Austrian real estate as an investment
Vorsorgewohnung, tenement house or cash-flow commercial: which strategy fits your capital — calculated soberly.
Why Austrian property
Stable legal framework, growing urban regions and inflation protection via indexed rents. In return, moderate yields — property here is wealth preservation plus cash flow, not speculation.
Vorsorgewohnung
New-build buy-to-let with VAT recovery: 20% back given long-term letting intent. Typically 2.5–4% gross yield in Vienna plus appreciation.
Tenement house (Zinshaus)
Viennese old-build with multiple units: substance value and development upside, but mind the tenancy act with regulated reference rents. For experienced investors with a 10+ year horizon.
Cash-flow commercial
Offices, logistics, convenience retail: 5–7% yields and longer leases, against higher vacancy risk and more management. Our commercial desk vets tenant covenant and location.
Investor taxes
Rental income is income-taxed, building depreciation 1.5% p.a., and sales gains face 30% ImmoESt. We model private vs GmbH structures with tax advisors.
What yield is realistic?
Vienna residential 2.5–4% gross, good commercial 5–7%. Promised 8%+ in Austria is almost always a red flag.
How much equity do I need?
Banks usually require 30–40% plus costs for investor loans; rental income is only partially counted.
Can foreigners invest?
EU citizens without restriction; third-country nationals need state-level approval. Hurdles for commercial assets are often lower than for apartments.