I'm from there, but part of the reason why I keep coming back is cause its affordable to rent, even in the hip districts (600-700 EUR for 1br) + a great city to live + good bunch of startups + cheap for flying in/out. Prague is similar.
Also heard great things about Sofia, but haven't lived there (yet). And Berlin is of course a good option as well.
I suppose that during the winter pogroms over them are not out of the question. Actually we had just today a national beaten almost to dead because he is of the Turkish minority and the skinheads mistook him for immigrant.
The situation is not nice.
I am now living in Chania, Greece and it's quite cheap to live, has a beautiful old town, nice beaches and fantastic mountains around. The only drawbacks are that there is only a small Linux user group, but the next hacker space is about 3 hours by bus in Iraklio and that it's only cheap as long as you don't have too pay to much taxes.
In my head I compare Vienna with London and the US (SF/NYC/etc) which are 2-3x as expensive, plus healthcare is worse.
Budapest is quite nice too, strong expat community, strong programmers and generally nice people. Bitch of a language though, very contrived.