Given the rise in interest rates for the euro area, economists note that individuals, either due to lower creditworthiness or the fear of high financing costs, are opting not to buy real estate but rather to prefer renting it. According to banking statistics, lending to the population is on the decline. A similar trend is being observed in major European cities, where individuals are increasingly opting to rent apartments as a solution to the housing issue. Does this trend also manifest in Slovenia?
If you are considering renting an apartment, we can assist you by providing an overview of rents by region/largest city.
In Ljubljana, rents are approximately EUR 990 for a 2-room apartment of 60 m2, equating to EUR 16.5/m2. In the suburbs of Ljubljana, rents for apartments with an approximate size of 76 m2 are slightly lower, around EUR 821, or EUR 10.8/m2.
In Upper Carniola, rents for a 2-room apartment of 53 m2 are around EUR 594, or EUR 11.2/m2. It should be noted here that the estimate does not include apartments in Kranjska Gora, as the advertised prices there are notably higher and range between EUR 1,000 and 1,800 for apartments up to 70 m2 in size. The scarcity of apartments in this area drives prices up. The most affordable rents are found in Jesenice.
Maribor and Celje
In Maribor, the average rent for a 2-room apartment of 60 m2 is approximately EUR 628, or about EUR 10.5/m2. In Celje, rents are slightly lower, amounting to around EUR 623, which is EUR 9.7/m2.
On the Coast, the highest advertised rents in Slovenia average around EUR 1,202 for a 70 m2 apartment, translating to EUR 17.2/m2.
In Mura Region, rents are the lowest, averaging around EUR 478 for an apartment of 64.5 m2, which equates to EUR 7.4/m2. According to the analysis, this represents the most affordable apartment prices in Slovenia.
Rental Market Trends:
- – Housing Shortage: All the discussed regions face a housing shortage, leading to an increase in rental prices.
- – Long-term Rentals: Tenants seeking apartments for extended periods are inclined to sign rental contracts lasting more than a year.
- – Quarterly or Semi-annual Rent Payments: In Carinthia, it’s common for rents to be paid quarterly or semi-annually.
- – Occupancy Limits: Some regions impose limits on the number of occupants in an apartment. Exceeding this limit requires the owner’s consent.
- – Owner’s Consent for Significant Changes: Obtaining the owner’s approval is necessary for significant apartment changes, such as renovations or rearrangements.
- – The rental market in Slovenia reflects a trend of growing numbers of tenants choosing to rent apartments due to elevated financing costs and reduced creditworthiness. The scarcity of housing in most areas of Slovenia is pushing rental prices higher.
Prior to finalizing a rental agreement, it’s essential for tenants to familiarize themselves with the rights and obligations outlined in the Housing Act and carefully review the rental agreement.
You are cordially invited to a consultation regarding the potential rental or rental of the property.