Rental Tenures in Slovenia: Insights from Post-Socialist Countries

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Slovenia
 (
Serbia and Croatia
)
As. prof. Špelca Mežnar
ISSBS, Celje
spelca.meznar@mfdps.si
77 % home owners
9 % rentals
Source: SORS, 2011 (
http://www.stat.si/novica_prikazi.aspx?id=4420
)
Type
s
 of rental tenures
The 2003 Housing Act -> Article 83:
1.
Non-profit
 – 70% (6,5%)
2.
Market 
  - 20% (1,5%)
3.
Employment-based
4.
Purpos
e-based
 
                      
Source: SORS, 2011 (
http://www.stat.si/novica_prikazi.aspx?id=4420
)
2003 Housing Act (HA-1) – profit & non-profit
rentals
2001 Code of Obligations
Rules on renting non-profit apartments
Decree on the methodology of determination of
rents for non-profit housing and the criteria and
procedure for the implementation of subsidised
rents
Rules on standards for the maintenance of
apartment buildings and apartments
HA: a written contract
Market rentals: often without a contract
HA: illegal use if contract not concluded or has expired
open-ended v. limited in time
Non-profit rentals open-ended only
Market rentals: limited in time
M
inimum 
provisions
d
escription
, 
location
 and 
identification number
 
of the dwelling
communal equipment
manner of use
information on the landlord and tenant
reasons for termination
ty
pe of rental relation
mutual obligations and maintenance of the dwelling and the building
rent price
 and
 running costs 
p
eriod of tenancy
manner in which the dwelling is handed over
No state regulation of market rentals
Rent in non-profit sector -> special methodology
from the 
Decree on the methodology of
determination of rents for non-profit housing
and the criteria and procedure for the
implementation of subsidized rents 
(cca. 180
EUR for 55m²); costs are paid separately
Subsidies: for both market and non-profit (0.1-
80% of the rent)
Introduced in 2013 as an experiment:
A model of shared ownership  between the
municipality of Ljubljana and applicants (natural
persons)  -> similar conditions and requirement
as for the non-profit rentals
Applicant must find a dwelling on the market
Tenant pays 60%, MOL pays 40%
Applicant pays a monthly “compensation for use”,
amounting to a non-profit rent, for 15 years
TENANT:
at any time, in writing, 
no 
reasons
, 
90 days
termination period or
 shorter (if agreed) 
 
LANDLORD:
11 culpable reasons (not paying the rent etc) – the
reasons may be expanded by agreement
For other (non culpable reasons) – 
only if the landlord
provides tenant with an adequate appartment
Applies also to „justified“ reasons, such as
landlord‘s own need to use the apartment
Case law: the termination has to be made by a court
claim
Tenant 
– see market rentals
The landlord
:
 only due to 12 culpable reasons 
Exception: the tenant’s financial situation
deteriorated and he initialized the procedure for
obtaining either subsidy or financial help
Type
s
 of rental tenures
Market rentals
Protected tenants 
(former housing rights
owners)
 
with protected rent
Social rentals 
(poor people, war
veterans) with protected rent (State
Decree)
Pu
blic rentals 
(young families)– rent
between market and protected -
municipalities
POS programme rentals (the new rent-
to-buy sheme)
 
 
Types of rental tenures
1.
Public (social) + Housing in Supportive Environment
2.
Market
3.
“Protected” tenants
 
Consists of one multi-apartment building with
several
 
individual 
units 
and a common area
-> 
all
but 1 unit
 are allocated to households, which
need assistance with certain tasks; 1 is allocated
to a household, which is capable of assisting
others; all of them 
are 
socially endangered and
less well-off
 citizens
E.g. the members of households in need of assistance
are older, disabled, ill,
 single-parents
 IDPs, refugees,
Roma,
 etc., while the assisting household is younger
and is in a way employed by the social assistance
system
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Slovenia exhibits a unique tenure structure with a high percentage of home ownership and specific regulations governing rental tenures. The 2003 Housing Act defines various rental types, including non-profit and market-based rentals, while legislation outlines rules on contracts, rent regulation, and subsidies. Additionally, intermediary tenures introduced in 2013 experiment with shared ownership models. Explore Slovenia's rental landscape through data and legislation insights.

  • Rental Tenures
  • Slovenia
  • Post-Socialist Countries
  • Home Ownership
  • Legislation

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  1. RENTAL TENURES IN POST-SOCIALIST COUNTRIES Slovenia (Serbia and Croatia) As. prof. pelca Me nar ISSBS, Celje spelca.meznar@mfdps.si

  2. SLOVENIA TENURE STRUCTURE 77 % home owners 9 % rentals Source: SORS, 2011 (http://www.stat.si/novica_prikazi.aspx?id=4420)

  3. SLOVENIA Types of rental tenures The 2003 Housing Act -> Article 83: Non-profit 70% (6,5%) Market - 20% (1,5%) Employment-based Purpose-based 1. 2. 3. 4. Source: SORS, 2011 (http://www.stat.si/novica_prikazi.aspx?id=4420)

  4. SLOVENIA RELEVANT LEGISLATION 2003 Housing Act (HA-1) profit & non-profit rentals 2001 Code of Obligations Rules on renting non-profit apartments Decree on the methodology of determination of rents for non-profit housing and the criteria and procedure for the implementation of subsidised rents Rules on standards for the maintenance of apartment buildings and apartments

  5. CONTRACT HA: a written contract Market rentals: often without a contract HA: illegal use if contract not concluded or has expired open-ended v. limited in time Non-profit rentals open-ended only Market rentals: limited in time Minimum provisions description, location and identification number of the dwelling communal equipment manner of use information on the landlord and tenant reasons for termination type of rental relation mutual obligations and maintenance of the dwelling and the building rent price and running costs period of tenancy manner in which the dwelling is handed over

  6. RENT REGULATION, SUBSIDIES (SLOVENIA) No state regulation of market rentals Rent in non-profit sector -> special methodology from the Decree on determination of rents for non-profit housing and the criteria and implementation of subsidized rents (cca. 180 EUR for 55m ); costs are paid separately Subsidies: for both market and non-profit (0.1- 80% of the rent) the methodology of procedure for the

  7. INTERMEDIARY TENURES (SLOVENIA) Introduced in 2013 as an experiment: A model of shared ownership between the municipality of Ljubljana and applicants (natural persons) -> similar conditions and requirement as for the non-profit rentals Applicant must find a dwelling on the market Tenant pays 60%, MOL pays 40% Applicant pays a monthly compensation for use , amounting to a non-profit rent, for 15 years

  8. TERMINATION - MARKET RENTALS TENANT: at termination period or shorter (if agreed) LANDLORD: 11 culpable reasons (not paying the rent etc) the reasons may be expanded by agreement For other (non culpable reasons) only if the landlord provides tenant with an adequate appartment Applies also to justified reasons, such as landlord s own need to use the apartment Case law: the termination has to be made by a court claim any time, in writing, no reasons, 90 days

  9. TERMINATION NON-PROFIT RENTALS Tenant see market rentals The landlord: only due to 12 culpable reasons Exception: the tenant s deteriorated and he initialized the procedure for obtaining either subsidy or financial help financial situation

  10. CROATIA Types of rental tenures Market rentals Protected tenants (former housing rights owners) with protected rent Social rentals (poor people, war veterans) with protected rent (State Decree) Public rentals (young families) rent between market and protected - municipalities POS programme rentals (the new rent- to-buy sheme)

  11. SERBIA privatly owned 98% public 2%

  12. SERBIA Types of rental tenures Public (social) + Housing in Supportive Environment Market Protected tenants 1. 2. 3. owner occupied 87,5% relatives 5,8% protected tenants 1,7% market rent 5%

  13. HOUSING IN SUPPORTIVE ENVIRONMENT (SERBIA) Consists of one multi-apartment building with several individual units and a common area-> all but 1 unit are allocated to households, which need assistance with certain tasks; 1 is allocated to a household, which is capable of assisting others; all of them are socially endangered and less well-off citizens E.g. the members of households in need of assistance are older, disabled, ill, single-parents IDPs, refugees, Roma, etc., while the assisting household is younger and is in a way employed by the social assistance system

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