CSOK

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Family Home Creation Allowance (CSOK)

The Family Home Creation Allowance (CSOK) is a Hungarian government housing support program designed to help families purchase, build, or expand their homes.

The main goal of the program is to encourage families to have children and support home ownership. 🏠

The Concept of CSOK

CSOK has existed in two main forms.

1. Non-repayable Government Grant

This is a state subsidy that does not have to be repaid, provided the required conditions are met (for example, having or committing to having children).

Examples of earlier CSOK grant amounts for new homes

Number of Children Grant Amount
1 child approx. 600,000 HUF
2 children approx. 2,600,000 HUF
3 or more children up to 10,000,000 HUF

2. Preferential Mortgage Linked to CSOK

In addition to the grant, families could also apply for a government-subsidized mortgage loan.

Examples:

Number of Children Preferential Loan
2 children approx. 10 million HUF
3 children up to 15 million HUF

The interest rate was maximum 3%.

What Can CSOK Be Used For?

purchasing a newly built apartment or house
purchasing a used home (previously)
building a new house
expanding an existing home

Important Conditions

Applicants typically needed to meet the following criteria:

having children or committing to having children
registered Hungarian social security status (TB)
clean criminal record
the property must be used as the family's residence for a certain period

Important Changes Since 2024

The classic CSOK program was largely phased out in 2024, and new forms of support were introduced:

CSOK Plus – primarily a subsidized mortgage program
Rural CSOK (Falusi CSOK) – still available in smaller settlements

CSOK Plus – The Current Main Program

From 2024 onward, CSOK Plus replaced most of the original CSOK program.

Instead of a direct grant, it provides a very favorable government-subsidized loan, combined with loan forgiveness when children are born.

Maximum Loan Amount

Number of Children Maximum Loan
1 child 15 million HUF
2 children 30 million HUF
3 children 50 million HUF

Interest Rate

maximum 3% fixed interest rate
loan term up to 25 years

Compared to market mortgages, this is significantly cheaper.

Loan Forgiveness

If children are born during the loan period, part of the loan can be forgiven.

Child Loan Forgiveness
1st child no forgiveness
2nd child 10 million HUF
3rd child additional 10 million HUF

In total, up to 20 million HUF of debt may be cancelled by the state.

Who Can Apply?

Main requirements:

married couples
the wife must be under 41 years old
at least 2 years of social security contribution history (TB)
clean criminal record
no outstanding tax debt

What Can CSOK Plus Be Used For?

buying an apartment
buying a house
building a new house

Both new and used properties are eligible.

Rural CSOK (Falusi CSOK)

The Rural CSOK program remained available for smaller settlements.

It is accessible in approximately 2,600 Hungarian villages and towns.

Grant Amounts

Number of Children Grant Amount
1 child 1 million HUF
2 children 4 million HUF
3 children 15 million HUF

This support is non-repayable.

What It Can Be Used For

Under Rural CSOK the support can be used for:

purchasing a house and renovating it
expanding an existing home
modernization or renovation

Important rule:

At least half of the subsidy must be spent on renovation.

Property Transfer Tax Exemption

If CSOK or CSOK Plus is used:

👉 the 4% property transfer tax does not have to be paid

Example:

House price: 50 million HUF

Normal transfer tax: 2 million HUF

With CSOK: 0 HUF

VAT Refund for Home Construction

If you build a new house:

Up to 5 million HUF VAT can be reclaimed.

This is an additional government support.

Total Potential Support

Example for a family with two children

Support Type Amount
CSOK Plus loan 30 million HUF
loan forgiveness 10 million HUF
tax exemption approx. 2 million HUF

Total financial advantage:
➡ approximately 42 million HUF