Vienna is once again among the best cities to live in: in the Economist Intelligence Unit 2026 ranking, the Austrian capital came second out of 173 cities, behind only Copenhagen. For buyers, this sounds like a guarantee that an apartment here will always be in demand. But how exactly does the reputation of the world’s most comfortable city show up in the price per square metre? The answer is surprising: Vienna is more expensive than the rest of Austria, but noticeably cheaper than many of its European “neighbours” in the ranking. In this article we look at what these rankings really measure, why prices in Vienna stay lower than in Munich or Paris, and where the “quality-of-life premium” is felt most strongly. At the end you will find a calculation for an investor comparing a central and an outer district. All data is current as of October 2026.
What quality-of-life rankings measure and what it has to do with property
The EIU index rates cities on five groups of criteria: stability, healthcare, culture and environment, education, and infrastructure. Vienna has topped this ranking several times, including three years in a row from 2022 to 2024, and in 2025 and 2026 it came second after Copenhagen. The city itself names stability, the healthcare system, education and infrastructure among Vienna’s main strengths. Another well-known study paints a similar picture: in the Mercer Quality of Living ranking, Vienna came first every time from 2009 and only lost out to Zurich in 2024.
These criteria matter for the property market because buyers and tenants pay for them every day: fast public transport, safe streets, accessible hospitals and schools. A good reputation attracts international companies, organisations and students, and with them people looking for a home. The population is growing steadily: according to data from Statistik Austria, 2,042,036 people lived in Vienna on 1 January 2026, 13,747 (+0.7%) more than a year earlier. We explained in detail why many foreigners choose an apartment in Vienna in particular in our article on why buy an apartment in Vienna.
Prices in Vienna: higher than in Austria, but lower than the competition
Demand for life in Vienna is indeed reflected in prices. According to data from Statistik Austria, the median price of an apartment in Vienna in 2025 was €5,212/m², 5.5% higher than a year earlier (€4,940/m²). That is the highest figure of all federal states, while apartments across Austria cost €4,162/m² on average. Compared with other European cities, however, Vienna remains affordable, as the Deloitte Property Index clearly shows.
| City | New-build price, €/m² | Difference from Vienna |
|---|---|---|
| Luxembourg | 11,074 | +72% |
| Munich | 10,800 | +68% |
| Paris | 10,760 | +67% |
| Vienna | 6,432 | — |
| Austrian average | 5,053 | −21% |
In other words, for the price of one new apartment in Munich you can buy about 1.7 apartments of the same size in Vienna. The main reason for this paradox is the very thing that makes Vienna so comfortable. The city owns around 220,000 municipal apartments, and around 200,000 more were built under subsidised housing programmes. A large share of Viennese live in affordable housing, and rents in older buildings are regulated by the Tenancy Act (MRG). This keeps rents down and, as a result, purchase prices too. We have written separately about how these restrictions work and what the Mietpreisbremse 2026 (rent brake) changes.
Where the “quality-of-life premium” is felt most strongly
Within the city, the difference is much bigger than between Vienna and the rest of Austria. According to an analysis by Raiffeisen, in the third quarter of 2025 an apartment in the 1st district cost on average around €12,600/m², and in Simmering (11th district) around €3,700/m². The bank’s analysts expect districts inside the Gürtel to keep rising in price faster than the outskirts. This is exactly where the things Vienna is praised for in the rankings are concentrated: historic buildings, culture and the best public transport network. We looked at an example of a district with a good balance of price and location in our article on investing in the 3rd district, Landstraße.
Another trend concerns rents. According to the same analysis, asking rents in Vienna rose by about 19% from the third quarter of 2022 to the third quarter of 2025, while apartment prices were about 4% lower than in 2022. In other words, buying has become more attractive compared with renting. On top of that, less is being built: around 10,900 apartments were completed in Vienna in 2024, while only around 8,400 are expected for 2026. A growing population with fewer new apartments supports both prices and rents.
Case study: Andriy chooses between the centre and the outskirts
Andriy wants to invest €300,000 in an apartment to rent out. He is comparing two options: the prestigious 1st district, which best fits the image of the “world’s most comfortable city”, and Simmering, where prices are lowest. We took the average prices and asking rents from the Raiffeisen analysis for the third quarter of 2025 and calculated the gross yield without additional costs, taxes or possible vacancy.
| Item | 1st district | Simmering (11th district) |
|---|---|---|
| Price, €/m² | 12,600 | 3,700 |
| Floor area for €300,000 | ≈ 24 m² | ≈ 81 m² |
| Asking rent, €/m² per month | 22.50 | 13.50 |
| Rent per month | ≈ €536 | ≈ €1,095 |
| Rent per year | ≈ €6,429 | ≈ €13,135 |
| Gross yield | ≈ 2.1% | ≈ 4.4% |
The outer district gives Andriy twice the current yield, while the centre offers lower risk and, according to forecasts, stronger growth in value. It is also important that in many older buildings the MRG caps the rent, so the actual rent may be lower than the market rate. Andriy decided to look at mid-priced districts with good public transport and to check the tenancy rules for each apartment before making an offer. We explain how to assess an investment apartment and what to look out for in our article on the Vorsorgewohnung.
Conclusion: how being one of the best cities to live in affects prices in Vienna
Top places in quality-of-life rankings support steady demand for housing in Vienna: the population is growing, international interest is not fading, and prices remain consistently above the Austrian average. At the same time, thanks to the large share of municipal and subsidised housing and rent regulation, Vienna remains far more affordable than Munich or Paris. For buyers this means two things: entering the market here is cheaper than in many European capitals, and the differences between districts are so large that choosing the right location matters more than the overall statistics.
At VigoImmobilien we help you find an apartment where quality of life and price are balanced to suit your goals, whether it is a home for yourself or an investment. We prepare a market price assessment (Marktpreiseinschätzung) and a yield calculation, check whether the apartment falls under MRG restrictions and support you all the way to signing at the notary, while coordinating legal questions with a lawyer or notary. Read more in our article on the services of a real estate agent in Austria.
We will compare 2–3 Vienna districts for you free of charge: price per m², rents, yield and all additional costs in one table. No obligation. Write to us today: +43 664 998 775 99, [email protected] or on Telegram @vigoimmobilienmanager.
This article contains general information as of October 2026 and is not financial, legal or tax advice. The calculations are illustrative and based on average market data.
