Romania: affordable housing for young people

An estimated 123 000 people under 35 years of age are in need of affordable dwellings in Romania. Even though they are employed, their income does not allow them to rent or buy property, and they continue to live with their parents, often in cramped conditions.

Romania social housingWith a € 175 million loan, the CEB is providing financial resources to Romania to increase its stock of affordable housing.  

The Government of Romania has given social housing high priority at the national level. Since 2001, Agentia Nationala pentru Locuinte (National Housing Agency) has been implementing special rental dwelling construction programmes targeting young persons. In 2015 the government approved the Rental Housing Construction for Young People Programme for 2016-2020 in order to provide an additional 6 990 housing units for 10 500 people. The Programme targets young workers, whose income does not allow them to buy or rent a dwelling at market prices.

Young people wishing to apply for the Programme must be under the age of 35 and employed, should not own property and their workplace must be in the same town as the apartment they will be renting.

A special scoring system has been developed to assess and prioritise the applicants. The housing units are generally one-room or two-room dwellings and comply with the minimum requirements provided for by Law.  

The fact that the workplace is the same town where the housing unit is located will contribute to the economic development of the town or county concerned, as young people represent the major share of the productive labour force. The increase in the quality of life and services in the areas concerned will, in turn, stimulate young people to participate in the economic, social, cultural, educational and political life of the community.  

Through this Programme, the new generation is encouraged to remain and work in Romania instead of migrating to other European countries. 

The CEB financing will contribute to the implementation of highly social investments and will reach a large number of beneficiaries throughout the country. Facilitating access to home ownership as well as to rental housing contributes to strengthening social cohesion and keeping young people above the poverty level.  

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