What the Vienna property market forecast for 2027 looks like is a question we are asked in almost every consultation right now. Buyers want to know whether to buy an apartment before the end of 2026 or wait until the market becomes cheaper. The honest answer is that nobody can give an exact forecast, but the latest reports from banks, economists and statisticians already reveal the main trends. Residential property prices in Austria reached an all-time high in 2026, the European Central Bank raised interest rates twice, fewer and fewer new apartments are being built in Vienna, and in 2026–2027 the rules on taxing property sales and on rent increases are changing. In this article we have gathered forecasts and data from Raiffeisen Research, WIFO, Statistik Austria and the Vienna Chamber of Commerce, explained what they mean for buyers, investors and owners, and outlined what you should do now if you plan to buy in the coming months. At the end you will find a calculation comparing buying now with buying in a year under two interest rate scenarios. All information is current as of the end of October 2026.
Prices in 2027: moderate growth, no sudden jump
According to Statistik Austria data, Austria’s residential property price index reached an all-time high in the second quarter of 2026, surpassing the 2022 peak for the first time. As reported by Salzburger Nachrichten, Raiffeisen Research puts residential price growth in the first half of 2026 at 1.8% and expects around 2.5% for the full year. The bank gives no separate forecast for 2027, but warns that further ECB rate hikes will hold prices back. The most likely scenario for 2027 is therefore moderate growth, roughly in line with inflation: in its October forecast, WIFO expects inflation of 2.6% in 2027 after 3.3% in 2026.
Vienna also has long-term support for demand. According to the city’s forecast, Vienna’s population will grow from 2,028,289 at the start of 2025 to 2,064,851 in 2027, an increase of almost 37,000 people in two years. We described how the market came through the previous correction in our article on trends in the Austrian property market, and you will find a detailed analysis of new-build prices in our piece “New-build prices in Vienna: trends and changes in 2026”.
Supply and rents: fewer new apartments
The key factor for 2027 is the decline in new housing. According to Exploreal data for the Vienna Chamber of Commerce, reported by vienna.at, 11,404 apartments were completed in Vienna in 2025, 10,336 are expected in 2026 and only 9,651 in 2027. If the forecast holds, this will be the first year in the report’s entire observation period in which the number of new apartments falls below 10,000. Commercial construction of rental housing is shrinking most sharply: only 494 such apartments are planned for 2027, compared with 2,505 in 2026, roughly 80% fewer.
| New apartments in Vienna | 2025 (actual) | 2026 (forecast) | 2027 (forecast) |
|---|---|---|---|
| Total | 11,404 | 10,336 | 9,651 |
| Commercial rental apartments | — | 2,505 | 494 |
| Commercial apartments for sale | — | 3,051 | 3,961 |
| Non-profit (gemeinnützig) rental apartments | — | 2,740 | 2,678 |
The picture is similar across Austria: Raiffeisen expects around 32,000 new apartments in 2027, compared with about 62,000 in 2021, and according to WIFO’s forecast construction investment will grow by only 1.0% in 2027. Fewer new rental apartments mean more pressure on rents: according to the Vienna Chamber of Commerce, asking rents in new buildings are already 5.8% higher than a year ago. For investors this supports yields, especially in the Vorsorgewohnung segment, which we covered in our article on investment apartments in Austria. For buyers who plan to live in the apartment themselves, it is one more reason not to put off buying for too long, because renting while you wait also costs money.
ECB rates and new rules for 2027
After several cuts in 2025, the European Central Bank changed course in 2026: it raised rates in June and September, and since 16 September the deposit facility rate has stood at 2.50%. Raiffeisen Research economists expect two more hikes, and WIFO’s forecast assumes the three-month rate will rise from 2.5% in 2026 to 3.3% in 2027. According to OeNB data cited by Optifin, the average rate on new housing loans in Austria was 3.61% in August 2026. If the forecasts prove right, loans are likely to become more expensive in 2027, so it is worth seriously considering a fixed rate for 10–20 years now. We explained how to prepare for talks with the bank in our article on how to get a property loan in Austria.
The rules are changing too. For sales after 31 December 2026, the effective tax rate on property sale proceeds for property acquired before April 2002 will rise from 4.2% to 6% of the price, unless an exemption applies (for example, for a main residence). As a result, some owners of such apartments want to sell this year, and at the end of 2026 buyers may have more room to negotiate. For landlords, from 1 April 2027 increases in regulated rents (Richtwert and Kategorie) are capped at 2%, and from 2028, within the scope of the MRG, only half of any inflation above 3% may be passed on to tenants. In addition, where the landlord is a business, the minimum term of a fixed-term lease within the MRG scope is now five years instead of three. We explained how these rules protect tenants in our article on tenant rights and the MRG.
Case study: buy now or wait until 2027?
Olena plans to buy a 70 m² apartment for €280,000 to live in herself. She compares three options: buy now at a rate of 3.6%, or wait a year, during which the price rises by 2.5% in a moderate scenario and the rate either rises to 4.0% or falls to 3.2%. The loan is 80% of the price over 30 years. We calculate the additional costs using the same method as in our article on the 7 mistakes that cost apartment buyers thousands of euros: 9.7% of the price plus 1.2% of the loan amount.
| Item | Buy now (3.6%) | 2027, rate 4.0% | 2027, rate 3.2% |
|---|---|---|---|
| Apartment price | €280,000 | €287,000 | €287,000 |
| Additional costs (9.7% of the price) | €27,160 | €27,839 | €27,839 |
| Loan (80%) | €224,000 | €229,600 | €229,600 |
| Mortgage registration fee (1.2% of the loan) | €2,688 | €2,755 | €2,755 |
| Equity required | €85,848 | €87,994 | €87,994 |
| Monthly payment | €1,018 | €1,096 | €993 |
| Interest over 30 years | €142,626 | €165,012 | €127,860 |
| Total: price, costs and interest | €452,474 | €482,607 | €445,454 |
If rates rise, waiting will cost Olena around €30,000 over the full loan term, and her monthly payment will be €78 higher. Even in the favourable scenario, with the rate falling to 3.2%, the gain is only about €7,000 over 30 years, while she needs €2,146 more equity at the start. If Olena is currently renting, she will also pay rent for the whole year of waiting. Waiting until 2027 therefore makes sense mainly if you have not yet found a suitable apartment or do not yet have enough equity.
Conclusion: what to expect from the Vienna property market in 2027
The Vienna property market forecast for 2027 looks like this: prices are likely to rise moderately, fewer new apartments are likely to be built, rents are likely to rise, and loans are unlikely to get cheaper. None of the forecasts we analysed predicts a sharp fall in prices, so the gains lie in choosing the right district, checking the apartment thoroughly and negotiating with the seller. This applies especially to the end of 2026, when some owners are keen to sell before the tax change. We explained how the season affects prices and negotiations in our article “Vienna market seasonality: when is the best time to buy an apartment”.
At VigoImmobilien we help you make this decision based on numbers. We prepare a market price assessment (Marktpreiseinschätzung) of the apartment, check the building’s documents and the Grundbuch, calculate your full budget with a loan under several rate scenarios, negotiate with the seller and support you through to signing at the notary, while coordinating legal questions with a lawyer or notary. Find out more in our article on the services of a real estate agent in Austria.
This article contains general information as of October 2026 and is not financial, legal or tax advice. Forecasts may not come true and the calculations are illustrative; loan terms depend on the bank.
