Search results: Office Space  

Ukraine Plans Major Housing Reform: New Rules for Apartments and Homes Under Consideration

Ukraine is preparing a large-scale overhaul of its housing policy that could significantly change the rules governing apartments and residential buildings. Lawmakers are set to consider in the second reading a government-backed bill, No. 12377, titled “On the Fundamental Principles of Housing Policy”, which aims to address long-standing issues in the housing sector.

The proposed reform focuses not only on modernizing the country’s aging housing stock but also on launching a structured social rental market. This initiative is expected to provide Ukrainians with access to affordable housing without the immediate need to purchase property — a critical step amid ongoing economic and wartime challenges.

Social housing fund to replace long waiting lists

According to Olena Shuliak, head of the parliamentary committee responsible for regional development and urban planning, the draft law is designed to tackle chronic housing waiting lists and the growing number of unfinished residential projects across Ukraine.

A cornerstone of the reform is the creation of a National Social Housing Fund, through which residential properties would be allocated on a temporary basis in two key formats:

• social rental housing, where rent payments would not exceed 25–30% of a household’s total income;

• service housing for designated categories of workers.

The fund is expected to be replenished primarily through residential properties currently owned by the state and local communities. Before this, authorities plan to conduct a comprehensive inventory, with special attention given to unfinished buildings — hundreds of which remain across the country.

Rent-to-own model introduced for social housing

The draft legislation also proposes a new housing mechanism — rent with the option to purchase. This model would apply exclusively to tenants of social housing who have lived in the property for at least 10 years.

Under the proposal, monthly rental payments made over the decade would be credited toward the purchase price of the apartment or house. Once the rental term expires, tenants would be able to acquire full ownership of the property.

However, the buyout price would be set no lower than the cost of constructing new social housing. In practice, this means residents of older buildings would pay a price comparable to that of newly built properties.

Why the government supports this approach

Lawmakers argue that proceeds from housing buyouts would be directed into a dedicated fund used to finance the construction of new social housing units. In this way, tenants purchasing their own homes would simultaneously help expand access to affordable housing for others.

Officials believe this model could establish a self-sustaining social housing system in Ukraine, gradually addressing housing shortages while offering long-term stability for renters.