Rent in Austria: Record high of 10 euros per square meter!

Rent in Austria: Record high of 10 euros per square meter!

The housing market in Austria is currently showing worrying developments: In the first quarter of 2025, housing costs rose by 3.1 percent, and the average rent including operating costs skipped the 10-euro brand per square meter for the first time. This price adjustment means that many households have to be much more involved in their living situation, which increases the pressure on the budgetary resources. According to the Krone , the average monthly rent for main rent now reaches 663.8 euros, while the net rental without operating costs is 7.5 euros per square meter.

The development of rents is alarming and shows itself in the new figures: the increase in rents compared to the previous quarter is 1.0 percent. On average, tenants in Austria now have to plan 502.0 euros for the net rent and an additional 165.2 euros for operating costs per month. Despite the high prices, around 9 percent of all main rental objects - over 160,000 apartments - are smaller than 40 square meters, which costs an average of EUR 13.0 per square meter.

The composition of housing costs

The so -called housing costs not only include the rent payments, but also a variety of other financial aspects. This includes operating costs, energy costs and maintenance costs, all of which contribute to the running costs of a household. According to Statistics Austria each household bears a significant share of its income at these costs. The data is based on comprehensive surveys that continuously record the monthly rents and operating costs.

Particularly high rents are observed for apartments between 40 and 65 square meters (10.4 euros per square meter) and for larger units (65 to 100 square meters: around 9.2 euros per square meter). Apartments over 100 square meters have a rent of almost 9.0 euros per square meter. Almost half of the main rental apartments in Austria are smaller than 65 square meters, which also reinforces the challenges for tenants.

market developments and outlook

according to Infina The rental prices have increased significantly since 2006. The average square meter price without operating costs rose from EUR 3.78 in 2006 to 7.40 euros in 2024, which is a dramatic increase of 96 percent. Cheap rental options in municipal buildings or cooperative apartments are not included here. The rental prices have risen sharply in Tyrol and the bacon belts of metropolitan areas, while the prices are stagnating in the high price segment.

In addition, it should be noted that on April 1, 2023, the guideline rents for new contracts were increased by 8.6 percent, which concerns about 750,000 tenants. The different guidelines per state remain unchanged by March 31, 2028. With the high demand for residential properties and rising raw material prices, the price situation remains tense. Nevertheless, there is a forecast that a plateau formation of rental prices could occur at short notice. In top layers, however, it is still increasing with rising rents, which is an additional challenge for the tenants in these areas.