expand the options available to foreign nationals and boost Hungary’s efforts to attract global investments.

A Gateway to Opportunity

The approval of the first GIP fund marks a significant step in Hungary’s efforts to attract foreign capital and foster economic growth. For prospective investors, the program offers a unique opportunity to secure long-term residency while contributing to the country’s development. Aspiring participants are encouraged to consult with authorized immigration consultants to navigate the process effectively.

This revitalized program reaffirms Hungary’s position as a top destination for investment and global mobility.