Austria’s rental market continues to heat up, especially in western cities. According to a new analysis by ImmoScout24, asking rents in provincial capitals have risen sharply in the first quarter of 2025, with Salzburg, Innsbruck and Linz seeing the steepest increases.
The study, based on 74,000 rental listings, shows that average gross rents in Tyrol, Salzburg and Vienna now exceed €20 per square metre.
And while new luxury builds may be bringing averages upwards, the data signals a continued squeeze for many renters.
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Salzburg sees Austria’s highest rent hike
Salzburg leads the way with a dramatic 17 percent increase in asking rents compared to 2024. Gross rents climbed from €19.10 to €22.28 per square metre, putting Salzburg ahead of many other cities traditionally known for high housing costs.
“The rental flats on offer are becoming visibly more expensive on average,” said Markus Dejmek, Head of ImmoScout24 Austria. “However, that doesn't mean everyone has to pay this price. High-end new-builds raise the average, but more affordable existing properties are still on the market.”
Innsbruck remains Austria’s most expensive city
Even with Salzburg’s sharp rise, Innsbruck continues to top the national price list.
The Tyrolean capital saw a 12 percent year-on-year jump, with asking rents reaching €24.75 per square metre. That’s more than €4 above Vienna’s average and confirms Innsbruck’s status as Austria’s priciest rental market.
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Linz matched Innsbruck’s rate of increase at 12 percent, but from a lower base. Rents there now average €15.81 per square metre — still significant for a city often viewed as a more affordable urban alternative.
Vienna, Bregenz and Eisenstadt follow with moderate increases
In Vienna, average asking rents rose by 9 percent to €20.42 per square metre. That makes the capital the third Austrian city where average gross rents now exceed the €20 threshold, behind Innsbruck and Salzburg.
Bregenz saw a similar 9 percent increase, now averaging €20.19 per square metre. In Eisenstadt, the year-on-year rise was slightly lower at 7 percent, with rents sitting at €14.41 — below western Austrian levels but still a notable jump for Burgenland.
The cities with the smallest increases were Graz and St. Pölten, both at 4 percent. Graz remains relatively affordable at €13.64 per square metre, while St. Pölten is Austria’s cheapest capital, averaging €12.90.
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Klagenfurt also remains on the more affordable end of the scale, despite a 6 percent rise that brought average rents to €15.00 per square metre.
What’s behind the rising prices?
According to ImmoScout24, the overall increase in advertised rents is driven in part by the entry of high-spec, new-build properties onto the market.
These more expensive listings skew the average upward, but they don’t necessarily reflect the full range of available housing.
The analysis looked at gross rents, which include running costs but exclude heating and electricity. The use of the median rather than the mean helps to filter out distortions caused by extremely high- or low-priced outliers.
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