PLN 1.5 billion. This is how much the communes will receive under the Government Housing Development Fund. The above financial means are non-refundable and intended for social housing.
Within the framework of the above Fund, communes will gain more possibilities to carry out housing investments, which can be used for renting. The condition to be fulfilled is that the investments are carried out with the help of specially established entities, such as Social Housing Initiatives (SIM).
Thanks to the new measures, municipalities will have conditions for financing housing. They can partially or fully cover the expenses connected with taking up shares in SIM companies. The above will allow the municipalities to build new housing units, which can be used by residents on a long-term rental basis.
What exactly is a SIM?
The Social Housing Initiative (SIM) is a company that pursues the objective of social housing. Its task is to build rental housing with moderate rents. Furthermore, SIM is authorized to acquire residential and non-residential premises to extend or convert them. This allows for the creation of new rental housing units.
Who will benefit from SIM housing?
The apartments built by SIM companies based on the funds obtained from the Government Housing Development Fund will be available to the general public, but only after fulfilling the statutory conditions. People who meet certain income criteria will be entitled to rent first. Moreover, new tenants will have to prove that they have no legal title to another unit in the same locality. The tenant may also be required to contribute to the construction costs of the apartment.
Thus, the creation of apartments built by Social Housing Initiatives will increase the availability of apartments for rent. Particularly those with moderate incomes will be privileged. The project is particularly attractive for those who do not want to be tied down by a credit commitment.
Moreover, tenants who agree to pay at least 20-25% of the construction costs of the apartment will have the opportunity to obtain ownership of the apartment. However, only after 20-30 years.
Is it more accessible?
The above solution may turn out to be more effective than the assumptions of the “Mieszkanie Plus” program proposed so far. Thanks to the Fund’s resources, communes will obtain real support which will enable them to carry out the task of social housing. Thus, a larger number of residents with differentiated income will be able to gain access to adequate housing or even acquire ownership of such premises.