Offer prices for condominiums are stagnating. House prices across Austria are falling by 1 percent, but there are striking regional differences between -8 percent in Vorarlberg and +6 percent in Salzburg.
Both the supply and demand for properties to buy increased in the first half of 2024 compared to the same period last year. While the supply of houses across Austria is increasing by 14 percent, demand has increased by 17 percent. There were also 9 percent more condominiums on the market in the first half of the year, and demand increased by 12 percent. This is what the current data analysis shows ImmoScout24for which almost 170,000 real estate offers from the first six months of 2023 and 2024 were evaluated. “Interest in purchasing properties is increasing again sharply year-on-year. The detailed analysis shows striking regional differences in price developments, especially for houses. House prices are falling the most in Vorarlberg, Carinthia and Upper Austria,” explains Markus Dejmek, Austria head of ImmoScout24.
Houses are becoming cheaper everywhere with the exception of Salzburg
ImmoScout24 recorded the strongest increase in demand for houses in Vorarlberg at 73 percent, coupled with the highest price decline of minus 8 percent to 5,486 euros/sqm. In the neighboring country of Tyrol, interest also rose sharply by 34 percent, and prices fell by 4 percent to 7,163 euros/sqm. Nevertheless, the houses on offer in Tyrol are still the most expensive in the entire country. Searches are also much more frequent in Carinthia, with an increase in demand of 32 percent and a price decrease of 6 percent. The price per square meter for houses in Carinthia is the second lowest in Austria at 2,991 euros. Houses in the country can only be purchased cheaper in the far east. In Burgenland, the property costs an average of 2,400 euros/sqm, which leads to a significant increase in searches by 27 percent.
In contrast, prices in Salzburg rose by 6 percent to 5,746 euros/sqm. In Lower Austria there is only a slight price decrease of 1 percent to 3,591 euros/sqm, as is in Vienna, where at 6,293 euros/sqm the most has to be spent on a new home after Tyrol. “These regional differences illustrate the dynamic developments on the Austrian real estate market. It remains to be seen how these developments will develop over the course of the year,” says Markus Dejmek
Detailed data can be found in the appendix.
Source: ImmoScout24, August 2024, comparison of the first half of 2024 to the first half of 2023, median calculation method
Condominiums are still increasing in price in most federal states
Markus Dejmek: “While there is a slight downward trend in prices for houses, condominiums are still being offered at a slightly higher price than last year in most regions.”
The demand for apartments, measured by contact inquiries, also showed clear regional differences. In the festival city of Salzburg, the market is particularly vibrant for condominiums: both supply and demand are increasing by around 20 percent, and the square meter currently costs 6,148 euros. Vienna, Vorarlberg and Tyrol are still above this limit when it comes to price per square meter. In Tyrol there is a slight decrease of 1 percent, but the price for condominiums is also absolutely at the top at 6,891 euros/sqm. The offer has increased significantly by 25 percent, and interest has increased by 14 percent compared to the same period last year. The real estate portal also records significantly more active searchers in Vorarlberg, with an increase in inquiries of 20 percent. Styria is experiencing both a decline in supply of 9 percent and a decline in demand of 13 percent. ImmoScout24 finds less demand (-2 percent) with a significantly increased supply (+27 percent) of condominiums in Burgenland.
Source: ImmoScout24, August 2024, comparison of the first half of 2024 to the first half of 2023, median calculation method
*About the data analysis and methodology
The analysis carried out in August 2024 is based on 168,643 data points from the first six months of 2023 and 2024 of the offers published on ImmoScout24.at. The median was chosen as the calculation method for the statistical mean. In contrast to the mean, the median has the advantage that it is not distorted by a few extremely cheap or a few extremely expensive objects.
About ImmoScout24
ImmoScout24 has been online with an Austrian marketplace since January 2012 (ImmoScout24.at). Together with Immobilien.net, immodirekt.at and immosuchmaschine.at The network has around 1.7 million users every month (Google Analytics Q1 2024). Users can choose from around 100,000 real estate offers. More than 2,200 real estate agencies in Austria are currently marketing their properties on the four portals. With its digital solutions, the online marketplace creates orientation and successfully brings owners, brokers and searchers together. ImmoScout24 is working on the goal of processing transactions relating to real estate digitally and thereby making complex decisions easier for its users. Around 50 employees in Vienna are responsible for the success of Scout24 in Austria. ImmoScout24 Austria belongs to the German Scout24 group. Further information at ImmoScout24.at.