Salzburg

Investment summary

Salzburg's residential property market corrected through 2023–2024, with apartment prices declining modestly (-1.2% in 2024) following years of double-digit gains, before returning to positive growth (+2.6% nationally in 2025). At a city-wide average of approximately €5,700/m² for apartments — with prime Altstadt locations commanding up to €14,000/m² — the baseline entry point is high, but underpinned by chronic housing scarcity, a structurally tourism-driven economy, and one of the lowest crime rates in Europe. Gross yields are realistic at 3.5–4.0% for long-term rentals, rising toward 5–6% for well-managed short-term rentals benefiting from a dual summer/winter season (Airbtics median revenue ~€43,000/year at 76% STR occupancy). The upside case rests on Salzburg's irreplaceable UNESCO brand, the Festival's global draw, Ski Amadé proximity, improving transaction volumes (+8.6% in 2024), and a rate-cut environment that is gradually restoring buyer appetite — positioning quality city-centre and alpine-access assets for renewed capital appreciation.