What are the costs when purchasing a property in Austria?
Standard buying fees are as follows:Stamp duty 3.5% Land registry fee 1.1% Agency fees 3%*Read More
How long does it take to buy a property in Austria?
It usually takes between 1-3 months to buy a property in Austria.
What is the purchase process when buying a property in Austria?
The purchasing process requires you to sign a binding offer agreement after viewing or based on the information and plans in case of a new build property.Read More
What is the role of the agent?
The role of an estate agent is to facilitate the sale of a property. On behalf of the seller, they will ensure the most effective advertising for each individual project or property, making sure they connect with suitable buyers.Read More
What are the staged payments when buying a property in Austria off-plan?
When buying an off-plan property in Austria payments are made according to the build stages.Read More
What construction guarantees are there when buying off plan?
Developers must have the financing in place before they start construction. You will only pay for each stage payment AFTER it has been completed. New build properties in Austria also usually have a 2% guarantee that is withheld for three years after handover in the event of any snagging issues.Read More
How much can I borrow from an Austrian bank?
When you are buying a touristic rental property in Austria you can borrow around 50-60% of the value. Banks also consider the rental income that the property will generate making it relatively easy to obtain finance on these types of propertiesRead More
What are the interest rates on Austrian mortgages?
Austrian mortgages tend to have favorable interest rates, often ranging somewhere between 2-4%. However, this can vary depending on the position of the market at the time.
How long are Austrian mortgages?
For a rental property, the mortgage term is often set to about 15-20 years to run alongside the rental contracts.
What types of mortgages are available in Austria?
The three main types of mortgages available in Austria include fixed-rate, adjustable-rate and a mortgage combination which merges two mortgage loans. Austrian mortgages are always full repayment mortgages, and no interest-only options are currently available.Read More
Rental Investment Opportunities
How do I rent out my property in Austria?
In nearly all new built properties there will be a designated rental management to take care of all the aspects of the rentals for you, often for a fixed commission on the income. If you do own an existing property that has rental permission without a designated rental management, you will often find there are several companies in the area that can help rent out your property.Read More
Do I have to rent out my property in Austria?
In Austria there are strict rules on how each property can be used. In most cases when there is permission to rent out the property touristic ally there is also an obligation to rent out the property at a profit for 20 years for tax purposes.Read More
How often can I use my rental property myself?
Because often there is the obligation to rent out the property at a profit, this limits the amount of own use to around 6-8 weeks a year from a tax perspective. In some cases, there are also conditions set by the rental management which may vary slightly from property to property.Read More
Is Austria a good place to invest into a property?
Austria is home to some of the most popular ski resorts in Europe and has a stable property market, offering a range of excellent investment opportunities.Read More
Has Austria’s economy recovered from the COVID-19 pandemic?
Austria’s economy has grown quickly after the pandemic, thanks to a lifting of COVID restrictions, supportive government measures and a surge in holidaysRead More
Buying a property in a company name
Can I purchase a property in a company name in Austria?
You can buy a property in a company name in Austria, providing the business is EU-based and that 50% of its shares are owned by EU citizens. You cannot buy an Austrian property in the name of a non-EU company.Read More
What are the costs?
The cost of setting up an EU company can vary on the type of company you want to set up and the country where the company is registered. We can recommend a tax advisor to help you with this process.Read More
Are there benefits to buying a property in a company name?
The benefits of buying a property in a company name in Austria include being able to purchase with multiple owners. It also allows for tax-free ownership transfers via shares. As of 2022, profits on the disposal of a property owned by a company are charged at 25% compared to 30% for an individual.Read More
How much local property tax do I need to pay in Austria?
You will have to pay local property taxes in Austria, although this varies depending on the region. The government’s local tax calculator can help you find out the exact amount.Read More
How much rental income tax am I liable for?
As of 2022/23, rental income tax rates in Austria sit between 20% and 50%. How much you pay will depend on the tax band you fall into.Read More
Can I reclaim the VAT by renting my property in Austria?
You will need fill annual VAT returns and aim to make a ‘profit’ for tax purposes over a 20 year period.Read More
How much is capital gains tax?
Capital gains tax for real estate in Austria stands at 30% as of 2022/23.
Are there any further taxes I need to be aware of?
If you rent out your Austrian property to guests, they will need to pay a daily tourist tax to the local council. Villages impose this tax in order to raise revenue on properties registered as holiday homes – if your property is registered for permanent residency, the tax will not be payable.Read More
Applying for residency
Can I become a resident in Austria?
Residency permits in Austria are available to people who wish to work or study in the country. You will have to be present in the country for a minimum of 183 days a year to be eligible to apply.Read More
How long can I stay in Austria for?
If you are planning an extended stay in Austria, you will need a visa which will allow you to remain the country for 90 days in any 180-day period.
Can foreigners buy a property in Austria?
All EU citizens can buy a property in Austria without restriction. Non-EU citizens would need to apply for a special permit at the Land Transfer Authorities, this is a lengthy process without any guarantees that would lock the property in a sale until the permit is either granted or denied.Read More
Can UK Citizens buy property in Austria?
Since Brexit UK Citizens are no longer EU citizens. This means that they would also need to apply for a special permit at the Land Transfer Authorities.Read More
Are there any restrictions on selling my property?
There are no restrictions on selling your property in Austria, although you will be liable to pay capital gains tax which stands at 30% for real estate. There will also be the usual associated costs to pay, such as estate agents fees and VAT.Read More
What are the different property types of property in Austria?
There are three different types of property you can find in Austria. Find out everything you need to know about the different types.Read More