Rent and Rental Agreements in Austria: Fixed Terms and Notice

If you rent a home in Austria, it matters whether your agreement is fixed-term or open-ended and which law applies to the property. These factors determine when and how quickly you can end the tenancy, and when the landlord may terminate it. This article summarises the basic rules applicable in 2026.

Key points

• For fixed-term residential leases covered by the Mietrechtsgesetz (MRG), the minimum term is 5 years, or 3 years where the landlord is a private individual.
• As a tenant, you can generally terminate a fixed-term agreement after the first year with 3 months' notice, effective at the end of a month. The earliest possible end date is the end of the 16th month.
• For an open-ended agreement, the notice period is generally 1 month, effective at the end of a month.
• An unsigned, informal email is not a valid termination notice.
• A landlord may terminate only for an important reason recognised by law.

Which rules apply to your home?

The Austrian rental law, the Mietrechtsgesetz (MRG), does not apply in the same way to every property. There are three main categories:

• Full application (Vollanwendungsbereich): typically a building with at least 3 self-contained units, built before 9 May 1945, not completely renovated and not held as condominium property. Rent restrictions and protection against termination apply.
• Partial application (Teilanwendungsbereich): typically an unsubsidised newly built property or a condominium apartment. There is no rent limit, but protection against termination applies.
• Exemption from the MRG: typically a building with no more than 2 self-contained apartments, where the agreement was concluded after 31 December 2001 and the owner or a close relative of the owner is the landlord. Only general civil law under the ABGB applies.

Before signing, you can ask an independent advice organisation to clarify which category applies to the tenancy.

What does the rent include?

The rent, or Mietzins, is generally paid monthly in advance. It commonly consists of:

• the net rent (Nettomietzins), which depends on the category of the apartment, the age of the building and other rules;
• the tenant's proportionate share of communal costs and public charges (Betriebskosten), such as waste collection, water and cleaning;
• where applicable, the cost of shared facilities such as a lift or central heating;
• where applicable, charges for rented items such as furniture or a washing machine;
• VAT: 10 percent on the rent, and 20 percent on furniture and heating.

You may inspect the building's complete communal-cost statement. In addition to rent, you will generally pay separately for heating, electricity, internet, the ORF fee (ORF-Beitrag) and insurance.

If the agreement provides for it, the landlord may also request an advance rent payment (Mietzinsvorauszahlung). For a property under the full application of the MRG, this must be allocated across a defined period. An advance of 3600 euros for two years means that you pay 150 euros less per month for 24 months. This is not the same as a deposit.

Fixed-term agreements: what is the minimum term?

For residential leases under the full or partial application of the MRG, the minimum fixed term (Befristung) is:

• Landlord operating as a business: 5 years.
• Landlord who is a private individual: 3 years.

There is no maximum term. The agreement may be extended any number of times, but every extension must be made in writing and the minimum term also applies to extensions.

If nobody extends or terminates the agreement when the fixed term expires, it is automatically renewed once for 5 years, or for 3 years where the landlord is a private individual. In that situation, the tenant may terminate at any time with 3 months' notice, effective at the end of a month.

These fixed-term rules apply equally to a main tenancy and a subtenancy (Untermiete).

When and how can a tenant terminate?

• Fixed-term agreement under the MRG: 3 months' notice after the first year, effective on the last day of a month.
• Open-ended agreement: generally 1 month's notice, although the agreement must be checked, usually effective on the last day of a month.
• Fixed-term agreement exempt from the MRG: as a general rule, there is no early termination right and the agreement ends when the fixed term expires.

The tenant's right to terminate a fixed-term agreement cannot be excluded or restricted. The earliest possible end date is the end of the 16th month.

For example, someone who has lived in a fixed-term rental for more than one year and wants to move out on 31 December must ensure that the termination reaches the landlord by 30 September. For an open-ended agreement with one month's notice, the equivalent deadline is 30 November.

A fixed-term agreement exempt from the MRG can be ended early only for an important reason, for example if the home is uninhabitable.

Termination is valid only if it is signed. Send the notice by registered letter with proof of delivery.

When can the landlord terminate?

Under the full and partial application of the MRG, tenants have protection against termination (Kündigungsschutz). The landlord may terminate only for a legal reason, including:

• the home is not being used;
• the entire home is being sublet, or it is being sublet at a disproportionately high rent;
• the tenant dies and there is no person entitled to enter into the tenancy;
• rent arrears continue for at least 8 days despite a formal demand for payment;
• the home is seriously neglected or the lives of other occupants are made impossible;
• the landlord, the landlord's child or grandchild has an urgent personal need (Eigenbedarf), which the court examines strictly;
• demolition has official approval and alternative accommodation is provided.

In the case of rent arrears, the termination must be rejected if the tenant pays by the end of the first-instance hearing and the delay was not caused by serious fault. The tenant must still reimburse the costs.

Common questions

Can I terminate by email?

No. An unsigned, informal email is not a valid termination notice.

What happens if a fixed term expires and nobody says anything?

Under the MRG, the agreement is automatically renewed once for 5 years or 3 years, depending on the landlord. The tenant may then terminate it at any time with 3 months' notice.

What happens if the main tenant dies?

The agreement does not end automatically. Eligible people who lived in the same household and have an urgent housing need, such as a spouse, partner, direct relative or sibling, automatically enter into the tenancy unless they notify the landlord within 14 days that they do not wish to continue.

When will the deposit be returned?

Once the landlord has confirmed that the home was returned in proper condition, the deposit must be repaid without delay. It is advisable to prepare a handover record (Übergabeprotokoll) when returning the property.

Practical steps before ending a tenancy

1. Check whether the agreement is fixed-term or open-ended.
2. Check whether the full, partial or no application of the MRG applies.
3. Read the agreement to confirm the notice period and the effective termination date.
4. Calculate the deadline by which the notice must reach the landlord, not merely the date on which it is sent.
5. Prepare a signed termination letter and send it by registered letter with proof of delivery.
6. Keep a copy of the letter and the delivery confirmation.
7. At move-out, document the condition of the home with an Übergabeprotokoll and request the deposit without delay once the return has been confirmed.

This article is based on information available online and is not legal advice. Use it at your own risk. For professional advice, contact a lawyer, legal professional or another relevant specialist.

Source: oesterreich.gv.at