The proposal was accepted by the city back in 2021 and it took one year to set up

Salzburg’s new rental deposit aid casts a wide net on low-income households

Salzburg’s new rental deposit aid casts a wide net on low-income households

The fund will be open to everyone in the city: Austrians, EU citizens, refugees and parents who are minors

Local authorities in Salzburg announced that applications for the new deposit fund can start coming in from 1 March. The deposit fund aims at financing low-income households when they are trying to rent an apartment, softening the initial financial burden of a deposit.

The city will foot up to 50% of the deposit if the amount doesn't exceed 1,000 euros. This will take the form of a no-interest loan, which can be repaid in the span of 36 months. Furthermore, households will be eligible for aid regardless of the type of property they have set their sights on, whether it is commercial, private or public.

A heavy load for low-income households

The deposit can often be the biggest hurdle for low-income households when they have to change their rental accommodations. This is what local authorities are trying to mitigate by setting up the deposit fund.

Though the scope of financial aid is fairly limited, it will no doubt have a significant impact on the conditions of many people, as the requirements for applying are quite broad.

First of all, the property has to be in Salzburg and second, the funds have to go towards paying a valid rental offer. At the same time, applicants need to be over the age of 18, except in the cases of parents who are minors and share a household with their child.

In addition to Austrians, European Economic Area and Swiss citizens are also eligible for the aid, as long as they have a permanent residence certificate. The same goes for third-country residents and refugees who have been granted asylum in the country.

Finally, the household monthly net income for the past three months needs to be below a certain threshold. For example, a couple’s net income must be below 2,100 euros per month.

A year in the making

The deposit aid scheme was approved back in February 2021, however, it took local authorities a year to put it all together. According to City Councillor for Social Affairs, Anja Hagenauer, this is because authorities had to amend city laws and only the State of Salzburg has the authority to do that.

She explained that daily life is becoming more and more expensive and unplanned expenses can be difficult for many citizens. This is why authorities want to cast a wider net and help to improve housing conditions for as many people as possible.



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