In post-socialist cities of Central and Eastern Europe, large housing estates became dominant features of postwar housing development. Unlike in Western Europe, these neighbourhoods were not developed for immigrants and the poorest segment of society. Instead, they provided homes for lower middle class and working class families with stable incomes. After the change of regime, however, these neighbourhoods experienced different development trajectories not only on the international but also on national and city levels. With regard to contemporary developments of housing estates, Budapest provides a typical post-socialist case where housing estates are continuously re-evaluated by the people and the market, while socialist legacies leave their imprints on the actual socioeconomic developments. This chapter focuses on the development of large housing estates in Budapest and in Hungary before and after the transition. Today, one-fifth of the Hungarian population and one-third of Budapest's residents live in housing estate neighbourhoods. The main objectives of the study are to display the spatial distribution of different generations of housing estates at the national and city level with special emphasis on their physical and social characteristics. The chapter also sheds light on the consequences of the post-socialist transition on the recent developments of housing estates in Budapest. After almost three decades of transition, debates about housing estates and their future possibilities are still relevant in Hungary and Budapest, because some of these neighbourhoods are experiencing a renaissance in the housing market, attracting younger and better off strata, whereas others show symptoms of socioeconomic decline.