District XIII – Újlipótváros

Bauhaus riverside Pest, Budapest's family-and-expat favourite, pairing top long-let yields with low STR regulatory risk

Updated May 24, 202611 min read

About District XIII – Újlipótváros

Újlipótváros feels like a deliberate, planned counterpoint to the chaos of inner Pest. Built in a single burst between the wars, it is a coherent ensemble of Bauhaus and modernist apartment blocks arranged around tree-lined streets and the riverside Szent István Park, with Pozsonyi út as its café-and-bookshop spine. The atmosphere is genteel and community-oriented, intellectuals, young families and a long-established Jewish community give it a settled character, and a footbridge connects it straight to the green of Margaret Island. For investors it offers the most balanced proposition of the five districts. Yields rank among the city's highest, capital growth has been exceptional, and, crucially in 2026, demand rests on durable long-term tenants rather than tourists, insulating it from the STR bans rattling Districts VI and VII. Strong transport links (M3, tram 4/6) and a pipeline of new-build near WestEnd add depth and liquidity. It is the district to recommend to a buy-and-hold investor who wants growth and yield without betting on the future of Airbnb.

Location

District XIII – Újlipótváros in Budapest, Budapest, Hungary

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Figures are indicative and subject to change. Regulations, taxes and market conditions vary by jurisdiction. Do your own due diligence and seek independent legal and financial advice.

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