The coalition government, comprising the Austrian’s People's Party (ÖVP) and the Greens, has offered a 3-year cap on rent to become effective in 2024. The move is considered to be a way to help tenants overcome the current sizable inflation. The rental cap applies to housing constructed before 1953, alongside subsidised and social accounts.
According to the plan, for the next 3 years (2024-2026), any rent increases are to be restricted to 5% per year. Afterwards, a one-time raise will be allowed, amounting to the average value of the inflation of the last 3 years. This will prevent extreme rental surges.
Rents will be increased every 2 years until 2025. After that, the change will take place every year.
