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About Estonia . . . . .

Political
situation


(1999- ... )
Parliamentary state; the six factions in Riigikogu (parliament, 101 seats) are:
Pro Patria Union (7 seats, nationalists right wing populist), Moderates (Mõõdukad, 6 seats, declared to be right, no clear policy), Reform Party (19 seats, liberals) and ResPublica party (28 seats; right-wing party)
Centre Party (28 seats), Rural parties (13 seats) .
The right-wing parties have the majority in parliament; they also are on the anti tenant position (slogan “every Estonian must be only an owner”).
Law






















Housing law, Property-reform law and rent law

Housing law (see text http://lex.andmevara.ee/cgi/aktitekst?ID=6707)

Protected rent is by law the decision of municipality. The free market rent exists in law as a chance, not a demand. There are in the law also some protective elements for tenants, who live in flats, restituted by “property reform law”.

Pre court decisions for tenant protection are theoretical up to July 2003.

Property reform law (http://lex.andmevara.ee/cgi/aktitekst?ID=5035)

was important in 1991-1997, today most of the houses are privatized. All political decisions began from this law.

"Contract" law

Was establshed on 2002, the new basic law for rentrelation.


Rent Dispute Resolution Bill from July 2003.

Privatization














Privatization of flats and houses, what were on the ownership of state, is almost finished in Estonia. The only exception is Tallinn, where there is a relatively big number (50.000 ) of rental flats, which are not considered “real estate” and which the municipality owns. Look: Additional material from IUT

Privatization of flats and houses was done through

- Restitution of property
- Vouchers

Vouchers were given to people depending on their years of work in Estonia, not in other regions during Soviet occupation time. Thus the older the person in Estonia is, the more vouchers he/she obtained.

Now the vouchers are on the market, the price is about 0.6 - 0.7 Estonian kroons per voucher year today. It was twice less some years ago. The value of one vouchers for privatizing is/was one square metre. For example a three-room apartment of 50 square metres equals to 50 voucher years.

Rent

















A fixed upper limit of rent exists in most regions of Estonia, including Tallinn. This limit no longer exists in Tartu, from the 1st of July, 2000.

Tallinn has still got fixed rents: 8 kroons per one square metre (kroons/m2 ) i.e. US$ 0,4.

The rents of Tartu are deregulated: 20 to 50 kroons/m2.

The average rent of a 4 room flat in Tallinn, not in Tartu is 1700 kroons (US$ 92), the average income of a teacher is 4000 kroons and of a nurse is 2500-3000 kroons.

The lack of rent regulation in Tartu results rent rising. Now the discussion for lower rent has started with landlords. However, most tenants fear oppose to landlords` demands.

In some areas (small villages) rent is determined by the conditions of flats (condition dependent rent).

Rent Disputes to Be Legalized in Estonia


Tenants movement. Estonian Tenants Union
(Eesti Üürnike Ühingute Liit, http://www.hot.ee/yyr )
  There are tenants´ organizations in 4 regions in Estonia: in Tartu (100.000 inhabitants), Tallinn (400.000 inhabitants: 3 different organizations), Haapsalu and Viljandi. There are also some small tenants` groups in Pärnu, Võru and Elva.

The average number of tenants in the organization of Tartu is about 700, in the organization of Tallinn more than 800. The number of tenants in organizations is not increasing due to the privatization policy in Estonia.

The major field of activities of the local tenants` unions embraces matters of legal advice.

The Tartu Tenants Union is a regularly working advisory institution from 1994.

The Estonian Tenants Union has no salaried employees. About ½ of its income comes from fees, ½ from sponsoring.

1/10 of the income of the Tartu Tenants Union comes from fees, 9/10 from sponsoring.

Additional
material
from
IUT
















Additional material: East and Central Europe; The share of the rental sector in 1990, 1994, 1998 and in 1999 (In % of the total housing stock):
  `90 `94 `98 `99
Estonia 65 56 7 nav
Latvia 64 54 51 nav
Lithuania 51 13 2,5 nav
Poland 30 25 nav nav
Romania 21 8 nav nav
Slovakia 27 26 11 8

(nav - not available)

Contact's






For contact please use our address eesti.yyrnik@mail.ee or tonukauba@hot.ee

Some pictures from IUT contacts

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