Rácz was born into a Roma family; his father played the viola in a local orchestra in Jászapáti, while his mother was a vendor in the local market. He began cimbalom lessons with his father at age 3, and by age 10 he joined the local Hungarian folk music orchestra. Soon after he relocated to Budapest to continue his education on the instrument; apparently much of this early education was done through observation of professional players, since he had no income to pay for lessons.
