This report was published as part of the JustReno project, which strengthens the capacity of policymakers and municipalities in Hungary, Poland, and Romania to implement EU building renovation policies. It helps to identify worst-performing buildings, supports financial planning for energy renovations, and promotes cooperation between local and national governance levels. Find out more about JustReno.

Hungary’s residential building stock stands at the crossroads of climate ambition and social equity. This report provides a comprehensive overview of the country’s building stock, uncovering how ageing, inefficient homes and fragmented data systems are holding back progress on energy efficiency and fair renovation.

With nearly two-thirds of the building stock built before 1980 and heating accounting for three-quarters of household energy use, Hungary faces some of the highest energy needs in Europe. However, deep renovation rates remain critically low. The assessment found major data and governance gaps, including the absence of an integrated building database and limited monitoring of renovation activity. These issues remain key barriers to the effective implementation of the revised Energy Performance of Buildings Directive (EPBD).

The report also highlights social disparities in housing: despite high homeownership rates, Hungary is confronted with growing housing unaffordability, and widespread energy poverty affecting vulnerable groups such as the elderly, low-income rural households, single parents and Roma communities the most.

To achieve Hungary’s renovation and climate targets while ensuring social justice, the report identifies key priorities:

• Establish an integrated national building database linking energy, housing and socio-economic data.
• Develop a comprehensive, publicly accessible renovation monitoring system, tracking rate, depth and impacts.
• Align building renovation policies with housing affordability and social support measures to avoid reinforcing inequalities.
• Prioritise low-income, rural households in inefficient single-family homes as the key target group for minimum energy performance standards and subsidy schemes.
• Strengthen one-stop-shop networks to provide households with guidance, information and technical assistance.

Hungary’s building stock is inefficient, ageing and has a complex governance structure; to modernise the sector and ensure its role as a driver of decarbonisation and affordability, Hungary must focus on systemic reform, targeted investment and coordinated policies.  

_{This project is part of the European Climate Initiative (EUKI) of the German Federal Ministry for the Environment, Climate Action, Nature Conservation and Nuclear Safety (BMUKN).}