NUPPU development in which YIT has offered cooperative housing. (source: Courtesy of YIT Slovakia)
Cooperative housing was once a popular option to obtain housing in Slovakia. It disappeared after the fall of the communist regime. Now, a pilot project has shown that it may supplement the market as it is especially suitable for those people who do not qualify for a mortgage.
“The high demand confirmed our assumptions that looking for alternatives to standard financing of housing makes sense,” said Peter Dovala, director of development projects at YIT Slovakia.
Hundreds of people expressed interest in their cooperative housing project in Bratislava, launched in April.
“We were pleasantly surprised by the high level of interest,” said Dovala. “Based on our positive experience, we would like to continue with other cooperative housing projects in Slovakia.”
Mortgage not for everyone
The turbulent economic situation, especially high inflation and interest rates, coupled with strict conditions of the National Bank of Slovakia for the provision of mortgages, contributed to the lowest housing affordability in Slovakia in the last 15 years.
