Feb 12 • 06:37 UTC 🇫🇮 Finland Ilta-Sanomat

The Kokoomus minister dismisses tax relief for home buyers - 'I consider it harmful'

Finnish Minister Matias Marttinen opposes proposals to temporarily eliminate or target transfer tax relief for first-time home buyers, arguing that it could harm the housing market.

The ongoing debate in Finland over the transfer tax on housing has garnered significant attention recently. The transfer tax, which stands at 1.5% for apartment transactions and 3% for real estate sales, has been a focal point for several political figures advocating for its temporary removal or reallocation to first-time home buyers. Prominent voices in this discussion include Antti Lindtman of the SDP, Antti Kaikkonen from the Centre Party, and economists Aki Kangasharju and Mika Maliranta, all suggesting that easing this tax could support newcomers in the housing market.

However, Kokoomus Minister Matias Marttinen has strongly opposed these suggestions. In a recent interview, he characterized the idea of eliminating the transfer tax as potentially damaging to the overall housing market. He expressed concern that the proposed changes could lead to adverse effects on market dynamics, thereby complicating the housing situation further rather than alleviating it. Marttinen's remarks underline a broader fear among some policymakers regarding the unintended consequences of such tax reforms on housing accessibility and affordability.

The discussions around the transfer tax in Finland reflect wider concerns about housing market stability and the challenges faced by potential first-time buyers. With various parties proposing different solutions, the parliament's response will be crucial in shaping how the housing market evolves in the coming months. Ultimately, the government's stance on such financial measures will influence housing strategies and the broader economic landscape in Finland, as stakeholders carefully weigh the trade-offs of supporting first-time buyers against maintaining a stable housing market.

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