The Real Estate Association warned at the beginning of the year that a significant rise in maintenance costs threatens residents of Finnish housing companies. The consequences of Russia’s hostilities may confirm developments beyond previous estimates.
“In terms of electricity prices, the rise has been stronger than expected at the time. The situation in Ukraine and its impact on the heat market through natural gas and coal makes the assessment challenging. The risk exists, but its magnitude is difficult to assess at this stage, ”says Kiinteistöliitto’s financial and tax expert Juho Järvinen Talouselämä magazine.
The Real Estate Association estimated in January that the total maintenance costs of housing companies could be increased this year, especially by the rising price of district heating. According to an estimate at the beginning of the year, there could be an increase of up to 5% in total maintenance costs in Helsinki, which would mean an increase of about 20 euros per month for a 60-square-meter apartment. In a family apartment of about 100 square meters in a Helsinki-based apartment building company, costs of up to 30 euros could be paid.
According to Järvinen, it is assumed that costs may increase in line with previous estimates or more.
“The issue is largely community-specific. Somewhere the rise in prices may have hit even harder, especially with regard to the price of electricity. The nature of the electricity contract is very much affected. ”
The energy sources used by the local heating company also make a big difference.
“If there is significant use of natural gas and coal, the risks are greater. This is the case, for example With Helen. In many places, they have been reduced a lot. ”
Wood chips imported from Russia are also of great importance to some of Finland’s heating plants.
“Forest chips now have their own risks. If there are challenges to availability, the price will go up. ”