Danish Federation of Non-Profit Housing Providers

Non-profit housing providers in Denmark are part of Danish welfare and the stock varies from family and youth housing to housing for disabled people and the elderly, including nursing homes.

The aim of the housing sector is legally defined as affordable and decent housing for all in need hereof, and to give tenant a legal and decisive right to influence their own living conditions.

This manifests itself in a non-profit sector that aims at being both financially, physically and socially sustainable and well-functioning.

The regulation of the social housing sector in Denmark is strict. Apart from the overall aim everything from financing to the size of the individual flats, construction and to the individual activities that housing organizations can engage in is regulated.

As the sector underlies municipal supervision there is also a strong relation to the municipalities, which have a right to dispose over every fourth letting.

The municipalities are responsible for evaluating for the need for new construction, which also makes non-profit housing part of local urban development.


Learn how danish non-profit housing works - in one minute:

The basic principle for non-profit housing in Denmark is that housing is appointed by waiting lists to which everyone can register.

In spite of the inclusive approach of the danish non-profit housing model it is a statistical fact that in general – compared to the national level – the residents in the housing in Denmark are characterized by lower income and higher unemployment rate as well as a higher number of single persons or single parents.

This is partly because vulnerable groups have a general priority, but also because legal restrictions on construction prize and size of the dwellings affect demand.

However, the inclusive nature of our model ensures a natural social mix that helps us limit segregation. It also allows housing organizations and municipalities to act more flexible in order to create social mix when appointing homes. The ability and possibility to create social mix within the housing model in Denmark is thus an important tool to lift the social responsibility that the sector underlies.

Housing organizations in Denmark have a legal obligation to engage in social activities.

The social efforts are a very important part and tool for the danish non-profit housing organizations. To contribute to its overall aim of going beyond the physical aspects and focusing on life in between buildings. In this way our model also becomes a laboratory of the Danish welfare.

These areas have a proven value added effect as well as an impact on breaking negative social circles, which was also stated by the Commission in its Social Investment Package.

Social efforts are organized in partnerships between housing organizations and municipalities. This ensures that the social efforts match and compliments existing municipal efforts.

“As a result, socially challenges housing areas are often entrepreneurial hubs of positive activity” with many local resources (e.g. the residents, volunteers, local schools, job centers, local sport clubs and different municipal instances) “working together for the benefit of the entire local community. In this way social housing becomes a social investment in society”.

Our housing organizations in Denmark are non-profit and new dwellings are financed partly by public support and partly on normal market terms.

Renovations and developments in the existing stock can be supported by the National Building Fund which – in spite of its name – is a private fund that is financed by the tenants through the rent in dwellings where the mortgage loan has been paid off.

The Fund is revolving and solidary meaning that it generates savings for the entire sector. It is used for major renovations, refurbishments and social development plans.