Property in Austria: Building boom continues and businesses head back to Vienna offices

Vienna, Austria where workers are returning to offices.
Vienna, Austria where workers are returning to offices. Photo by Dimitry Anikin on Unsplash
Stay up-to-date on the latest Austrian property news with The Local's weekly roundup.

Thinking of buying a house, moving house or investing? Or are you just curious about the property market in Austria? 

Here’s what you need to know.

Optimism in the office rental market in Vienna

In the third quarter of this year (July to September), the office rental market in Vienna was up by 92 percent when compared to the second quarter of 2021.

This is encouraging for the property market in the capital, even though the figures are still 67 percent less than during the same period in 2020.

EHL Immobilien told Der Standard “optimism is back” and said many companies were searching for office space again. 

Real estate investment in Austria continues to rise

Financial figures from the third quarter show real estate investments in Austria are more than in 2020. 

Between January and September 2021, around €2.6 billion was invested into real estate in the country, up seven percent from 2020.

However, in the third quarter of this year around €830 million was invested, approximately 19 percent more than in the same period in 2020.

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CBRE Austria believes the figure could be even higher if there were more suitable properties available for investment and experts are predicting a strong fourth quarter for real estate investment in Austria.

Austria’s building boom continues

Austria’s boom in construction and home ownership is showing no sign of slowing down any time soon due to ongoing high demand.

The Wiener Zeitung reports that there are currently 7.0 active building permits for every 1,000 residents in Austria. In Germany, the figure is 4.4.

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However, there are regional differences with 9.1 building permits per 1,000 residents in Vienna, followed by 8.6 in Vorarlberg and 8.4 in Styria.

Housing stock in Austria is also considered among the best in the world due to the high standard of furnishings and the size of apartments, both of which are above the international average.

Houses of the Year 2021

The Houses of the Year competition recently took place and three Austrian homes were recognised in the shortlist.

Caramel Architects in Vienna was praised for a lightweight wood construction house in Linz with a green roof (complete with roof terrace), large windows, spacious interior and a pool.

A renovation project in Neuaigen, 40km from Vienna, by architect Maximilian Eisenköck was highlighted for the floating pavilion feature and low-cost construction methods.

Finally, a 1,700 sqm house in a Viennese vineyard by Dietrich Untertrifaller Architekten was recognised for the complex design and graphite-gray steel structure that supports the property.

The first prize went to a city apartment building in Zurich, Switzerland.

The competition is run by publisher Callwey-Verlag in cooperation with the German Architecture Museum and has been running for 11 years. 

Images of the Austrian homes can be found at Der Standard.

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