Rent out a holiday apartment in Austria
Owning a holiday apartment or having one within a residential property is not uncommon in tourist areas. Especially in cities, in the mountains, or by lakes, holiday apartments are in high demand in Austria and have experienced strong growth in recent years.
Anyone who owns available living space has likely considered renting it out as a holiday apartment, holiday home, or apartment, or may already be doing so. However, times, circumstances, and needs change, and what initially sounds like a lucrative source of income can quickly turn into a significant amount of effort.
What you need to consider and why renting out a furnished apartment for one to six months instead of for tourist stays can be a worthwhile alternative.
Requirements for tourist rentals
The concept of “renting out a private holiday apartment” sounds appealing. But is it actually allowed? In most cases, the answer can be found by taking a look at the condominium ownership agreement. This document defines the designated use of the property and specifies whether it may be used for residential purposes, holiday accommodation, or commercial use.
It is legally prohibited to repeatedly rent out a residential apartment to holiday guests for short periods of less than one month without a change of designation. An apartment intended for residential use may therefore only be offered and rented out for tourist purposes after an official reclassification. In multi-unit residential buildings, the consent of all other owners is required. If you are renting a property yourself, you must obtain the landlord’s permission.
Room rental, private rooms, or commercial accommodation
A next step when planning to rent out a holiday apartment is to clarify whether the accommodation qualifies as a commercial rental. In Austria, a distinction is made between simple room rental, private room letting, and commercial accommodation.
- Is the apartment located in your own home, has fewer than ten beds, and is intended only as a secondary activity? In that case, it is considered private room letting and is permitted without a trade license.
- Do you not live in the building yourself and would like to offer even minor services? Then private room letting requires a trade license, either as a free hospitality business with fewer than ten beds or as a regulated hospitality business with more than ten beds.
- Do you want to rent out a furnished apartment without providing any services? Then this falls under simple room rental and is also permitted without a trade license.
Taxes and reporting obligations
Another important aspect of renting to tourists is the question of taxes. Do you have to pay taxes, and if so, which ones apply? Depending on the type of rental, income tax and value added tax may be relevant from a tax perspective. You are also required to register your guests and to pay a tourism levy or local tourist tax.
In addition, tourist rentals must comply with specific provincial regulations, such as the Salzburg Overnight Stay Tax Act. The applicable rules vary from one federal state to another and can be obtained from the responsible authority of the respective municipality.
Rent out a holiday apartment long term
Your decision is made: you want to rent out your apartment. However, you would still like to remain flexible and not commit to a permanent lease. Long-term rental is not an option due to minimum lease terms of at least three years.
Tourist rental also requires carefully weighing the advantages against the disadvantages:
| Advantages of tourist rental | Disadvantages of tourist rental |
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Short-term rental picks up where tourist letting ends and involves significantly less effort for you, as the furnished apartment is rented out for longer periods at a time. Tourist rentals without residence registration are only permitted for up to two months. In addition, especially for job-related relocations or temporary housing solutions, there is strong demand for apartments available for a limited period.
Temporary renting
Short-term rental offers you a flexible and legal alternative to renting out a traditional holiday apartment. For you, this means:
- Renting out a furnished apartment legally and easily for one to six months
- No organizational effort required for a potential reclassification to tourist use
- More free time thanks to fewer tenant changes
- No trade license required
- The option to list your property on KURZZEITmiete
This information is provided as a non-binding service and is intended solely as general guidance. It does not constitute legal advice. The information made available on this website cannot replace individual advice tailored to a specific case. No liability of any kind is assumed for the content or its accuracy.
FAQ – Questions about renting out a holiday apartment
This depends on the designated use of your residential property. You can find this information in your condominium ownership agreement. It specifies whether the property may be used for residential purposes, holiday accommodation, or commercial use.
The maximum duration for tourist rental without residence registration is two months. According to the Registration Act (§ 5 para. 2), guests who stay in a holiday apartment or accommodation establishment for longer than two months are required to register a residence.
Apartments can be rented for a period of one month up to six months.