State-supported rental housing
- the key to affordability and mobility
Market factors & demand gap
Dominance of owner occupied housing (93%)
Insufficient institutional rental stock
Urban migration driving demand
Limited land
& slow permitting process
Lack of housing
Low accessibility for young people
High prices and rising interest rates
Government Ecosystem & Support
Legal Framework
Minimal 25-year legal certainty with indemnity
System structure
Affordable, transparent, simple
Collaboration
State-run booking portal allocates tenants
Employers support rent via tax-free contributions
Stakeholders of state-supported rental housing
Employer
-
increased labour mobility,
-
increase of employer attractiveness and employers´ contributions
-
stable employment – new labour force
Tenant
-
high-quality, affordable and long-term housing
-
regulated rent significantly lower than the cost of mortgage (mortgage payments)
-
employers´ contributions
Investor
-
stabile legal framework
-
long-term investments
-
long-term income (predictable yields)
State
-
implementation of state social policy
-
increased labour mobility
-
employment growth
-
massive construction of rental housing within a short time
-
positive impact on the state budget
Benefits for Slovakia
Increasing the supply and availability of rental housing - a new segment.
New investment opportunities - involvement of multinational financial institutions with experience in rental housing.
Support and creation of new jobs - short term during construction and long term during operation (over 25 years).