Babler announces large -scale tenant protection and price stop in Vienna!

Babler announces large -scale tenant protection and price stop in Vienna!

On July 22, 2025, residential minister Andreas Babler (SPÖ) in Vienna-Ottakring announced new measures to further expand tenant protection in Austria. As part of this announcement, Babler, together with Finance Minister Markus Marterbauer, presented the residential policy agenda, which includes measures to relieve increasing housing costs. The focus is particularly on a rental price stop, of which around 2.7 million people benefit. This stop affects the regulated housing market and is intended as the first step to cushion the increase in housing costs.

The current developments in the rental sector are urgently needed, since according to bmwkms.gv.at since 2010 has increased by over 70.3 %, with an increase of around 25 % in the past two years is. The planned tenancy law reform, which is planned for autumn 2025, is intended to create long -term improvements and limit rent increases in the regulated area to a maximum of 1 % (for 2026) and 2 % (for 2027).

Newening plans in tenancy law

A central element of the planned reform is the increase in the minimum limited limitation of rental contracts, which is to be set from currently three to five years. This measure aims to offer tenants more stability and planning security. A rental price brake for the unregulated housing market is also part of the reform plan, which, however, still needs to be worked out in detail.

The rental price stop applies to all relevant rental contracts, including community and cooperative apartments, and is intended to prevent rents from increasing in these areas by 3-4 % as originally planned. According to this regulation, rents should not be valorized until 2026 in order to reduce the pressure on the tenants. The SPÖ expects an average saving of 250 euros per year for an average family.

political reactions and outlook

The political parties are divided with regard to the planned measures. While the government factions, consisting of SPÖ, ÖVP and NEOS, signal their support, the Greens and the FPÖ express concerns about the inadequate measures for rental price brake. State Secretary Michaela Schmidt emphasized that the rents in the regulated area will be decoupled from the consumer price index in order to enable a fairer pricing. The goal is to find long -term solutions and to stabilize the rental market in Austria.

The persistently high inflation has further tightened the situation on the housing market. Measures on the government side, such as the introduction of a new value security clause for all apartments, are intended to help protect tenants from further extreme increases. On the initiative of the new triple coalition, the National Council decided on the now overdue relief measures, which could be significant financial relief for numerous households.

The implementation of the planned rent reform is currently being developed with the aim of putting the needs of the tenants in the foreground and at the same time to adequately design the conditions for investors. Despite the challenges that the rental market continues, the government shows with its measures that it is willing to actively act against increasing housing costs.