The Freedom Party, who campaigned on concerns of mass migration, had 31% - an increase of about 5%.
The result means the Social Democrats can continue to govern in coalition.
It is expected that the Green Party - which polled about 12% - will remain the Social Democrats` coalition partner in the new Vienna city government.
The Social Democrats have ruled the capital since 1945.
But the far right Freedom Party looks set to claim its strongest result yet, capitalising on fears about migrants and the economy, the BBC`s Bethany Bell in Vienna reports.
Tens of thousands of migrants, heading for Germany, have passed through Vienna in recent weeks, our correspondent says. About 5% of them have applied for asylum in Austria.
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