Explaining similar problems and evolutions in two countries with very different development paths and policies: private renting in Flanders (Belgium) and Finland

Flanders and Finland have similar shares of private renting and face many similar problems on the private rental market. More specifically the income level of renters is declining and the rent-to-income ratio for private tenants is high. In both cases tenants have a strong wish to become home owner, but only the better off can afford an own house. Future prospects for the supply side of private rental housing are however unsure and difficult to predict in both countries. It is interesting to observe similarities in two countries with a very different housing market, different housing institutions, legislation and housing policy. Flanders and Finland belong to different welfare regimes, i.e. continental corporatist and Scandinavian social democratic using Esping-Andersen’s old welfare state regime model (1990). During the ‘90s Finland has changed in more liberal direction, i.e. by total abolishment of rent regulations, at the same time preserving traits of social democratic welfare regime. Using the classification of Kemeny Flanders and Finland both have a dual rental market system. According to Kemeny housing systems can however have contrasting elements/parts, a mixture of liberal and more comprehensive welfare elements. In Finland the market rental is more liberal and social housing more universal than in Flanders. The Finnish tenure system offers also more housing tenure alternatives. The explaining factor to differences between these two countries can also be the life style, individualization, role of family and housing preferences, which differ widely. And although problems at first sight are quite similar, the development paths and directions are different. As a result of liberalization, abolishment of rent controls but also demographic and lifestyle changes and recurring recessions the private rented market in Finland has experienced renaissance since 1990 onwards. This cannot be observed in Flanders. On the contrary, the private rental market is still diminishing. In both countries survey results give a better insight in the features, future prospects, and problems and the opinions of actors in the private rental market. As well tenants as landlords were questioned concerning the characteristics of the let dwellings, paid rents, the process of selecting tenants and the relationship between tenants and landlords. In this paper we describe and discuss similarities and differences between the survey results against the background of the distinct housing markets, housing policy and housing culture in Flanders and Finland.status: publishe