Affordable housing: Can we learn from other countries?
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1 Affordable housing: Can we learn from other countries? Presentation by Darinka Czischke and Jen Pearce Building and Social Housing Foundation Joint Centre for Comparative Housing Research / Chartered Institute of Housing East Midlands Annual Seminar 2 July 2013
2 Social housing in the EU No unique definition Wide diversity of tenures, sizes, types of providers, allocation criteria Dominant form of provision in EU/EEA: social rental housing
3 Social housing systems in NW Europe
4 Public providers Private providers Types of social housing providers in the EU L.A. Public law bodies Private law entities (civil or business), non profit Coop Forprofit Assoc Coop Companies/societies Other Public owners Private or mixed owners AT * * * * * BE * * * DE * * DK * * * ES * * FI * * * * FR * * * IE * * * IT * * * * NL * Found PT * * NGOs * UK * * * * * *
5 Emerging trends in provision Increasing tenure segmentation (residualisation) Growing supply gap between targeted social housing and home-ownership Emergence of civil society-driven initiatives
6 Examples from Western Europe Austria: Limited-profit companies Nordic cooperative model Finland : Right to occupancy Germany: Co-housing, self-help housing, etc.
7 Austrian limited profit companies 22.5 % of primary residences in Austria Strong, continuous support for supply-side subsidy Stable housing market and modest house price rises Cost rent Facilitative land policy Structured financial arrangements Strong legislative framework Core features and social task retained throughout 1990s
8 Nordic housing cooperatives Consumer cooperative mutually owned by members, in accordance with Cooperative Principles and Values Jointly owned and democratically controlled by members: one person, one vote Alternative to traditional, municipally owned real estate management No use of municipal funds the cooperative tenancy association becomes self-sufficient Profits re-invested in the coop
9 Housing cooperatives: Sweden Members (bostadsrättsförening) formally own the right (bostadsrätt) to inhabit their apartment for an unlimited time Right can be traded on the open market One of the main forms of home ownership in the country: 17% of total housing stock in Sweden Membership of a housing cooperative generally held to be the same thing as owning (as opposed to renting)
10 Right to occupancy: Finland Loan from the Housing Fund of Finland (ARA) of 85% Purchaser pays 15% of total price Monthly charge similar to rent Same security of tenure as homeownership Non-redeemable Payment is returned after 3 months notice Can be endorsed to / inherited by child or parents living in the same household Allocation through waiting lists
11 Self-help housing involves groups of local people bringing back into use empty properties that are in limbo, awaiting decisions about their future use, or their redevelopment Self-Help Housing
12 Self-Help Housing Different models; different aims: Affordability Homelessness Employment Success factors People Property Partnership Viable finance
13 Self-Help Housing in Germany Berlin 5000 flats refurbished Leipzig Home-steading programme for empty flats Public funding Security of tenure Freiburg Factories and barracks transformed into attractive neighbourhoods Partnerships with municipalities key
14 Community Land Trusts Five central principles Community-controlled and community-owned Open democratic structure Permanently affordable housing Not for profit Long-term stewardship Range of financing models Funding Investment Low cost land
15 Champlain Housing Trust Established in Burlington, Vermont in 1984 Affordable to households on 57% of local median income 2,200 properties for rent and LCHO Resale formula to share equity Pioneers: now 200 trusts throughout the USA
16 Core elements Stable institutional and financial framework (Austrian LPC s) Meeting a wide range of objectives (Nordic coops) Flexibility (Right to occupancy) Citizen s engagement (self-help housing; CLTs)
17 Conclusions Much to be learnt from other contexts Need to think beyond traditional models of provision Need to be careful about how we transfer: recognition of context
18 World Habitat Awards International award run by BSHF on behalf of UN Habitat since 1985 Identifying good practice Guiding principles: innovation, sustainability, transfer
19 Thank you
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