Banking expert explains

House prices are galloping away from our incomes

To be able to afford a property, you have to work longer and longer.

(Bild: stock.adobe.com)

While Austrians could still afford 14 square meters of property for an average annual income in 2004, this figure has recently fallen to just 7.5 square meters, analyzes Robert Zadrazil, President of the Austrian Bankers Association. What he thinks of the government's housing package and when interest rates are likely to fall again.

"Krone": Many Austrians feel that they can no longer afford to buy property. Is that really the case?
Robert Zadrazil: If you look at the last 20 years, the average income in Austria has risen by around 65 percent, but property prices have risen by over 100 percent. In 2004, an average annual salary could still buy 14 square meters of property, but most recently it was only 7.5 square meters.