Frequently asked questions about the application process for detached house plots

Espoo has a draw-based application process for detached house plots that is intended for independent construction and the application process is usually held in the autumn. If the application process is held in the autumn, information about the plots included in the process will be published on the page for detached house plots in the summer. More detailed instructions and information on the plots are usually posted a few weeks before the start of the application process. 

You can register with an online application in the plot draw service(external link, opens in a new window). While plot applications are open, you can add the plots to the basket and fill in the application.

Arrange the plots in numerical order so that the plot you are the most interested in is number 1 and so on. If you get lucky, you will receive a reservation notification and commit to paying the reservation fee (€2000). There are no longer any separately organised plot selection occasions, so read up on the plots already at the application stage.

Communications concerning the application process for plots are carried out by email. Please note! Some email services may interpretate automated messages from the city’s system as spam. Please check the spam or junk mail folder of your email if you have not received a confirmation message about your application being received.

Private persons who are of age can participate in the application process for plots. In the draw, precedence will be given to Espoo residents, meaning people whose municipality of residence has, according to the Population Information System, been Espoo uninterruptedly as of 1 January of the draw year.

The City of Espoo will not hand over a detached house plot to an applicant if the City of Espoo has leased or sold a detached house plot in the last five applications for a detached house plot or if the applicant has received a transfer permit for leasing or owning an empty (unbuilt) detached house plot (after 3 June 2019) through an official decision.

All information provided by the applicants will be checked automatically from the city’s information systems. A small number of checks will also be done manually. If any questions arise from the applications, the applicants will be contacted by email.

In Espoo, taking part in the application process for detached house plots means registering for a draw. Once the plot application process has closed, the draw is held between all accepted applications. The plots are no longer selected in plot selection occasions; instead, applicants can only get one of the plots they have selected. 

1. The electronic plot application service draws numbers for the applicants whose municipality of residence has been Espoo uninterruptedly as of the beginning of the year.

2. The applicant with number 1 will receive the plot of land that was the top priority in their application.

3. The applicant with number 2 will receive the plot of land that was the top priority in their application unless that plot is the same one as the plot of the applicant with number 1. In this case, the second priority plot will be offered.

4. The applicant with number 3 will receive the plot of land that was the top priority in their application unless that plot is the same one as the plot of the applicants with number 1 or 2. In this case, the second or third priority plot will be offered.

Draw (group) 2:

1. If there are plots left, the electronic plot application service draws numbers for the applicants whose municipality of residence has not been Espoo uninterruptedly as of the beginning of the year.

2. The draw system takes place in the same way as in draw group 1.

Once the results have been determined, a preliminary notification of receiving the plot will be sent to the plot recipient’s email address. After this, the system will also inform the plot applicants who did not receive a plot.

The primary objective is to ensure the fair and equal treatment of municipal residents. The draw has been found to be a good practice and it will result in the residential area becoming more heterogeneous compared to, for example, scoring in which the number of children would benefit the applicant.

The city assigns plots at prices that correspond to the general price level of real estate sales in each area. A builder who bought the plot from the city is in no better financial situation than a person who bought the plot at a fair price on the private market.

Separate plot brochures and other necessary information will be added to the website for detached house plots. The same information will also be available in the plot application service on the plot card, which you can access by clicking on the address of the plot. The appendices to the plot card include the site brochure, a preliminary report on construction capacity and local detailed plan regulations.

The website has usually featured presentations of the plot unit, building control and geotechnology with general information on matters that should be taken into account in connection with the plots. Building control has also arranged detached family house evenings for people looking to build a detached house. 

The decision must be made well in advance of the agreed date of signature of the deed of transfer. Lessees have the right to purchase the plot during the term of their lease. The lessor determines the selling price separately. The plot cannot be bought in specified shares; it must be bought in full.

The application process for plots gives you right of possession to the plot, either by buying or leasing it. This determines the monthly rent or selling price of the plot. In addition to this sum and the construction costs of the house, you should expect other costs related to construction, such as yard construction, architectural engineering, municipal infrastructure connection fees, licence fees, etc. Banks usually have calculators for homebuilders on their websites.

Some of the plots can accommodate more than one dwelling, if the detailed plan and building code allow it. It is recommended that the option of building several dwellings be checked from the Building Control Department for each plot. If you reserve a plot on which you plan to intend to build at least two dwellings in cooperation with someone else, you must provide the city with the information of the persons with whom you will lease or buy the plot and implement the building project.

When several dwellings are being built, it is important to prepare an agreement to divide the possession between the other owners or lessees of the plot. The possession division agreement should be prepared as comprehensively as possible before the deed of sale or land lease agreement is signed. You can ask the city’s Building Site Services’ legal counsel for more information about possession division agreements.

The term of lease and the obligation to pay rent begin on the date the agreement is signed. A valid land lease agreement is a prerequisite for measures concerning the plot, such as applying for a building permit.

When applying for leasehold registration, the leaseholder must apply for a mortgage targeting the leasehold and any existing buildings or buildings to be constructed by the leaseholder on the leasehold plot. The buildings must be owned by the leaseholder. The mortgage amount must be three times the annual lease, and the mortgage must have the highest priority. The leaseholder must apply for leasehold registration. The registration authority is the National Land Survey of Finland. The city will apply for the registration and mortgage on behalf of the leaseholder. The National Land Survey of Finland will send the leaseholder an invoice for the registration process. In practice, the leasehold registration and mortgage applications are handled so that when the leaseholder signs the lease, the leaseholder also signs the registration and mortgage applications which the city will then submit to the registration authority. The registration and mortgage applications are made at the leaseholder’s expense. The original lease of the leaseholder will be returned to the leaseholder by the registration authority with cash on delivery or an invoice. The registration authority will send the mortgage deed directly to the city. In a situation where the leaseholder sells the leasehold with its buildings, the new leaseholder is responsible for changing the leasehold registration at the National Land Survey.

A mortgage deed is a proof of confirmation of mortgage. The mortgage deed is transferred to the city as security for the lease obligations (rent payment). The mortgage deed will take precedence over the leaseholder's other mortgages.

As a rule, the rent is paid by calendar quarter. The due date is the 30th day of the first month of the quarter. The reservation fee will be deducted from the first rent payments.

The invoicing period (invoicing cycle) is indicated in the lease agreement and cannot be changed. The individual due date may be changed on invoice-specifically, but this must be agreed in advance.

The rent is linked to the cost-of-living index (1951:10=100) so that the basic rent is the rent referred to above and the basic index number is the index number (2345) of March 2025. Starting on 1 January 2027, the rent will be adjusted by the calendar year in accordance with the average index point (comparative index) of the previous calendar year so that the basic rent is increased by applying the same ratio as between the comparative index and the basic index number. However, if the cost-of-living index rises by less than 1%, the rent will be increased by at least 1.0% annually (hereinafter referred to as the "minimum increase").

During the lease period, two level adjustments will be made to the basic rent so that the basic rent is corrected with the average (price index 2020=100 for old shareholding apartments) of the housing price index in the Helsinki Metropolitan Area in the last three years before the level adjustment. The basic index number used in the level adjustment is the index number of the housing price index of the fourth quarter (2024 Q4) in 2024 (93.5). The level adjustments will be made to the rent on 1 January 2046 and 1 January 2066. The rent amount determined is the new basic rent. The adjustment linked to the cost-of-living index stated in the previous paragraph or the minimum increase will be implemented after the level adjustment as of 1 January 2047 / 1 January 2067. In this case, the basic index number is the average index of the 2046/2066 cost-of-living index.

The January invoice is sent only after 15 January, as the index adjustment is implemented at the beginning of January.

The plot owner pays real estate tax for the plot and buildings, while the leaseholder only for the buildings. The person liable to pay taxes is the one who owns the property or building at the beginning of the calendar year. Further information is available on the website of the Finnish Tax Administration(external link, opens in a new window).