Austria were unlucky to not come away with a point against Germany after a hardworking performance saw them miss several opportunities to grab a draw after going 2-0 down to goals from Marco Reus and Mesut Ozil.
However, Lows felt that all that Die Mannschaft were lacking was better finishing up front despite them being on the back foot against a determined Austria side.
"We had the chances to make it 3-0, which we should have done," he said.
"They showed a lot of energy but they tired after an hour or 70 minutes and we should have got the third goal and that would have been that.
"Instead, we let them come at us and committed too many mistakes."
Low admitted he was not surprised by Austria's strength, or their doggedness in what he described as "the biggest game they can have".
He told Germany's ARD television: "I don't think there is one game in which Austria want to win more than against Germany.
"This makes them so motivated. We lacked self-assurance and got nervous and we did not deal with that very well."
"We made a lot of mistakes. Every one of Austria's chances was caused by one of our mistakes," he explained.
"We allowed Austria to get back into the match during the final four minutes."
Austria were left frustrated at the final whistle given the number of opportunities they wasted.
Marko Arnautovic missed the best chance in the dying moments of the game, but he received support from his team-mate Martin Harnik.
"I reminded him that he set up our goal well and had played a good game and it could just happen to anybody" said the Stuttgart striker, "It's deja-vu from last year - we really had to win.
"Germany had maybe three chances and we had at least double so we are disappointed.
"Now we have just got to pick up the points against other nations and not Germany."