Many landlords in Austria treat a fixed-term lease as a safe harbour: there's an end date, the tenant moves out. § 29 MRG is stricter. The time limit must be observed to the letter — and a single missed written extension flips the contract to indefinite, with all the eviction barriers of § 30 MRG. These five traps are the most frequent reasons Austrian landlords find themselves locked out of their own flat for years.

Trap 1: overlooking the 3-year minimum

§ 29 Abs 1 Z 3 MRG requires a **3-year minimum** for flats within the full scope of the MRG. Shorter durations are automatically void — the contract counts as indefinite from day one. A 1- or 2-year contract gives you no protection; it only reduces your flexibility.

Exceptions: commercial premises, one- and two-family houses outside the full MRG scope, and tourist rentals. For the typical landlord of an apartment in Vienna, Graz or Linz, the 3-year rule applies in full.

Trap 2: extending verbally instead of in writing

Every fixed term and every extension must be **in writing**, with an explicit end date. A verbal "let's extend for another year" has no legal effect — as of the original end date the contract automatically becomes indefinite.

Consequence: if the tenant stays past the end date without a written extension, an indefinite lease arises automatically. From then on you can only terminate under one of the 16 serious grounds in § 30 MRG — and "I want to move in myself" is not one of them.

Trap 3: ignoring the tenant's right to terminate after 12 months

§ 29 Abs 4 MRG grants the tenant, after the **first year**, a unilateral termination right with 3 months' notice. This right cannot be excluded by contract. The tenant can leave at 12 months with 3 months' notice — despite the 3-year fixed term.

For the landlord this means the minimum term only binds you. Plan your rental yield, agency fees and investment amortisation accordingly. If the tenant exercises their right, you cannot prevent it.

Trap 4: extensions without a fresh 3-year window

An extension works like a new fixed-term contract: it must also run at least 3 years. A one-year extension is void — the contract becomes indefinite again. Written form is mandatory, with a new end date.

Practical tip: if you only want to keep the tenant for one more year, you're better off with a **mutual termination** on the original end date plus a new 3-year fixed-term, or a § 30 MRG termination for cause. A written mutual agreement is always the safest path.

Trap 5: mishandling the deposit on early move-out

If the tenant leaves under § 29 Abs 4, the deposit is settled as normal — under § 16b MRG, with a written statement and repayment within 2–4 months. Many landlords try to deduct the remaining fixed-term months "from the deposit". This is unlawful: the termination right exists precisely so the tenant is NOT bound to the full term.

Deductions are only lawful for actual damage (beyond normal wear, § 1096 ABGB), outstanding rent and unpaid operating costs — never for future rent that will no longer be collected.

How Camilia Casas documents a fixed-term contract

Camilia Casas stores contract data, extensions and all tenant communication in a cryptographically chained log. If the tenant sends their termination by WhatsApp at 18 months, it's automatically archived with SHA-256 hash and timestamp — proof that the 3-month notice was respected and the move-out was announced correctly.

At lease end you export a notarial PDF with: contract start, end date, tenant termination date, notice expiry, deposit settlement and § 16b-compliant itemised evidence. If a dispute arises about the deposit or the move-out date, your Austrian Rechtsanwalt has usable evidence from minute one — with references to § 29 MRG, § 16b MRG, § 1096 ABGB and eIDAS signature.

A fixed-term rental contract in Austria is a powerful tool — when set up correctly. § 29 MRG is strict: 3-year minimum, written form with end date, tenant's right to terminate after 12 months, written form for every extension. Small sloppiness — a forgotten extension, verbal agreements, too-short terms — turns the contract into an indefinite one with the tenant fully protected under § 30 MRG. Camilia Casas documents every contractual step and communication automatically for €9 per door per month. This guide is general information and does not replace legal advice; for your specific case consult an Austrian Rechtsanwalt.