Rental prices under pressure: SPÖ plans comprehensive relief for households!

Rental prices under pressure: SPÖ plans comprehensive relief for households!

Wien, Österreich - On June 2, 2025, SPÖ boss Andreas Babler announced comprehensive relief measures in the housing area. These initiatives are the result of worrying developments on the Austrian housing market, where rental prices have increased by over 70 percent since 2010, while they have only increased by 23.5 percent in the euro zone. In the past two years in particular, tenants have had to cope with an increase of up to 25 percent. According to Krone, 2.7 million people in Austria currently benefit from the already valid rental price brake, with 1.25 million people affected, especially in Vienna.

BABER emphasized that the rental price brake avoided rents by 3.16 percent. As a result, tenants could save around 138 million euros in 2025. Especially for tenants of old apartments with a monthly rent of 700 euros, the savings could add up to almost 1000 euros by 2027. In the long term, a new "value adjustment index" for people in apartments on the "free market" will be introduced, while the existing rent increases are to be regulated.

planned measures for rent reform

The planned changes in tenancy law are not only aimed at the tenants, but should also offer the landlords incentives to invest in the housing stocks. An extension of the rental price brake in particularly tense apartment markets is considered by four years. The government also plans to implement a fine for violations of the rental price brake. These measures should help to strengthen tenant protection and at the same time create incentives for investments, such as [anwalt.de] (https://www.anwalt.de/rechtstipps/mietpreisbremse-indexmiet-airbnb-ber-der-neu-coalitions contract-2025-fuer- und-renter-used-242669.html) reported.

Another essential point is the reform of the modernization levy. This is reformed to promote renovation investments and to secure the affordability of rents. With the increase in the value limit for small moderizations by the end of 2025 to 20,000 euros, additional incentives for landlords will be created. The regulation of index rents and short -term rentals should also be gripped more sharply to prevent abuse.

additional protective measures

A comprehensive action plan against homelessness is also implemented. This includes an extended protective spell to prevent decent terminations in additional payments. Tenants also benefit from more transparency regarding the additional costs in order to reduce disputes and increase planning security. According to parliament.gv.at, rents will be frozen in Altbau, municipal and cooperative apartments from next year, whereby the adaptation will only be made later.

In order to cover future rent increases, it is planned to limit them to 3 percent plus half inflation rate. Despite the recommendations of the Greens and FPÖ, which require a rental price by the end of 2026, it was made clear that new buildings will not be included in the rental price brake. These reforms are an attempt to find a balance between tenant protection and market freedom that could lead to an improvement in the living space situation in Austria in the coming years.