Right-of-occupancy homes

Kela can pay housing allowance to households living permanently in a right-of-occupancy home located in Finland.

Recognised as housing costs for a right-of-occupancy home are the cost of financing and maintenance, i.e.:

  • maintenance charge
  • water and heating charges paid separately from the maintenance charge
  • seventy-three percent of the monthly interest paid on personal loans taken out to acquire the right of occupancy.

If water is not included in the rent but is paid separately, EUR 18 per resident is accepted as water charges.

Household size EUR per month The regions of Etelä-Savo, Pohjois-Savo and Pohjois-Karjala
EUR per month
The regions of Pohjois-Pohjanmaa, Kainuu and Lapland
EUR per month
For separately paid heating costs, the following amounts are recognised
one person 41 43 44
+ each additional person 14 15 15

Interest on housing loans is recognised only to the extent that it is paid by the household. In the case of interest-subsidised loans, for instance, Kela only recognises as housing costs the share of the interest paid by the household.

Interest payments on housing loans are recognised as housing costs only if the loan was granted by a credit institution which is under public supervision, such as

  • state government
  • municipality
  • parish
  • bank
  • insurance agency
  • credit institution Hypo
  • pension foundation
  • pension fund.