The parties agree on rent levels for 2024

The public housing company Bostäder i Borås and Hyresgästföreningen have agreed on an average rent increase of 5.25% for 2024. Because the parties reached an agreement in time, the increase will appear on the rent invoice for February's rent. There will therefore be no retroactive increase, which could have happened if the agreement had dragged on.

- We fully understand that the economic situation is tough right now, says Madelen Svensson, head of finance at Bostäder i Borås. We aim for a fair balance in how much of our cost increases tenants should help carry. In total our cost increases are just over 12%, which means that most of the increase stays with us. But a reasonable rent adjustment is needed every year if we are to keep investing in sustainable maintenance and run a working management service for our tenants

The negotiations were based on the three-party agreement between Hyresgästföreningen, Fastighetsägarna and Sveriges Allmännytta. The aim of that agreement is to keep rent levels reasonable while taking account of the actual cost increases and the needs of both tenants and property owners. The model means that tariff-based charges, management and maintenance, interest costs, GDP and inflation over a three-year period are all taken into account when the rent is set.

- Rental income is our only income, since as an independent company we are not funded by tax revenue, says Madelen Svensson. That is why it is important that rents follow the wider economic development nationally and locally. In the rent negotiations our aim has been to act in our tenants' interest, while managing the company's finances responsibly.

Work is now under way to distribute the rent adjustments across the different properties. The adjusted rent levels take effect on 1 February 2024.