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SATO has looked into this – this is where the rental market is heating up

SATO Corporation, Press Release June 13, 2024 at 1:40 PM

The busiest season of the Finnish rental market has begun, with a peak in July. Summer rental seasons vary by region, with rental peaks concentrated in major cities, where regional differences can be significant. It’s not just students who are on the road during the summer, SATO reports.

Data collected over several years by SATO, one of Finland’s largest housing providers, shows that in Turku a busy rental season typically starts in early June. In mid-June the wave reaches the center of Helsinki and Tampere. In these three popular rental market areas, demand for housing will remain high until the end of August.

“June is an ideal time to confirm a rental decision, as the best options can unfortunately slip away during the July high season, especially in the most popular areas. In general, however, it is a renter’s market at the moment,” he recalls. Laura LaamanenSATO Chief Commercial Officer.

Significant variation within Helsinki

Interestingly, regional differences, especially within the Helsinki Metropolitan Area (HMA), are significant. For example, in the Metro Espoo, West Helsinki and East Helsinki areas, only a slight peak in demand for rental apartments is observed during the summer, while in the Rail Espoo area there is virtually no high season. In West Vantaa there is only a short summer season in July.

“There are several reasons for these regional differences. The proximity to workplaces and facilities, as well as good public transport connections, remain important attractions for students and other young apartment seekers who are prominently on the road during the summer months,” says Laamanen.

Students and young employees on the road during the summer

Summer means new beginnings for many, whether it’s a new place to study or a new job. It is also a time when thinking about and implementing life changes comes more naturally than during the dark winter months. Additionally, school holidays allow families to move more smoothly, allowing children to adjust to their new surroundings before the next school year begins.

As at other times of the year, employees make up the largest group of applicants during the summer. In July, the share of student applicants increases significantly, up to a third. It’s also worth noting that during the summer, employee and professional applicants tend to be a few years younger than at other times. For example, employees looking for a rental home in July are on average five years younger than outside the high season.

“The effects of changes in housing benefit are not yet clearly visible, but could manifest themselves over time as greater demand for smaller and more affordable apartments or an increase in the number of people changing apartments,” notes Laamanen , adding that renting provides stability. and predictability of expenses, especially for those just starting their independent lives: “There are no unexpected expenses like with home ownership, for example when heating is included in the rent.”

Good transport links, services and maritime locations are always attractive

The location of a rental apartment is one of the most important criteria for applicants. All year round, locations near good public transport connections and amenities are always interesting for people looking for a rental property. In the HMA, rental apartments located along the metro and railway lines are always in demand. By the end of 2024, SATO will deliver 156 new rental properties in Finnoo, Espoo. The maritime residential area is conveniently located along the Länsimetro metro line.

“About a thousand apartments have already been completed for residents in the area, and housing for another two thousand apartments is currently under construction. In addition, rental properties can be found in the eastern districts of Helsinki that offer closeness to nature, a maritime atmosphere and easy access to the metro. such as Vuosaari and Puotila,” Laamanen hints.

For more information please contact
Laura Laamanen, Chief Commercial Officer, SATO Corporation
P. +358 201 34 4360, [email protected]

SATO Corporation is an expert in sustainable rental housing and one of the largest rental housing providers in Finland. SATO owns more than 25,000 rental properties in the Helsinki, Tampere and Turku metropolitan areas.

SATO is committed to providing an excellent customer experience and a comprehensive range of urban rental housing alternatives with good access to public transport and services. We promote sustainable development and work in open interaction with our stakeholders.

SATO invests profitably, sustainably and with a long-term vision. We increase the value of our assets through investments, divestments and repairs. www.sato.fi/en.