House prices in Austria go crazy: that's why
In Austria, for about a month now, a truly unprecedented phenomenon is taking place. House prices continue to rise disproportionately and the entire economy shows signs of recovery.
During the last quarter of 2018, the price index for residential real estate in particular touched 8 percentage points more than the 5 of the previous year.
At the national level, however, in real terms, there was an increase of 2.88% as early as the third quarter of 2018.
But let's see in detail where and how prices have risen since last year.
In Vienna, the wonderful capital, famous for a "thriving but above all high-level economy, prices have increased by 6.54% (in real terms we are talking about 4%). In the last quarter, the residential property price index for this city increased by 3%.
In the rest of the nation, on the other hand, the property price index has increased exponentially by 9.7% and, in the third quarter, the homes of the cities adjacent to the capital or non-metropolitan cities, have seen an increase of 2.6%
Let us now analyze the changes that have affected, in terms of price, the various types of homes.
As far as new housing is concerned, the price, hear hear, fell slightly by -2 percentage points, according to Statistic Austria
For existing homes, the average price increase was 5% in the latter part of 2018, and it increased further by 2.16%.
For the apartments, on the other hand, the average price has reached 8%, always compared to the period examined.
The offer collapses instead, despite strong demand. In the first three quarters of last year, the total number of apartments that was approved for construction in this country came to only 54,444 units, after much higher levels were reached in previous years. The total, in terms of invested capital, was 111 billion euros, as recorded by the European Central Bank.
In general, the Austrian economy has risen by 2.6% in 2018, with a remarkable break from 2017. Through the analysis carried out by the Oesterreichische Nationalbank, the economy should expand by 3%. We also remember that part of the advantage that led to this expansion is the absence of restrictions on foreigners who decide to buy a property in Austria.
Nevertheless, however, we recall that the tax on rental income is still particularly high, and, as far as non-residents are concerned, the tax base on each individual is increased by 8,000 euros.
It takes about 32 days to complete a property purchase and registration procedure. A fairly balanced time, compared to the general average present in European countries.
During the last quarter of 2018, the price index for residential real estate in particular touched 8 percentage points more than the 5 of the previous year.
At the national level, however, in real terms, there was an increase of 2.88% as early as the third quarter of 2018.
But let's see in detail where and how prices have risen since last year.
In Vienna, the wonderful capital, famous for a "thriving but above all high-level economy, prices have increased by 6.54% (in real terms we are talking about 4%). In the last quarter, the residential property price index for this city increased by 3%.
In the rest of the nation, on the other hand, the property price index has increased exponentially by 9.7% and, in the third quarter, the homes of the cities adjacent to the capital or non-metropolitan cities, have seen an increase of 2.6%
Let us now analyze the changes that have affected, in terms of price, the various types of homes.
As far as new housing is concerned, the price, hear hear, fell slightly by -2 percentage points, according to Statistic Austria
For existing homes, the average price increase was 5% in the latter part of 2018, and it increased further by 2.16%.
For the apartments, on the other hand, the average price has reached 8%, always compared to the period examined.
The offer collapses instead, despite strong demand. In the first three quarters of last year, the total number of apartments that was approved for construction in this country came to only 54,444 units, after much higher levels were reached in previous years. The total, in terms of invested capital, was 111 billion euros, as recorded by the European Central Bank.
In general, the Austrian economy has risen by 2.6% in 2018, with a remarkable break from 2017. Through the analysis carried out by the Oesterreichische Nationalbank, the economy should expand by 3%. We also remember that part of the advantage that led to this expansion is the absence of restrictions on foreigners who decide to buy a property in Austria.
Nevertheless, however, we recall that the tax on rental income is still particularly high, and, as far as non-residents are concerned, the tax base on each individual is increased by 8,000 euros.
It takes about 32 days to complete a property purchase and registration procedure. A fairly balanced time, compared to the general average present in European countries.
