Rental housing in city centers and residential areas continues to be popular − Most rental households are one- or two-member
SATO Oyj
Press release on December 8, 2022 at 11:00 a.m
The most popular residential areas can be found in growth center areas and areas close to the city center. Every third SATO tenant lives alone.
At the end of October, Statistics Finland published data on apartment types in Finland*, and two trends emerged from the statistics: the number of both those renting an apartment and those living alone is increasing. These trends can also be seen in the data collected by SATO**, one of the largest providers of rental apartments in Finland.
Population growth continues in the capital region, Tampere and Turku, and already almost half of the households in these cities live in rented accommodation. There are several reasons behind the popularity of renting an apartment in growth centers, including the change in demographics, the uncertainty of working life and the price development of owner-occupied apartments: Outside the growth centers, the real prices of apartments are falling, which makes the acquisition. owner-occupied housing in the growth center is even more challenging for those coming from those areas. The attitude towards home ownership has also changed. The current economic uncertainty and higher consumer prices and interest rates are also partially reflected in the increase in demand for rental apartments.
“Many apartment seekers are currently worried about rising energy prices and interest rates, and in an uncertain economic situation, renting an apartment from a reliable rental apartment provider is really a safe option, because tenants don’t have to worry about price pressure. in the same way as apartment owners, says SATO’s commercial director Janne Ojalehto.
“Although the competition for tenants is still tight between providers of rental apartments, there is a demand for rental apartments with good public transport connections, especially metro and train lines, and which are located close to services. Especially in the capital region, plenty of new apartments have been built in recent years, so tenants currently have plenty of choice. For example, there are excellent opportunities to find just the right home in the Länsimetro areas,” says Ojalehto.
Most rental households have one or two members
About 80% of Helsinki residents already live in households of 1-2 people*** and the share of small households continues to grow. The increasing prevalence of small households and living alone can also be seen in the data collected by SATO, where about two-thirds of the company’s 50,000 residents live in either one- or two-person households. A third of households are families or joint households with at least three members.
“Those who live alone change or at least consider changing their rental apartment more easily than families. More than 60% of our applicants apply for housing on their own. However, family apartments are also in high demand, and families are looking for apartments especially outside the city center, where the apartments are often larger and the rents are lower, says Ojalehto.
Household sizes vary by region. Every third of SATO’s residents lives alone. According to SATO’s data, the smallest households are located in the center of Helsinki in Töölö and Kaivopuisto-Ullanlinna, where there are more people living alone than the average in the region. Espoo’s Kauklahti, Kauniainen, Helsinki’s Jollas and Espoo’s Laajalahti are also areas where more single people live in SATO homes than the average in the region.
In the capital region, families and larger households can be found in the Puistola-Heikinlaakso, Itäkeskus and Malmi areas of North and East Helsinki, as well as in Länsi-Pasila, where SATO’s data also shows some joint households with several adults, i.e. those who share a home. In Espoo, families can be found in Espoonlahti, Lintuvaara and Leppävaara, as well as in Vantaa, Myyrmäki and Hakunila.
“The most popular residential areas vary according to the current supply of rental apartments. However, there is enough demand for apartments in the city center as well as for apartments located in other areas,” says Ojalehto.
Most popular sphere in the capital region
1. Vallila
2. Ferry Island
3. Pasila
4. Myllypuro
5. Fish port
6. Birch village
7. Kurkimäki
8. Oulunkylä
9. North Hague
10. The city of studs
Most popular residential sphere in Tampere
1. Kaleva
2. Mountain
3. Lielahti
The most popular residential areas in Turku
1. City center
2. To cup
3. Porta
Number of rental apartment applications in relation to apartments available for rent, situation in November 2022, source: SATO’s customer and real estate information system
Sources:
* Statistics Finland, apartments and living conditions https://stat.fi/fi/julkaisu/cktcn27io352g0b62f6u4sky0
** SATO’s customer and property information system, November 2022
*** Statistics, apartments and living in Helsinki https://asuminenhelsingissa.fi/fi/content/type of apartments-m%C3%A4%C3%A4r%C3%A4
For media inquiries, please contact:
SATO Oyj, Janne Ojalehto, Sales Director, tel. 050 500 4310
[email protected]
SATO Oyj is an expert in sustainable rental housing and one of the largest rental housing providers in Finland. SATO owns approximately 25,000 rental apartments in the capital region. Tampere and Turku.
SATO’s goal is to offer an excellent customer experience and a comprehensive selection of rental apartment options in cities with good public transport connections and services. We promote sustainable development and operate in open interaction with our stakeholders. SATO invests profitably, sustainably and long-term. We increase the value of our assets with investments, sales and repairs.
SATO Group’s turnover in 2021 was EUR 298.3 million, operating profit EUR 304.5 million and profit before taxes EUR 259.4 million. The value of SATO’s investment properties is approximately EUR 5 billion. www.sato.fi