Housing involves elaboration of the state housing policy, particularly maintenance of the housing stock at a sustainable level.

The long-term objectives of the housing sector are the following:

  • Availability of housing to the Estonian population

  • Quality and sustainability of the housing stock

  • Diversity and balanced sustainable development of residential areas

According to the Constitution and the Local Government Organisation Act, local government will be responsible for the organisation of the housing and utilities sector within the administrative territory of the local government.

The task of the state is to provide conditions in the housing market that will allow owners of residential premises and tenants to solve their housing problems as independently as possible. This is done by legal regulations, institutional organisation and support measures. The state also aims at co-operation with various umbrella organisations for the purposes of the development of the housing sector.



Development plans


In 2013, the drafting of the housing sector development plan was started within the framework of the Estonian National Development Plan of the Energy Sector Until 2030+, Involving Visions Until 2050.

The new development plan of the sector mostly focuses on reducing the energy consumption of buildings.

In 2008, the Government approved the Estonian Housing Sector Development Plan 2008–2013.

During the period for the implementation of the development plan in 2008–2013, the improvement of living conditions of more than 1,800 families with multiple children was supported within the framework of the housing support programme.

The funding allocated by the European Union was used to carry out energy audits, evaluation of construction works and projects to map the technical condition and energy expenses of apartment houses and to perform reconstruction works.

In 2009–2013, KredEx granted 591 loans within the framework of the apartment house renovation loan programme. In 2010–2013, 566 apartment houses submitted an application for improving the energy performance of their respective houses, using reconstruction support paid on the account of CO2 quota selling allocations.

In addition, KredEx has also organised several country-wide training courses and media campaigns on energy performance.

The www.miljooala.ee website was launched to increase the awareness of residents of areas with cultural and historic value and promote the sustainable renovation of residential buildings.


Housing measures

Support measure for the renewal of residential heating systems

The purpose of the measure is to replace heating systems that use liquid fuels with others that use renewable energy sources in small residential housing, to reduce their energy consumption and to promote the production of energy from renewable sources.

The budget of the measure depends on the result of CO2 quota selling allocations between 2014 and 2017. According to the State Budget Strategy 2015-2018 the support measure is planned to be funded with the income from the CO2 quota sales. Between 2014 and 2017 the support will be up to 5 million euros.

The support is meant for buildings that meet the following criteria: 

The building is used for permanent residence.

The purpose of the use of the residential building complies with the following registry entries: detached houses, duplex houses, terraced houses and other houses with two apartments. 

The type of the heating supply is local and the energy source is liquid fuel.

There are up to 2000 potential buildings, that may need reconstruction to modernise energy use.

The measure was opened on 18th December 2014.

Applying for the support in KredEx »

Support measure for demolition of unused buildings 

The purpose of the measure is to help local authorities to demolish buildings that have fallen out of use and which have become unaesthetic, are likely to collapse or catch fire and which are unreasonable to be renovated and the expropriation of which has failed. The releasing property could be fixed up by the local government and used, for example, for developing agriculture or turning it into public space. 

A total of 700 000 euros have been allocated for the measure. The maximum possible size of the grant is 60 000 euros per applicant. 

The measure was opened on 20th February 2015.

Applying for the support in KredEx »

Support measure for reconstruction of apartment buildings 

The purpose of the measure is to achieve better energy efficiency and indoor climate as well as uptake renewable energy in existing apartment buildings. The grant will help to decrease household energy costs, extend the life span of buildings and improve the overall living environment. 
A total of 102 million euros have been allocated for the measure of which an estimated 1000 apartment buildings will be reconstructed. 
The target group consists of apartment buildings built before 1993, where apartment association has been formed or which, as a whole, are owned by the local government. The building must have at least 3 apartments. 
The support will be provided in three proportions – 15%, 25% and 40% of the reconstruction costs, the proportion will depend on the energy savings achieved and amount of work done. Ida-Virumaa is an exception due to to the volume and condition of housing and in that region the grant is 10% higher.
The measure was opened on 1st April 2015.

Applying for the support in KredEx »

Co-operation and partners


Last updated: 1 April 2015