The Demand for Additional Supply with Housing Space

Quick availability at affordable conditions

The current demand in Vienna's housing market is determined by the number of households seeking new housing due to the fact that they either move within the city or come from outside Vienna. One of the objectives of the City of Vienna's housing policy is to ensure that this demand can be met within a reasonable period of time and at affordable conditions.

In the future as well?

Against this background, Synthesis Research has prepared a forecast regarding the development of the annual demand for new housing for the period 2000-2015.

Is there a demand for new housing?

Even if Vienna's population would not grow at all (which is not the case), there is a considerable demand for new housing. Those wishing to move within Vienna (or moving to the city) have to look for a flat; this were no less than 64,000 households in 2005, and this number is expected to rise to about 74,000 households by 2015.

The role of new buildings?

Housing demand has to be met only to a very small extent by erecting new buildings (even though housing construction is very important); after all, every household moving within Vienna leaves a flat, which then becomes available on the supply side (maybe after a short delay).

Frequent house moving within the city?

In the year 2005 about 44,000 households registered a demand for new housing due to moving within the city; almost one fifth of the households were young singles (younger than 30 years). In 2015 about two thirds of the total demand for new housing will be attributable to approximately 51,000 households moving house within Vienna.

And what about the households moving to Vienna from the other Federal Provinces?

In 2005 about 8,400 households moved to Vienna from other Federal Provinces; in 2015 this number will climb to about 9,100. The predominant part of these households will be singles (of all age groups).

Wave of migrants?

As expected, the freedom of movement within the European Union has led to a continuing inflow of migrants to Vienna as the city offers an attractive living environment (and interesting employment opportunities). From 2000 to 2005 the number of foreign households that moved to Vienna increased from about 7,500 to 12,000. This trend is expected to slow down; in 2015 the number of households moving to Vienna from abroad will total 14,200; this corresponds to about 19% of the annual demand for new housing.

What sizes of flats are in demand?

About three quarters (72%) of the flats in demand are larger than 35 m² but smaller than 90 m²; this is the current situation, and it is not expected to change significantly by 2015.

Do new housing constructions respond to this trend?

The distribution of flats of different sizes in (subsidised and non-subsidised) new buildings depends on a great number of aspects related to public housing policies as well as to very personal, private considerations. In this context, the focal point of the annual demand for new housing is only one of many factors; however, it will not be ignored completely.