Right-of-occupancy housing

Right-of-occupancy housing is an alternative for renting and owning a home. To have access to right-of-occupancy housing, a contract for this must be concluded and a certain part of the purchase price of the dwelling must be paid. After that, management fees are paid during the occupancy period. The dwelling cannot be bought, but the resident has a permanent right to live in it.

With a few exceptions, right-of-occupancy dwellings are financed with state support in the form of state-subsidised housing loans or interest subsidy loans.
Information on right-of-occupancy housing is available at the Housing Finance and Development Centre of Finland Ara (in Finnish). 

• Guidance on right-of-occupancy housing at Ara’s website | ohjeet.aso.fi (in Finnish) 

Main principles of right-of-occupancy housing

Right-of-occupancy dwellings are available in the largest cities and municipalities. The dwellings are produced by means of state subsidies and owned by municipalities, non-profit organisations and right-of-occupancy housing associations.

• The dwellings cannot be bought. The holder of the right-of-occupancy can give up the right or the right can be transferred to another dwelling.
• The owner of the building cannot terminate the contract for right-of-occupancy housing.
• When a contract is concluded, a right-of-occupancy fee is paid, after which the holder of the right pays a monthly management fee.
• The management fees of right-of-occupancy dwellings are adjusted by the right-of-occupancy housing company and used to cover the financing and management costs of the buildings. 
• A maximum limit has been set for the wealth of an applicant for a right-of-occupancy dwelling funded by a state loan or interest subsidy who is under 55 years of age. The selection of residents to buildings funded from other sources is decided by the owner of the building.
• Right-of-occupancy dwellings must be used as one’s own or the families’ permanent residence. However, if living temporarily in another location for work or study, the dwelling can be handed over to another party for up to two years.
• The owner of the building is responsible for the maintenance of the dwelling. Any alterations by the resident must be agreed with the owner. 
• Right-of-Occupancy Housing Act (393/2021; in Finnish)