In 2025 and leading into 2026, interest in renting out homes to legal entities (companies) has exploded. For you as a landlord, this often means higher rent levels, longer contracts, and a tenant who rarely causes problems with late payments.
However, renting to a company differs legally from renting to a private individual. Here is the expert guide for those who want to enter the corporate housing segment.
1. Why choose a company as a tenant?
Companies often seek housing for consultants, international recruits, or employees on temporary projects. The benefits for you as the owner are clear:
Payment ability: The risk of default is minimal.
Less wear and tear: Many corporate apartments are used as overnight accommodations and therefore experience significantly less wear and tear than a permanent residence.
Simplified legalities: By using block rentals, you can in some cases waive parts of the mandatory rules of the Rent Act (see below).
2. Block Rental: The News in SOU 2025:65
One of the biggest news items in the bill that comes into force in 2026 (SOU 2025:65) is that the block rental model is being expanded and simplified.
Block rental means that you rent out at least three apartments (or parts of a property) to the same tenant (often a company), which in turn sublets them. Previously, permission from the Rent Tribunal was required for this, but the new rules make it easier for private individuals and smaller property owners to use this form to create more flexible rent setting.
3. Rent Setting for Companies – What is Reasonable?
When you rent to a company according to the Private Housing Rental Act, the principle of cost-based rent still applies, but the market value of the property in combination with the company's requirements for "full service" allows for higher pricing.
Service surcharge: Companies often expect everything to be included – electricity, heating, fast broadband, furniture, and sometimes even cleaning. These actual costs are added on top of the capital cost.
VAT: Remember that renting out housing is generally exempt from VAT, but if you offer extensive services (like hotel operations), other rules may apply. Always consult an expert if you are planning large-scale rentals.
4. The Pitfall: Security of Tenure
Even if you rent to a company, the individual who actually lives in the apartment can, in rare cases, gain security of tenure if the agreement is not correctly designed. Pro-tip: Make sure that the company in its agreement with the employee clarifies that it is a service residence, and make sure that your main agreement with the company has a clear clause stating that security of tenure is waived (sometimes requires approval from the Rent Tribunal if the rental period exceeds two years).
Questions and Answers about Corporate Housing (Q&A)
Question: Can I charge a higher rent to a company than to a private individual? Answer: Yes, in practice. Since companies often require furnished homes with "all-inclusive" service, you can add actual costs for furniture wear and tear (approx. 15%), cleaning, insurance and administration. This makes the total rental income higher, even if the capital cost part follows the law.
Question: Do I need permission from the Housing Cooperative Board to rent out to a company? Answer: Yes. The same rules apply as for regular subletting. However, the board may sometimes be more skeptical of legal entities (companies) as tenants due to fear of high turnover. Here, it is important to be able to show that it is a specific employee who will live there for a longer period of time.
Question: How does the tax work when I rent out to a company? Answer: The tax rules for you as a private individual are the same. You can make the standard deduction of SEK 40,000 per year. The difference lies in how you record extra services if you sell, for example, weekly cleaning as part of the package.
Question: What is the biggest risk with corporate housing? Answer: The biggest risk is that the accommodation will be empty between projects. Companies are often in a hurry to find accommodation, but can also terminate contracts quickly if a project
