Understanding Housing Maintenance Costs in Finland: A Detailed Guide

The cost of housing maintenance in Finland varies significantly depending on the location. There are substantial differences in electricity, water, and waste disposal tariffs, as well as property taxes, according to a study by Omakotiliitto, as reported by Helsinki Times.

The new report compares municipal housing costs in 100 cities, covering 84% of Finland's population. Analysts evaluated expenses for maintaining a 120 sq. m private house with electric heating and a 1000 sq. m plot. The national average cost is €5,836 per year, with the highest expenses reported in Nurmijärvi (€6,986). Other expensive municipalities include Lempäälä, Ylöjärvi, Sastamala, Asikkala, Laukaa, and Parikkala.

The lowest utility costs are in Seinäjoki, where housing expenses amount to €4,554 per year. Other affordable municipalities include Pietarsaari, Kauhava, Turku, Forssa, Kittilä, and Kokkola. The price difference between the most and least expensive municipalities is €2,432, slightly lower than the previous year's gap (€2,607).

Electricity Prices and Regional Differences

The main reason for the high costs in Nurmijärvi is the higher electricity price—€0.2023 per kWh. In Seinäjoki, the price is significantly lower at €0.0901, while the national average is €0.1374 per kWh.

According to Omakotiliitto’s Executive Director Marju Silander, electricity prices have dropped by an average of 14% compared to last year, providing some relief for consumers. However, water service charges have increased more than any other housing-related expenses due to the need for infrastructure investments.

Some municipalities, such as Rantasalmi, have seen an 80.5% increase in water prices over the past seven years, while Raisio has recorded an 11.6% decrease in the same period. The highest annual water costs are in Parikkala (€1,686), while Kempele has the lowest (€579).

A new legislative reform is expected to affect water management in Finland. Under this reform, municipal utility companies will be required to publish investment plans detailing future network improvements. Experts recommend that local homeowners’ associations discuss upcoming infrastructure projects with municipal authorities to understand their impact on water pricing.

Waste Disposal Costs & Trends

Waste collection expenses have not increased as sharply as last year when the introduction of mandatory bio-waste collection caused a significant rise in prices. However, some municipalities have seen major changes.

For example, Kauhajoki significantly increased bio-waste collection fees, leading to a 62% rise in total waste disposal costs. Meanwhile, Mikkeli managed to reduce waste collection expenses by 32%.

The highest waste collection fees are in Raahe (€609 per year)
The lowest rates are in the Tampere region, including Kangasala, Lempäälä, Nokia, Pirkkala, and Tampere (€223 per year)

Property Market Recovery & Trends

According to Global Property Guide, housing prices across Finland appear to have bottomed out, with early signs of cautious recovery by the end of 2024 (source).



Data from Statistics Finland shows that in Q4 2024:
- Resale housing prices averaged €2,609 per sq. m, up 0.58% from Q4 2023 in nominal terms, but down 0.35% when adjusted for inflation.
- New apartment prices averaged €4,954 per sq. m, reflecting +2.46% in nominal terms and +1.52% after inflation adjustments.

However, Pellervo Economic Research Institute (PTT) warns that new housing price statistics may not fully reflect real market conditions due to low transaction volumes and aggressive marketing strategies by developers aiming to counter declining demand.

Apartment prices are increasing at a faster rate than townhouses. On a regional level, Greater Helsinki continues to lag behind the rest of the country, showing stagnation or negative year-over-year growth in both apartment and townhouse segments.

Future Housing Market Outlook

The ongoing economic recovery is expected to support demand and ease the slowdown in construction, which has been affected by a growing number of unsold properties. Gradual housing price growth is anticipated, driven by:
✔ Lower interest rates
✔ Rising household incomes

At the same time, experts emphasize the high maintenance costs associated with owning property in Finland. Comparing utility rates across municipalities can help homebuyers and homeowners make informed decisions about the best places to live.