Owning a home is considered financially attractive – a sense of community increases commitment to a residential area

According to the Sustainable Urban Environments Barometer commissioned by YIT, owning a home is considered a more economically attractive option than renting. Up to 42% of the respondents considered owning a home to be an economically attractive option, while 29% were in favor of renting for financial reasons.  

Respondents’ current housing type had a strong impact on their opinion on the matter. In particular, many young adults are weighing the difference between owning and renting a home: one-third of young adults living in rented housing would prefer buying a home, while one-fifth of young people living in owner-occupied housing would like to change to rental housing. 

In general, local residents’ concerns about rising housing costs have been alleviated to some extent. Respondents’ concerns about the future repair needs of their apartment building have increased, while worries about the price of energy and rising loan interest rates have decreased. People under the age of 50, people on low income and renters are the most concerned. Nearly a third (31%) of owner-occupiers estimate that renovation costs will increase significantly in the coming years.  

“It's great to see that concerns about housing costs caused by rising interest rates have been somewhat alleviated in the cities included in the survey. However, the increase in costs is reflected in the expected renovation needs of residential buildings. The answers to the barometer’s open questions highlight the fact that new apartments are valued precisely because they offer care-free living and better manageability of costs: there are no major renovations around the corner and the apartment is clean and energy-efficient,” said Pekka Helin, Head of Customerships and Living Services at YIT. 

A sense of community increases the draw of residential areas  

According to the barometer, a sense of community plays an important role in how residents view their area. Those who know dozens of residents in their area and talk to them daily are satisfied with their residential area. Communality is typical for older age groups and families with children. On the other hand, most young adults who live alone rarely talk to the other residents in their area, and a quarter of them do not greet anyone.  

The results of the barometer show that dogs increase the sense of community in residential areas. Dogs are good at breaking the ice, especially helping young people meet other residents. Up to 60% of young people who own a dog chat daily or weekly with other residents in their neighborhood. For people without a dog, the figure is only 29%. 

"Good planning of areas and housing can also have a strong impact on the development of community in residential areas. Cozy and varied yard areas and functional shared spaces have become increasingly important, and we have invested in their design. This way, we can encourage a communal lifestyle,” said Helin.  

Relatively densely built suburbs are increasingly regarded as the best location to live in the city (49%). Two things seem to have increased the appreciation of suburbs in the metropolitan area in recent years: Good public transport connections and cycling routes receive positive feedback from suburban residents, and they also feel that residential areas are cozier than in the past. 

Visits to downtown areas decreased significantly 

Visits to the centers of major cities have decreased significantly. More than half of the suburban residents who previously visited the center of their city weekly say they now go less frequently. Five years ago, one third of the residents living in Helsinki's suburbs or in Espoo or Vantaa visited shops or services in the center of Helsinki at least weekly. The results of the barometer show that more than half of them (56%) have clearly reduced their visits to the city center. The most common reason for this is that the services offered by shopping centers outside the city center are used more often. 

In all the cities included in the survey, the features that the respondents appreciated the most in their residential area was the proximity of shops and services and good public transport connections and cycling paths, when the barometer results for the past four years were combined. The importance of good public transport connections and cycling routes in residential areas is emphasized especially in Helsinki and Tampere, while in Espoo and Vantaa, shops and services occupy the top position.  

Juha Kostiainen, YIT's Executive Vice President for Urban Development and ESG and Associate Professor of the University of Tampere, who has studied the strategic development of urban regions, is aware of the challenges faced by city centers. 

"The discussion around the centers of Finnish cities and their revitalization has been going on for a long time. We can see that especially with bold experiments and a more diverse range of events and experiences, residents can be attracted to the city centers and many of the challenges faced by city centers could be solved. While we want to use basic amenities close to our own residential areas, we are prepared to travel further for communality, encounters, and experiences. In addition, more layered urban spaces, combining services, business premises and housing, would add variety to the cityscape and bring more people to the center,” said Kostiainen.  

The Sustainable Urban Environments barometer was conducted for the seventh time at the end of 2024. It is targeted at the residents of Helsinki, Espoo, Vantaa, Tampere, Turku, Oulu, Jyväskylä and Kuopio. The number of respondents for the online panel was 1,000 + 350 (separate sample of office workers). The dataset represents the urban population aged 18-80 by gender, age and the size of the cities. Prior Konsultointi was commissioned by YIT to conduct the survey. 

Explore the results of the Sustainable Urban Environments barometer further

For further information: 

YIT Corporate communications, tel. +358 44 743 7536, press@yit.fi 

YIT is a leading construction and development company. Building on over 110 years of experience, we develop and build sustainable living environments: functional homes, future-proof public and commercial buildings, and infrastructure to support the green transition. We employ approximately 4,300 professionals in eight countries. Our revenue in 2023 was EUR 2.2 billion. YIT Corporation's shares are listed on Nasdaq Helsinki.   

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