Helsinki Cracks Down on Subsidized Housing Fraud After Illegal Airbnb Listings Discovered

Helsinki’s largest landlord is taking strict legal action against tenants who rent out their subsidized homes to tourists.

The city-owned housing company, Heka, announced it is terminating 14 lease agreements after discovering unauthorized short-term subletting and accommodation activities in its buildings.

Heka owns approximately 55,400 apartments across the Finnish capital and operates as a crucial provider of affordable living.

At the end of 2025, the company implemented a complete ban on all short-term subletting. This strict rule closed a previous loophole that allowed tenants to briefly rent out their homes once a year with official permission.

Despite the ban, several residents continued offering their apartments to tourists on platforms like Airbnb.

Misuse of Subsidized Apartments

The financial incentive for this illegal activity is deeply tied to Helsinki’s housing market. Heka apartments offer heavily subsidized rates, which average about 35 percent lower than private market rents in the city.

Meanwhile, standard Airbnb listings in Helsinki can easily command around 100 euros per night. This massive price gap creates a highly lucrative opportunity for opportunistic tenants to profit off public housing.

Heka’s CEO, Maria Aspala, stated the company wants to stop any activity where a subsidized apartment is turned into a money-making tool.

While Heka cannot directly delete user-generated listings from Airbnb, it has launched formal eviction or lease cancellation processes for all 14 identified cases under the Act on Residential Leases. The company warns that every unauthorized subletting incident will now result in at least a formal warning.

To enforce the ban, Heka is intensifying its property supervision across the city. The landlord is also actively urging residents to use the online housing portal to report any suspected tourist traffic or illegal subletting in their buildings.