The other main source of rental properties is through house or apartment owners who let their own properties out or those who have their name on the lease.
Increasingly Sweden is moving towards a market-based rentals but the roots lie within a very controlled situation. There was a time when the majority of apartments were rental contracts and the price atttached to them was based on the size and ammenities rather than the location. That has however changed dramatically, especially in the big cities, and a DN article in May 2008
stated that owner-occupancy (bostadsrätter) has increased by 41% since 1990.
Renting a owner-occupancy apartment (bostadsrätt)
The owner must have the permission of the management committee of the block in order to rent out their apartment. Some tenants associations are more lenient that others but often the owner (landlord) is only allowed to let out their property for a limited period of time.
Renting from a lease-holder (hyressrätt)
The lease-holder must have the permission from the housing corporation in order to rent out their apartment. Some are more lenient that others but often the owner (landlord) is only allowed to let out their property for a limited period of time and usually has to have a valid excuse. Smaller property owners will often not agree to sub-leasing apartments.
Legal implications
The renting of property is heavily controlled by the law, in favour of the leasee, in order to protect them. Landlords are not allowed to charge what is reasonable. It is possible to calculate what they are likely to be paying in mortgage repayments and monthly charges. They are also allowed some buffer to cover their own costs but if they charge their tenant a lot more than this – clearly renting for profit - the tenant can appeal to have the rent reduced. This means that most people do not rent out apartments for profit but for convenience – while they are away short term, waiting for the right time to sell and so on. The downside for a tenant is that this offers little long-term security and many tenants end up bouncing around from apartment to apartment every six months.
There are some properties which are only available for lease to a company – the landlord gets extra security. If you are moving with your company or already have a job arranged, it is worth negotiating to see if they will pay your rent directly and then deduct it from your pay. This will open up more housing options – and possibly the most desirable ones.