Ordering principle Austria. When Mr. Leitner, 42, was looking for a rental apartment for his daughter in Vienna, he noticed: Unlike in the past, he didn't have to pay an estate agent's commission. „How can that be?“ he asked himself. The answer: the ordering principle. Since July 2023, this law has regulated who pays for the costs of letting an apartment. What sounds simple at first glance has far-reaching implications for landlords, tenants and estate agents. In this article, we clarify the most important questions about the Ordering principle Austria - for legally compliant letting without cost traps.
What does the ordering principle mean in concrete terms?
The ordering principle follows a simple principle: Whoever orders, pays. This means that whoever first commissions the estate agent to broker a rental apartment must also pay the commission. In practice, this applies almost exclusively to landlords - they are usually the ones who commission the estate agent.
- Old: Tenants often paid the commission even though they had never contacted the estate agent.
- New: Only the initial client pays - usually the landlord.
Reading tip: More about the Tenancy law on oesterreich.gv.at
Since when has the buyer principle applied - and where is it regulated?
The ordering principle has been July 1, 2023 in force and was amended by the Brokerage Act Amendment Act 2023 introduced. The legal regulation can be found in §17a of the Brokerage Act.
Specialist knowledge: Circumventing transactions (e.g. fictitious contractual relationships) are not permitted and can be punished with administrative penalties.
To which properties does the ordering principle apply?
The principle applies only for rental apartments, not for:
- Real estate for sale
- Commercial properties
- Vacation apartments or short-term rentals
Important: When buying real estate, both buyers and sellers may continue to pay brokerage commissions (dual brokerage).
Observe broker obligations: Brokers are obliged to inform their clients comprehensively about the conclusion of the brokerage contract and the commission obligation. A tacit agreement is not sufficient. No commission may be charged without a verifiable initial order - this protects tenants in particular from hidden cost traps.
What impact does this have on landlords?
Since July 2023, landlords have also had to pay estate agent costs in addition to the net rent if they use an agency service. This means that
| The challenge | Improvements for landlords |
|---|---|
| Additional costs for broker commission | Better exposé, targeted tenant selection |
| Higher costs without a broker | Use sub-administration (e.g. Kroy Immobilien) |
Landlords must also bear in mind that without sound market knowledge, legally compliant contract documents and structured tenant selection, the risk of vacancies, payment defaults or legal disputes increases.
Reading tip: Avoid mistakes when renting an apartment
What will change for tenants?
For tenants, the ordering principle brings Significant financial relief:
- No broker's commission for initial commission by landlord
- More transparency in housing brokerage
Sample calculation:
| Net rent | Broker commission old | Broker commission new |
|---|---|---|
| €800 | €1,920 (2 BMM + 20% VAT) | €0 (if instructed by landlord) |
Note: According to the government, the ordering principle will save tenants up to € 50 million per year.
Are there exceptions or gray areas?
Yes, for example when:
- the tenant first commissions the estate agent to look for accommodation
In Germany, there were some attempts to circumvent this - e.g. by charging additional fees. In Austria, such models are clearly prohibited.
Tip: Always document the initial contact in writing!
Checklist for landlords - instructing an estate agent correctly
| Step | Done? |
|---|---|
| Written initial order before viewings | ☑ |
| Clear service agreement (exposé, viewing, credit check) | ☑ |
| Reference to commission in the brokerage agreement | ☑ |
| Provide documents for rental agreement | ☑ |
Key takeaways: Ordering principle for estate agents in Austria
- Since July 1, 2023, the ordering principle for rental apartments applies
- Whoever commissions the estate agent first pays the commission
- Costs rise for landlords, fall for tenants
- Documentation of the initial order is crucial
- Kroy Real Estate supports you with the implementation
Conclusion
Mr. Leitner now knows: The estate agent's costs are borne by the person who places the order first. To ensure that everything runs smoothly with your next rental, you can rely on professional support.
FAQs on the orderer principle in Austria - briefly explained
What is the ordering principle?
It states that the broker's first client pays the commission.
Who pays the commission if the tenant contacts the estate agent?
In this case, the tenant pays, as he commissioned the estate agent first.
Does the principle also apply to house purchases or businesses?
No, only for rental apartments.
What happens in the case of avoidance transactions?
These are inadmissible and punishable by law
How high is the usual broker's commission?
Up to two gross monthly rents plus 20% VAT.
