Vienna is an autonomous federal province and is the capital of Austria. The city houses numerous historical landmarks and cultural attractions, and due to its strong economic performance and high demand from tourists and expats, buying property in Vienna can be a lucrative investment option.

The average rental price of a property in Vienna is EUR 886 per month which is the highest indicator in Austria. Below we present the key features and advantages of investing in Viennese real estate

Defining Features of Vienna

Is the capital of Austria

As we have already mentioned, Vienna is the capital of Austria and serves as an autonomous federal province. The city is located in the eastern part of the country and borders the federal states of Lower Austria. Vienna is the largest and most densely populated city in the country and has a strong economic environment, a distinctive culture and an abundance of historic buildings

Innere Stadt

The capital's first district, the Inner Stadt, is a UNESCO World Heritage site. The Austrian capital houses offices of many major international organizations, including the UN, UNIDO, IAEA and OPEC, among others.

A popular place among tourists

The Austrian capital is a popular tourist destination with over 7 million people a year visiting the city, thanks to its rich history, architecture and abundance of museum complexes.

Center for Art and Music

The city is considered a world center for art and music and has been home to cultural figures such as Mozart, Schubert, Beethoven, Strauss and many others. Vienna is one of the oldest cities in the world which was first documented back in the first century AD. By the end of the 13th century, it had become the main residence of the Habsburg dynasty. From then on, Vienna has been the cultural, political and economic center of Europe.

N.B. Vienna has over 400 museums, as well as Europe's largest museum quarter; the MuseumsQuartier Wien.

Attractions

Vienna is a city which boasts outstanding history, with numerous historic buildings and cultural monuments. Highlights of the city include:

Hofburg

The Hofburg, which is a medieval palace that served as the winter residence of the Habsburgs. It contains 2,500 rooms, a limited number of which are open to the public. Some of the rooms are also the official residence of the President of Austria. According to historical sources, the castle was built long before the reign of the Habsburgs. The oldest part of the structure contains a 15th-century Gothic chapel and an imperial treasury. Almost every subsequent emperor continued to expand the residence, and for this reason, Hofburg combines several architectural styles at once.

Stephansdom

Stephansdom is a Catholic cathedral and the national symbol of Austria. It is located in the city center, on St. Stephen's Square. The first cathedral building dates back to 1137-1147. That being said, it was then reconstructed in 1511.

Karlskirche

Karlskirche is the brainchild of one of Habsburg's most famous Baroque architects and sculptors; Johann Fischer von Erlach. The building was erected due to the plague that raged Vienna in 1713, during which Charles VI vowed to build a grandiose church in honour of his patron saint if the capital recovered from the disease. Construction of the church began in 1716 and was successfully completed in 1737.

Ankeruhr

Ankeruhr is the creation of the famous Austrian artist and sculptor; Franz von Machu. The clock tower is located on the Hoher Markt shopping square and is an ornament of the insurance company building. The clock consists of 12 moving figures which give a musical performance precisely at 12am on a daily basis.

Belvedere

The Belvedere is a palace complex built by Lucas von Hildebrandt and used as the summer residence of Prince Eugene of Savoy. The building was constructed in a baroque style in the early 18th century.

Wiener Staatsoper

Wiener Staatsoper is the largest theater complex in the country. The opera house was built in 1869 by the architect August Sicard von Sickardsburg. Its façade was decorated with sculptures by Ernest Henel, embodying characters from Mozart's The Magic Flute. Unfortunately, during the Second World War the opera house was completely destroyed and was then reconstructed from surviving blueprints in 1955.

Culture

Austria is a country with a rich past that has managed to leave a major footprint in the world of culture.

It combines the best traditions of countries such as Czechia, Hungary, Italy, Poland and Germany.

Austria is a secular European state. More than 73% of the population is Catholic and 4.7% are Protestants. There are also members of the Orthodox and Muslim communities, Buddhists, Sikhs and Jews who live here as well. Freedom of worship is legislated in the country, and the personal and civil rights of all citizens are comprehensively protected.

Economy

ienna is one of the most developed and economically stable cities in the world as its GDP exceeds the average of other European capitals by almost 40%. The number of Vienna's inhabitants increases every year.

As of January 1, 2020, there were 1.9 million people living in the capital, while the total population of Austria is approximately 8.9 million. The number of people residing in Vienna is expected to pass the 2 million mark by 2028. Given the growing population, buying real estate will be a lucrative and sought-after investment for the foreseeable future.

It is worth noting that 68% of the federal land in Vienna is designated for agriculture, although the number of agricultural workers has almost halved over the past 15 years. This is happening because traditional farms are gradually giving way to large-scale industrial production and retail.

N.B. For 8 years in a row, Austria's capital has been ranked first in the international Mercer’s Quality of Living Ranking of cities.

Real Estate Prices

Most of the real estate market in Vienna is represented by renovated and low-rise buildings, built in the early to the mid-20th century. The Austrian capital consists of 23 administrative districts, each of which features its own name and number. The most sought-after district is the first Innere Stadt, which is the historical part of the city, within which most of the cultural and tourist attractions are concentrated. The average property price here can reach EUR 30,000 per sq. m.

Other popular central districts include Landstraße and Leopoldstadt. The latter is Vienna's second district and mostly contains modern high-rise buildings. The average price per square meter of property in this district is EUR 6,814. As for Landstrasse, it is highly popular due to its close proximity to some of the most astonishing attractions, such as Belvedere Palace. The average price per square meter here amounts to EUR 7,452.

Meanwhile, the Meidling district of the capital has the lowest real estate cost, at EUR 5,293 per sq. m.

As of April 2021, the average monthly rent of a 1-bedroom apartment in Vienna constituted EUR 886. That being said, a range of affordable districts offered similar properties at an average cost of EUR 639 per month.

N.B. In both central and suburban areas of Vienna, you can find properties of different price segments. For instance, the suburban area of Außenbezirke offers expensive upscale residential real estate, while the central area of Innenbezirke mostly offers mid-range budget-friendly properties.

Why Invest in Vienna

Vienna is one of the most promising cities for long-term real estate investments. As the capital of Austria, which is one of the most economically stable European countries with a high standard of living, it boasts numerous strong advantages:

Vienna is a hub of historic architecture and cultural attractions. It is home to grand palaces, theaters, operas, museums, baroque churches and other architectural monuments, giving the city a high tourist potential and heaps of culture.

The city has a low crime rate and a high degree of protection for its residents.

The majority of Vienna's housing stock is made up of historic buildings, which have undergone extensive renovation and modernization. However, there are also a lot of new residential properties in the capital. In fact, over the last 70 years, the Viennese housing stock has grown almost 2.5 times.

According to the First Vienna Residential Market Report 2021, there are over 913,000 registered private properties in Vienna, of which 77% (which is almost 702,000 units) are rental properties. More than half of the city's rental property market (397,000 units) is occupied by non-profit housing associations and is owned by the municipality. Vienna's rental housing market is very expansive since more than 40% of the capital's residents do not own their own property. At the same time, the price of rents within the city is the highest in the country. Under such conditions, international investors have the best chance of renting their properties at a profitable price.

A total of 31.5% of Vienna's residents are foreigners who have moved into the country. According to the Global City Rank Cities of Choice 2021 study, Vienna is one of the world's top 10 cities in terms of quality of life and development. For this reason, it is in high demand among individuals from developed European countries who are willing to relocate here. In turn, this factor increases the demand for mid-range and luxury rental properties.

N.B. The most popular type of real estate in Vienna is single-family homes. At the beginning of 2020, the average size of local households was 2.04 persons. This figure is expected to drop to 2.02 persons by 2080. We, therefore, recommend targeting properties for small families and single professionals when choosing an investment property for renting.

Our company Luxury Immobilien GmbH can offer you a full range of real estate services.

We will help you find the best apartment in Vienna, which fully meets your goals and personal preferences.

Our team of professionals can provide you with a full range of services for selecting residential or investment properties in Vienna, as well as supporting you in obtaining a mortgage loan, managing investment projects, or obtaining a residence permit to stay in Austria.

Get more info

Evgeny Pilnikov,
CEO

We will get in touch with you shortly and send you additional information via email

Error get alias