The rental price of Félagsbústaðir housing and related criteria are determined by the Reykjavík Welfare Department and the City Council. In general, rental prices are calculated based on size, district and property valuation. The rental price of all properties changes every month in proportion to the change in the Consumer Price Index for indexation.
Three principles are used for calculation.
- Monthly rental (ISK/month) = Property valuation 2017 x rental index /12 months
The monthly rental price of Félagsbústaðir’s general apartments that have a defined property valuation for a rental unit is determined as one-twelfth of the multiple of the current property valuation of the rental unit in 2017 and the rental index for different postcodes:
- 101 and 107 have a rental index of 4.76
- 103, 104, 105 and 108 have a rental index of 5.18
- 110, 112, 113 and 116 have a rental index of 5.98
- 109 and 111 have a rental index of 6.11
62 sqm property in Vesturbær Reykavík: Property valuation ISK 33,000,000 / 12 months multiplied by 4.76% (0.0476) = monthly rent of ISK 130,900
59 sqm property in Upper Breiðholt: Property valuation ISK 20,900,000 / 12 months multiplied by 6.11% (0.0611) = monthly rent of ISK 106,416
- Monthly rental (ISK/month) = Property valuation 2017 or purchase price (whichever is lower) x rental index / 12 months
If an apartment is new and there is no property valuation for it from the year 2017, it is estimated based on a new property valuation of the property and the development of the property valuations in the relevant district at that point. In the case of new construction, the rental price is determined on the basis of the purchase price and the rental index.
- Basic rent = rental constant + (price per square metre x size)
The monthly rental price of Félagsbústaðir’s special housing solutions and general rental units that do not have a property valuation is independent of the rental district and is determined so that a fixed fee is paid for each rental unit in addition to a variable fee that is in proportion to the published surface area of the rental unit. In community dwelling rooms and community dwelling apartments, the rent of the common area is divided between the residents and the Welfare Department in accordance with Regulation No. 370, issued by the Ministry of Welfare on 29 April 2016.