Owner-occupied homes

The majority of Finns live in owner-occupied homes, though in recent years renting has grown more popular. Fewer first homes are being bought and the average age of first-time home buyers has risen. However, most of the people in the younger generations would also still prefer to own their home. 

The state supports purchases of dwellings for personal use by making deficiency guarantees available. There is a specific home savings scheme geared to first-time home buyers (ASP). The legislation governing government guarantees for ASP loans and housing loans has been revised and will enter into force in June 2026. The revision will make the legislation easier to understand, more flexible for borrowers and simpler for banks to apply.

First home savings pathway (ASP) for first-time home buyers

The first home savings pathway (ASP) is designed to encourage targeted saving and enhance the potential for buying a first home. Under current legislation  , a first home savings account may be opened by anyone aged 18–44 who has not previously owned a home. Persons aged 15 and over may also open such an account subject to certain conditions. Based on the deposits made into the account, the account holder may be granted an ASP loan, which is an interest subsidy loan and, when necessary, a government guarantee free of charge. 

Further information on how ASP works, contact the State Treasury

State Treasury tel. +358 295 502 248, [email protected]

Government guarantee for housing loan

A central government guarantee may be issued for a loan granted for the purpose of purchasing an owner-occupied apartment or building a single-family house. The bank issues the guarantee in connection with the decision to grant the housing loan, and the guarantee is subject to a guarantee fee. However, no guarantee fee is collected on home savers bonus (ASP) loans.

Further information

State Treasury tel. +358 295 502 248, asp(at)valtiokonttori.fi

Central government guarantee for renovation to limited liability housing companies 

Loans taken out to buy an owner-occupied home or to build a single-family home may be eligible for a government guarantee. The primary collateral on the housing loan is usually the home to be purchased, while the government guarantee serves as a deficiency guarantee. The government guarantee is issued by the lending bank in the context of making the housing loan decision, and the guarantee is subject to a fee. No fee is charged for ASP loans, however.

  • Act on Government Guarantees for Owner-Occupied Housing Loans | finlex.fi 
  • Decree on the Amount of the Guarantee Fee for Owner-Occupied Housing Loans 605/1999 | finlex.fi 

The revised legislation will enter into force on 1 June 2026

  • Finlex: Act on Government Guarantees for Housing Loans
  • Finlex: Government Decree on the Guarantee Fee for Housing Loans