Looking for a picturesque Austrian property? Find out all that you need to know regarding buying real estate in Austria and the ideal places to look for.
Austria is one of the most well developed countries of Europe. The country has come a long way from its absolute monarchism days to become an independent republic. Austria declared its permanent neutrality following the World War II. Since then it has been steadily progressing and has become one of the safest and most productive places in Europe.
The economic boom and the political stability of the region make it an ideal place to invest in real estate. Austria has a huge tourism industry as well. The country experiences an influx of seasonal visitors that flock to the region especially for winter sports activities. This also adds value to the land in Austria and makes it a worth while investment.
Austrian real estate tax laws
The bulk of the foreign residents in Austria are Germans with some Italians as well. The most commonly used language is German. If you do decide on buying real estate in Austria you should be aware of the tax laws that will be applicable to your property. If you are a citizen and happen to experience capital gains you will have to pay a 34% capital gains tax. If it is your principal home then you will be exempted from the tax unless you intend on selling it within five years. After a time period of ten years all property is exempted from paying tax.
The Austrians have put up some heavy restrictions on foreign ownership of real estate in the country. Interested individuals will have to seek the permission of the local authority offices regarding the matter. Strict laws have been put in place even regarding the buying of holiday homes in specific areas. Austria’s decision to join the EU however brought some changes in these laws, namely the fact that all laws would now apply equally to Austrian as well as EU citizens.
Austria real estate prices
There are a number of factors that will affect the price range of the property that is up for grabs. The location and size are the two primary factors in determining the land’s worth. Generally you should expect to pay around $75,000 for a studio apartment. A small apartment on the other hand could cost around $ 90,000. A slightly larger will be along the lines of $ 145,000 and detached homes can go up to $365,000.
Most foreign investors look to the ski resorts as an ideal place to buy real estate. There are tons of summer holiday homes for summer activities available in various regions. There are plenty of outdoor pursuits as well during the summer season. Vienna happens to be amongst the best places to invest in real estate as it is rich in cultural activity.
There is however one important thing that you should be aware of. Living in Austria is not cheap. In fact it is one of the most expensive countries of the EU. The standard of living is also quite high so you might be left struggling to come up to mark. The EU membership however is bound to bring in some positive changes.