The most expensive month in letting is the one when nobody lives in the flat. No income, but the costs keep coming. A single empty month rarely feels like a big deal, but over the years it's one of the biggest hidden costs of renting out a flat.
How much does an empty month cost?
One lost month is more than 8% of your annual rent. On top of that come utilities and the building's common charges, which you pay yourself during that time.
An example: with monthly rent of HUF 240,000, your annual income is HUF 2,880,000. One empty month is a HUF 240,000 loss, plus common charges, standing fees and heating in winter. Two empty months already cost you a sixth of your annual income.
That's why a small discount on the rent often pays off better than waiting for weeks. If you let the flat for HUF 10,000 less, that's HUF 120,000 a year. If it gets you a tenant two weeks sooner, you've already come out ahead.
Start early
Two to three months before the contract ends, ask your tenant whether they're staying. That gives you time to advertise if they're not.
If the contract is open-ended, the notice period sets the frame. It's worth setting it at 30 days or more, so you have time to find a new tenant. If the tenant stays, discuss the rent too when you extend.
A realistic price
A price that's too high can cost you weeks of vacancy. Check Budapest rents and think about whether a rent increase is worth it.
If you get barely any applicants in a week, either the price or the listing isn't working. Don't wait a month to change it. The first week shows how interesting the flat is to the market.
Fast selection
A good listing and the same application documents requested from everyone up front save you days.
To speed up selection:
- Advertise before your current tenant moves out, and agree viewing times with them.
- Group viewings into one or two afternoons.
- Ask everyone for the same documents, so they're easy to compare.
- Decide quickly. Good applicants are looking at other flats too.
A planned handover
Schedule the cleaning and repairs after move-out in advance. After a quick handover with photos, the new tenant can move in sooner.
A well-scheduled tenant changeover:
- Move-out day: handover, meter readings, keys.
- Days two to three: cleaning, small repairs, painting if needed.
- Days four to five: the new tenant moves in.
For this, you need to book your tradespeople in advance. We wrote about this in our article on maintenance.
The full process is described in the steps of a tenant changeover.
Keep your good tenant
The surest way to prevent an empty month is to keep a good tenant. Tenants most often move out because:
- the rent rises faster than they're willing to accept,
- repairs are slow,
- the landlord is hard to reach.
Two of these are entirely in your hands. Fast repairs and fair communication are cheaper than a tenant changeover.
Seasonality
The Budapest rental market isn't even across the year. In autumn, before the university semester, lots of people are looking. In December and mid-summer, fewer. If you can, time your contract end dates so they don't fall in the quietest period.
If short-term letting is also an option, this comparison will help.
FAQ
Is it worth letting short-term during the empty period?
Rarely. Short-term letting has its own rules and costs, and it's not worth it for a month or two.
How much vacancy should I expect in a year?
With a well-organised changeover, as little as a few days. With the wrong price or late advertising, easily one or two months.
Should I lower the rent if no applicants come?
Check the listing first: photos, description, exact figures. If that's all fine and they still don't come, the price is the problem.
Rentkey
In the Occupancy view of Rentkey's Calendar, you can see per flat when each contract ends and where empty periods are coming up.
