Austrian Real Estate: Can I Buy a Villa in Salzburg?

Salzburg is a hotspot for villas in Austria, with both Austrians and foreigners eager to invest in the state’s “tangible gold.”

However, after recent changes in planning law, buying a second home in the state of Salzburg has become increasingly difficult, if not impossible.

Here’s what you should know:

For members: Is now the time to buy property in Austria?

What are the Salzburg rules?

After many years of high interest in real estate in Salzburger Land (especially in the winter tourist area) and subsequent price increases, the state government has decided to tighten the law.

This means that when someone buys land for a house, apartment or building in a particular district of Salzburg, they have to prove that it is their main residence (hauptwonsitz).

For developments, the deadline for registering the primary residence with the local authority is one year after the date of purchase. Renovations must be registered within 5 years of purchase, and undeveloped properties must be registered within 7 years.

In addition, when purchasing farmland, the purchaser must be a farmer, must submit a management philosophy, and 75% of the area is managed by the farm itself.

If these requirements are not met by the deadline, there is a risk of foreclosure and the property or land will be auctioned. Proceeds from the sale will be paid to the owner, but the auction will start at his 90% of the estimated price.

Also read: Property purchase rules for foreigners in Tyrol and Vorarlberg

Basically, this means that if someone buys property in Salzburg but does not intend to live there permanently, they may lose it in the future.

The new law will come into force in 2023.

Purchasing a second house (Neven Wonjits Also Zweithornsitz) or Salzburg villas are only allowed in designated zones.

Why was the law changed?

In March, the State Audit Office released a frightening report on the property market in Salzburg’s Pinzgau.

The report follows an investigation by the Social Democratic Party of Austria (SPÖ), which found that most apartments, chalets and second homes in the Pinzgau district have been sold to foreigners.

In many cases, agricultural or forest land was purchased to build housing. This violates the law that the planning commission must verify whether the purchaser is a farmer.

Read the following: How to find properties under €100,000 in Austria

Auditors were reported to have found that “the rule of law was largely ignored” and that land and property sales were not properly documented. Standard.

In July, the Constitutional Court (VfGH) overturned part of the Salzburg Spatial Planning Act. The law Approximately 3,000 second homes certified All of Salzburg, which was found to violate the principle of equality within the state.

Second home regulations vary from region to region in Austria. (Photo by Dimitry Anikin on Unsplash)

There will also be only one statewide land transfer board (Grundverkehrsk commission) responsible for planning in Salzburg. Previously, there were separate committees for each district.

Are there any exceptions?

Denkstein Immobilien Salzburg’s Michael Denkstein confirmed to The Local that it is still possible if you want to buy a property in the area designated as a second home.

Additionally, if the property Used as second house before 1993the law has exceptions.

You need a “reason worthy of consideration,” but you may also apply to the city council for an exception.according to Salzburger Nachichtenan exception could be plans to retire and move to Salzburg in the next two years.

However, if none of the above apply, you may not purchase a property within the Salzburg Restricted Zone and use it as a second home.

Where is Salzburg’s second home zone?

Second home sales are restricted in the following areas: 16% or more of housing stock is already occupied by second homes. The area is known as a ‘reserved community’ and primarily affects tourist destinations like Pinzgau.

This means that in areas where less than 16% of registered homes are used as second homes, vacation homes can (in theory) be purchased. It also means that the “map” of the zone is constantly changing.

The City of Salzburg only allows second home areas if: adequate affordable housing Available to local residents. As such, we recommend that you consult your real estate agent regarding relevant local laws before purchasing property in the state.

Earlier this year, Salzburg also Vacancy tax What the owner has to pay if the house is vacant for more than 6 months in a year. Austrian Real Estate: Can I Buy a Villa in Salzburg?

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