Enormous building land prices in Lower Austria: Where home is still affordable!

Enormous building land prices in Lower Austria: Where home is still affordable!

In Lower Austria, there is a remarkable difference in the prices for building land, which is strongly influenced by the current market. An analysis of the OGM shows that the square meter prices for building plots in this state fluctuate between 10 and over 2,000 euros. Especially in rural areas, purchasers can acquire a significant share of building land with an average annual salary, while in tourism regions such as Lech, Seefeld or Kitzbühel are even necessary up to 29 years of work to finance 500 square meters of building land, such as [noen.at] (https://www.noen.at/niederoesterreich/wirtschaft/enormes-preisfaelle-bauland-in-noe-wo-der-traum-igenheim-noch--est- iSt-477427462) reported.

Especially in the communities of Brunn am Mountains and Maria Enzersdorf, the prices with 794.5 euros or 867.2 euros per square meter are very high, which makes the acquisition of a 500 square meter property a significant financial burden. For example, citizens have to work there for up to 6.6 years in order to be able to afford a comparable property. In contrast, in places such as St. Martin, where the price is 12.6 euros per square meter, the prices are comparatively low, so that the acquisition can be realized with only 0.1 years of work (2 months).

prices in comparison

The following table illustrates the extreme price differences in selected communities in Lower Austria:

trends and challenges

The latest OGM analysis that uses anonymized income tax and building basic data from the past five years reflects the increasing desire for homes, which has been reinforced by the corona pandemic and the trend towards home office. In the first quarter of 2021, Austria recorded a record of building permits, which further underpinned the high demand for building ground. The urban areas around Vienna in particular are affected by rising prices, where an average annual salary in Mödling is only sufficient for about 80 square meters of building ground.

Real estate average prices in Austria also show that large regional price differences exist. While the average prices for building land in Lower Austria are around 82 euros per square meter, they are 379 euros in Vorarlberg and only 52 euros in Burgenland. statistik.at states that these prices can be used to calculate the real estate transfer tax, which is important for many people interested in buying.

Overall, the developments in Lower Austria show that the challenges in the acquisition of building land, especially in coveted locations, are enormous, while rural regions remain attractive, especially for those who want to leave the urban metropolitan due to them.