Minister Strömmer proposes new law to combat unreliable landlords in Sweden
Previously, a law existed that allowed municipalities to prevent unscrupulous or criminal actors from purchasing rental properties, similar to the regulations for acquiring agricultural land. However, this law was repealed in 2010 by the then ruling conservative government. Since then, anyone has been able to buy rental properties, prompting a response from the Minister of Justice following a recent investigation.
Various municipalities are experiencing issues with landlords neglecting property conditions. Residents in affected areas report severe problems, including infestations and uninhabitable living conditions. Minister Gunnar Strömmer emphasized the need to ensure that unreliable or criminal landlords do not exploit their tenants.
A proposal for a new law is currently under review at the Ministry of Justice. The investigation concluded that a new acquisition law should be implemented by January 1, 2025. However, the process is still “under preparation,” as noted by department officials. Real estate owners and several property companies have expressed opposition to reinstating such a law, arguing that it would introduce unnecessary costs and bureaucracy.
Despite this, many municipalities are calling for additional tools and legal changes to address the issues caused by landlords who fail to maintain their properties. Out of nine municipalities involved in the investigation, seven supported a law capable of intervening against unreliable landlords at an early stage. For instance, the city of Gothenburg has welcomed proposals aimed at making it harder for untrustworthy landlords to enter the property market, thereby reducing the risks of money laundering and protecting tenants.
The opposition is urging the government to consider feedback from the consultation and put forth a legislative proposal to curtail the exploitation of tenants. However, the Minister of Justice is cautious, stating that such regulations might negatively impact responsible landlords but remains open to discussions on the matter.