Due to the higher construction prices, the number of completed projects will fall sharply this year after the record of 2021, although the demand for homes remains high. Immigrants like B. Ukrainian refugees looking for private quarters.
The upward trend in new construction peaked in 2021, when 71,200 apartments were built in Austria, not since the 1980s. In absolute figures, the most construction was done in Vienna, in Tyrol per capita.
But the boom that started in 2018 with 68,993 new units will come to an end this year. In terms of population, twice as much was built in Austria as in Germany. However, the increased prices are causing reluctance among project developers. Expert Wolfgang Amann (ibw): “For 2022, we expect only 60,000 to 65,000 new buildings.”
Not only private individuals are building less. “Even the non-profit organizations are finding it increasingly difficult to meet the requirements for housing subsidies at the current costs,” says Amann. There is still enough demand. After the sharp rise in recent years, real estate prices are expected to rise only moderately. on the other hand, inflation shot up sharply this year.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
