Housing production will increase this year in terms of units, but not in terms of cubic meters. It has a strong emphasis on small apartment buildings in growth centers with both free-financed and government-subsidized rental housing production. The construction of detached houses has fallen to the lowest level in the history of statistics.
The construction industry RT estimates that the construction of around 27 apartments will start this year, which is three percent more than last year. There are only about 000 of these detached houses, and no growth is expected for the next year either.
The change in the production structure can be seen in the reduction of the average surface area of the apartments. While at the end of 2008, the average area of all started apartments was 130 square meters, last year the corresponding figure was 105 square meters.
According to Rakennusteollisuus RT's October housing production survey, the share of rental housing in non-profit production has risen to record levels. In total, the housing funds have increased their housing stock this year by more than 5 new rental apartments.
The consumer trade of self-financed owner-occupied housing has not picked up significantly. The number of completed new apartments for sale has decreased.
The Helsinki region's share of non-financed apartment and terraced apartment production will already rise by more than half this year. Tampere's share is the second largest, 13 percent. Also, state-subsidized rental housing production, around 8 apartments this year, is mostly aimed at southern Finland and other growth centers.
"Urbanization and immigration are constantly increasing the need for housing in growth centers. Particularly in the capital region, alarmingly few apartments are built, when you also take into account the rapidly changing refugee situation", says the chief economist of Rakennusteollisuus RT Sami Pakarinen.
"It is necessary that the measures in accordance with the government program to speed up housing construction be carried out quickly. For example, the MAL agreements concerning state and municipal land use, housing and transport must be renewed without delay and their target level must be raised considerably", CEO of Rakennusteollisuus RT Tarmo Pipatti stress.
For more information:
- CEO of Rakennusteollisuus RT, Tarmo Pipatti, tel. 040 506 5021
- RT chief economist Sami Pakarinen, tel. 050 343 4337
- RT's Director of Communications Merja Vuoripuro, tel. 040 587 2642