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The government freezes rent increases this year.

2025-03-05

The government freezes rent increases this year.

The Austrian government has announced its first measures to address the rising rental prices. In its ministerial meeting, it decided not to increase rents this year, including legally mandated rents and social housing rents. Future measures to limit increases In 2026, the maximum increase will be set at only 1%. In 2027, the increase will not exceed 2%. Starting in 2028, a cap of 3% annual increase will be implemented for all rents, including new apartments.

The rental crisis continues. Statistics indicate a significant increase in rental prices over the past year in almost all areas of Austria. The largest increases were in Klagenfurt Land (19.1%) and the Alsergrund district in Vienna (18.6%). In central Vienna, the average monthly rent for an apartment of 100 square meters reached 2,310 euros. The government also plans to reform rental laws so that fixed-term rental contracts can only be signed for a period of no less than five years instead of the current three.

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