Austrian residential construction showed a clear recovery in the third quarter of 2025, driven by a sharp rise in approvals for single-family and two-family homes. According to data from Statistics Austria analysed by Branchenradar Marktanalyse, approvals for new residential units increased by 23.1% year-on-year in the first three quarters, with a particularly strong gain of 42.3% in the third quarter alone.
© Kwangmoo | Dreamstime
Growth was uneven across segments. While private home building regained momentum, multi-storey residential construction remained subdued. Between January and September, permits for apartments rose by only 1.7%, reflecting a 16.6% decline in the third quarter as housing associations and developers continued to act cautiously. Most federal states recorded fewer approvals than a year earlier, with weakness concentrated in Vienna, Lower Austria and Carinthia.
Despite these disparities, the full-year outlook remains positive. Branchenradar forecasts 23,970 approved units in new multi-family buildings for 2025, up 6.2% year-on-year. Approvals for single-family and two-family homes are expected to rise by 30% to around 12,100 units, with growth projected across all federal states.
Source: www.moebelmarkt.de
