Legislative Milestone Ahead
Ukraine is preparing to adopt a new Housing Code and the Law on the Basic Principles of Housing Policy (Bill No. 12377) by the end of 2025. The reform represents a key step in aligning national housing policy with EU standards and is part of Ukraine’s commitments under the €59 billion Ukraine Facility funding program running through 2027.
Social Housing Concept
The new law defines a modern model of social housing for citizens requiring state support — including internally displaced persons (IDPs) and socially vulnerable groups.
Such housing can be state-owned, municipal, or private, but must be rented at affordable rates. Communities participating in the pilot program are currently being selected, marking the first phase of implementation.
Funding and Management Mechanism
Rental payments from social housing will go into special revolving funds managed by local communities. These funds will finance maintenance, management, and new construction, creating a sustainable financing loop inspired by EU social housing practices.
Local authorities will handle municipal housing, while state bodies will oversee national stock — ensuring transparency and decentralized governance.
Broader Reform Package
The reform will also abolish the outdated Soviet-era Housing Code, prohibit the privatization of social housing, and introduce new tax rules on rental income.
The Cabinet of Ministers will tighten oversight of real estate intermediaries, and tax authorities plan to enable digital property tax payments via mobile applications and bank cashiers.
Investment Perspective
The upcoming housing reform opens a new segment for public-private partnerships (PPPs) and affordable housing investment. Supported by EU funds and local implementation, Ukraine’s emerging social housing sector could become a cornerstone of post-war reconstruction — offering long-term, stable opportunities for developers, construction firms, and financial institutions.
