You can become a home saver and open an ASP account at any time, and you do not need to wait for the new legislation. If you start now, the old legislation will apply to some aspects of your ASP agreement even after the entry into force of the new legislation. For example, your right to make quarterly deposits will remain in effect if you conclude your agreement before 1 June 2026.

• No action is required on your part, and you can continue home saving as before. The new legislation will automatically apply to you from 1 June 2026, after which you can change over to monthly saving if you wish. However, you also have the right to continue quarterly saving or to make both monthly and quarterly deposits.
• You can get an ASP loan after you have saved at least 10 % of the price of the home you are planning to purchase and made at least eight quarterly deposits or 20 monthly deposits in your ASP account.
• The new lending provisions, such as the right to use alternative interest hedging products or longer instalment-free periods, apply to you automatically.

No action is required on your part and you can continue to repay your loan as before. The new legislation will automatically apply to you from 1 June 2026. After this, such matters as the provisions on instalment-free periods for your ASP loan are updated automatically, which means that you can agree on the instalment-free periods with your bank in accordance with the new legislation. However, the changes will not affect such matters as the loan period that you have agreed with your bank.

No action is required on your part and you can continue to repay your loan as before. The new legislation will automatically apply to you from 1 June 2026. After this, such matters as the provisions on instalment-free periods for your housing loan are updated automatically, which means that you can agree on the instalment-free periods with your bank in accordance with the new legislation. However, the changes will not affect such matters as the loan period that you have agreed with your bank.

• Familiarise yourself with the new legislation and consider what changes your bank needs to make as a result of the reform. If necessary, update the bank’s internal guidelines well in advance so that the transition to the new legislation is as smooth as possible.
• Check the State Treasury’s media releases on the new legislation.
  • The State Treasury has updated the stipulation on the provision of ASP loan information, which will enter into force with the new legislation on 1 June 2026. You can find the updated stipulation here (The content is in Finnish).
  • The State Treasury has published a new stipulation on the provision of state guarantee information on housing loans, which will also enter into force with the new legislation on 1 June 2026. You can find the new stipulation here (The content is in Finnish).
  • The State Treasury will publish new ASP and government guarantee instructions before the new legislation enters into force.

The maximum age limit for saving will be abolished.

Under the current system, a first-time home buyer aged between 15 and 45 can become a home saver and open an ASP account. Under the new legislation, the maximum age limit for saving will be abolished, and in the future, anyone aged 15 or over can conclude an ASP agreement with their bank. The only requirement is that the person has not previously owned a home.

For a home saver aged between 15 and 18, it is required that the money deposited in the ASP account is money earned by the home saver through their own work (such as wages). This is a requirement under the current system, and it will also be a requirement under the new legislation. Thus, such assets as gifts cannot be deposited in the ASP account of a person aged under 18.

The deposits will be examined monthly.

Home saving will change from quarterly saving to monthly saving.

Under the current system, home saving is examined on the basis of three-month periods. A home saver must deposit between EUR 150 and EUR 4,500 in their ASP account each quarter (during a three-month period). After they have made at least eight quarterly deposits and saved 10% of the price of the home (required savings), they can take out an ASP interest subsidy loan.

In the future, the deposits will be examined on a monthly basis. This means that a home saver must make at least 20 monthly deposits in their ASP account, after which the bank may grant them an ASP interest subsidy loan. The minimum and maximum monthly deposits will be specified later but the 10 % savings requirement will remain unchanged. In the future, even though the deposits will be made on a monthly basis, in practice there will be no changes to the minimum deposit duration, which means that a saver can meet the minimum saving requirement in just over 18 months.

However, persons who have become home savers before the entry into force of the new legislation (before 1 June 2026) may continue as quarterly savers, change over to monthly saving or use a combination of the two methods. All deposits of at least EUR 150 will be considered as quarterly deposits, and individual deposits of less than EUR 150 will be treated as monthly deposits. One quarterly deposit corresponds to three monthly deposits.

Examples of saving in three-month periods >

In the future, the first deposit must be made when opening the ASP account. In other words, an ASP account cannot be opened without making the first monthly deposit.

As before, the home saver does not need to make deposits each month. In other words, they can skip a month and continue to make deposits in their ASP account later. In that case, the month in question will not be included in the calculation of the 20 required monthly deposits.

The age of the second saver or their family relationships will become irrelevant.

Starting home saving together with another person or adding a person to an existing ASP account is permitted under the current and the new ASP system.

With the abolition of the maximum age limit for home saving, the age of the second saver or their family relationships will become irrelevant. The only requirement for joint ASP deposits is that neither of the savers has owned a home before. Under the current system, starting home saving together with an another person or joining an ASP account requires that both ASP savers are aged under 45 or that one of them is aged under 45 and they are married or live in a registered partnership or that they have or have had a child together or have previously been married or lived in a registered partnership.

To purchase a shared home, it is not necessary to have a joint ASP account or to combine the ASP accounts of two persons. Instead, two home savers can buy a shared home based on separate ASP agreements. The agreements must be combined when, for example one of the savers has not yet made all the required monthly deposits to their ASP-account but the home savers already want to buy a home together.

The interim financing must be converted into an ASP interest subsidy loan within two years of the purchase of a home.

If buying a home becomes relevant before the required deposits have been made in the ASP account, interim financing may be used. Interim financing means a loan other than an ASP interest subsidy loan, which is taken out from a bank to provide interim financing for buying a home. The home saver must continue to deposit money in the ASP account after purchasing the home. Interim financing will be converted into an ASP interest subsidy loan once the required quarterly or monthly deposits have been made and the 10 % saving requirement has been met.

Under the current and the new ASP system, interim financing can be used if at least half of the required deposits have been made in the ASP account at the time when the home is purchased, and five per cent of its purchase price has been deposited in the ASP account.

As the interim financing is intended as a temporary arrangement, it is stated in the new ASP legislation that the interim financing must be converted into an ASP interest subsidy loan within two years of the purchase of a home. If the interim financing is not converted into an ASP loan within the time limit, the ASP agreement will be suspended, and the home saver will no longer have the right to take out an ASP interest subsidy loan. The home saver must ensure that all outstanding deposits are made in time and that the application for converting the interim financing into an ASP loan is made as soon as all conditions are in place.

The bank that grants the ASP loan also pays the bonus interest.

The provisions on the payment of bonus interest are more specific under the new system but the basic principle remains the same. Bonus interest will also be paid under the new system for the first year of ASP saving and after that for a maximum of five subsequent calendar years. However, if the saving agreement was made before the home saver had reached the age of 18, the saver and the bank may agree that the bonus interest will be paid for the year in which the saver turns 18 and after that for a maximum of five subsequent calendar years.

It is specified in the new legislation that the bank that grants the ASP loan also pays the bonus interest. The bank granting the loan is responsible for the bonus interest for the entire deposit period, even if the ASP account had been transferred to another bank in the middle of the saving period.

Until now, there have been no provisions on the party paying the bonus interest, and this may have led to confusion if the ASP loan has been granted by a bank in which the ASP agreement was not concluded. However, the bonus interest may still be paid by a bank other than the lending bank if it is agreed otherwise in an ASP agreement concluded before 1 June 2026. In that case, the terms of the ASP agreement apply. In the ASP agreements concluded after the entry into force of the new ASP legislation, the party paying the bonus interest must be specified in accordance with the new legislation.

The maximum and minimum amounts of the bonus interest will be specified later but general specifications have already been made. For the sake of clarity, it is stated in the new ASP legislation that if two home savers purchase a shared home on the basis of separate saving agreements, the bonus interest will be paid separately to both savers on the basis of their deposits.

The bonus interest will only be paid on the ASP savings used for purchasing the home.

It is also stated in the new legislation that the bonus interest will only be paid on the ASP savings used for purchasing the home. If the home saver has deposited more than the required 10% of the home purchase price and would like to use some of the savings for purposes other than financing the home, the additional interest will only be paid on the savings used to finance the home purchase. However, the intention is not to completely prevent the use of the surplus savings for the renovation of the new home or for other purposes if the home saver wishes to do so even though no bonus interest is paid on this part of the deposits.

Provisions on the payment date of the bonus interest have been made more specific. If the home saver is purchasing a finished dwelling, the bonus interest will be paid in connection with the purchase. If, on the other hand, they are purchasing a home that has not yet been built (such as a housing share in a housing company under construction or a detached house still in the building stage), the bonus interest will be paid when the first funds are withdrawn from the ASP account for the home. Under the current system, bonus interest is paid on the purchase of a planned detached house only after the building supervisory authority has carried out the final inspection of the dwelling built or ordered by the home saver. This means that in this respect the payment date will be brought forward. Thus, in the future, the bonus interest can always be used for financing the home because in practice, it would be paid in connection with the withdrawal of the loan and the home purchase or when the construction of the home to be financed with the ASP loan is started.

If the funds deposited to the ASP account are withdrawn in several different parts, the information about the ASP account is reported to the State Treasury when all the funds have been withdrawn, and the account has been closed. The account should be closed on the same day that the last of the funds are withdrawn for the purchase of the home. The ASP loan is taken out only after all the ASP savings and other funds have been used.

The home saver’s reward will no longer be granted on the basis of home purchases or final inspections made on or after 1 January 2028.

Certain ASP agreements concluded on or before 31 December 1992 include a provision on home saver’s reward, which is a separate instalment paid from state funds to the home saver in addition to the interest. The home saver’s reward is paid when the bill of sale for the home is signed or, in the case of a detached house, when the building supervisory authority conducts the final inspection of the home.

The home saver’s reward will no longer be granted on the basis of home purchases or final inspections made on or after 1 January 2028. If a home saver wants to receive a home saver’s reward on the basis of an ASP agreement concluded on or before 31 December 1992, they must meet the ASP terms and purchase the dwelling before the end of 2027 or have the final inspection carried out before that deadline. The purpose of the transition period is to ensure that the current home savers who are entitled to the home saver’s reward could, if they so wish, purchase their first home with an ASP loan during the transition period and conclude the purchase by 31 December 2027.

Home savers can choose between the government-provided ASP interest subsidy and the bank’s own interest hedging products.

A key advantage of the ASP system is the interest subsidy paid on the ASP loan, which covers part of the interest expenses when the loan interest exceeds a certain level. The bank charges the debtor interest from which the interest subsidy has been deducted, after which the State Treasury pays the interest subsidy to the bank as an interest compensation. This arrangement will remain unchanged under the new ASP legislation but the amount of the interest subsidy will be announced later.

Because of the ASP interest subsidy, there have been restrictions on the use of the bank’s own interest hedging products during the interest subsidy period, and the use of such products as interest rate cap or collar has not been possible. However, under the new system, home savers can choose between the government-provided ASP interest subsidy and the bank’s own interest hedging products when withdrawing an ASP loan.

In the future, home savers may opt for other interest hedging products for their loan instead of the ASP interest subsidy provided by the government and still receive all other benefits of the ASP loan, such as a free and increased state guarantee and additional interest. In that case, the government will not pay any interest subsidy on the loan, and the interest subsidy cannot be put into effect at a later date. In other words, the selection is final. However, if the bank’s loan terms permit, the bank’s interest hedging product can be replaced with another product by agreement with the bank. The bank may charge a fee for its interest hedging products.

If the homa saver chooses a bank’s interest hedging product for their loan instead of the government-provided ASP interest subsidy, the statutory restrictions on ASP interest subsidy loans, such as the municipality-specific maximum amount of the loan, requirements concerning the amount of interest expenses or restrictions on the use of the home, do not apply to the loan. However, the loan period is limited as the provisions on the maximum loan period also apply to the state guarantee. A loan hedged with other interest hedging products is reported to the State Treasury in the same manner as a state-guaranteed loan.

If a home saver wants a government-provided ASP interest subsidy for their ASP loan, they cannot use other interest hedging products offered by their bank, and this restriction will also apply in the future. The ASP interest subsidy is in effect for the first 10 years from the withdrawal of the loan or its first instalment. This means that after the end of the interest subsidy period, the debtor can agree with their bank on adding a new interest hedging product to the loan. The debtor can also agree with the bank on the early termination of the ASP interest subsidy before the end of the 10-year period. Note, however, that the interest subsidy cannot be reinstated.

The instalment-free periods or the loan repayment method may extend the loan period to a maximum of 29 years.

The maximum loan period of an ASP interest subsidy loan is currently 25 years calculated from the withdrawal of the loan or its first instalment. Under the existing system, extending the loan period beyond 25 years is not possible under any circumstances.

An instalment-free period of up to two years is currently permitted for ASP interest subsidy loans. However, the instalment-free periods must be arranged so that they do not extend the loan period beyond the maximum 25 years.

Under the new legislation, the maximum loan period for an ASP loan is still 25 years from the withdrawal of the loan or its first instalment. However, changes in the loan period arising from the instalment-free periods or such matters as the loan repayment method are possible during the loan period. In the future, the debtor can have instalment-free periods totalling a maximum of four years, of which a maximum of two years may be without interruption. The instalment-free periods may thus extend the loan period to a maximum of 29 years. It is also possible that due to the loan repayment method (such as fixed payments), the loan period will be even longer.

In the future, the same rules will also apply to the loan periods of ordinary state-guaranteed housing loans. Under the current system, the maximum loan period for these loans is also 25 years from the withdrawal of the loan or its first instalment. However, the period can be extended during the loan period at the debtor’s request to a maximum of 27 years if the debtor’s ability to manage the loan has been substantially impaired because of illness, unemployment or other comparable reasons.

In the future, the four-year instalment-free periods may also extend the loan period of state-guaranteed loans to a maximum of 29 years. A maximum of two years of these four years can be without interruption. In the future, it is no longer necessary to use the deterioration of the debtor’s solvency as a justification for granting instalment-free periods.

The debtor can terminate the interest subsidy arrangement on their own initiative by notifying the State Treasury.

The purpose of the ASP system is to encourage purchasing your own home and for this reason, there are restrictions on the right to rent out an ASP home or to use it for purposes other than the home saver’s dwelling. Under the current system, a home financed with an ASP interest subsidy loan can be rented out temporarily and for a maximum of two years for a special reason, such as studying or working in another municipality.

The maximum rental period of two years will also apply under the new ASP legislation. However, the debtor no longer need a special reason for renting out their ASP dwelling. As before, renting out an ASP dwelling for more than two years or using it for purposes other than the debtors permanent dwelling will be prohibited under the new ASP legislation.

Under the new system, the debtor can also terminate the interest subsidy arrangement on their own initiative by notifying the State Treasury if they no longer use the ASP home as their own dwelling. The payment of the interest subsidy will end from the month when, according to the debtor’s notification, the home is no longer in their own use. In this way, the debtor can easily terminate the interest subsidy arrangement in a situation where the intention is to use the dwelling for such purposes as investment. The bank that granted the loan should also be notified of the termination of the interest subsidy arrangement so that the bank can take this into account when calculating the interest compensation.

The new owner-occupied home financed with an interest subsidy loan must be purchased within two years.

Under the current system, an ASP interest subsidy loan can be transferred to a new home if the debtor needs to move but still wants to retain their ASP benefits, such as a free state guarantee and interest subsidy. Transferring the loan to a new home will also be possible in the future but the new legislation sets a deadline for the purchase of a new home. If the first home purchased with an ASP loan is sold, the new owner-occupied home financed with an interest subsidy loan must be purchased within two years.

Similarly, an ordinary state-guaranteed housing loan can be transferred to a new home. In that case, the debtor does not have to pay a new guarantee fee unless the loan amount has to be increased due to the change of dwelling. If the amount of the loan is increased, this will be done by withdrawing a new separate loan in addition to the old loan and by paying a guarantee fee on the new loan.

If the old home is sold, the new home must also be purchased within two years if it is financed with a state-guaranteed housing loan.

The application for the guarantee compensation must be submitted no later than three months from the dueness of the guarantee.

The rules regarding a payment of the guarantee compensation and the responsibilities of the lender in guarantee compensation situations are specified in the new legislation.

For the sake of clarity, the new legislation includes references to the Act on Guaranties and Third-Party Pledges, which contains provisions on the dueness of a guarantee. In the current legislation, the payment of the guarantee compensation is tied to the establishment of a final loss incurred by the lender, which can be considered an unclear criterion in certain situations.

The application for the guarantee compensation can be submitted to the State Treasury after the dueness of the guarantee. In the future, the application for the guarantee compensation must be submitted no later than three months from the dueness of the guarantee. If the application for the guarantee compensation is submitted later than three months from the dueness of the guarantee, the penalty interest will only be paid from the date on which the application has become pending. The aim is to encourage lenders to apply for the guarantee compensation without delay and to prevent situations in which the penalty interest has accumulated over a long period because no application for a guarantee compensation has been submitted even though the prerequisites for paying the compensation have already been met.

The new legislation also contains provisions on how the funds received from the sale of the collateral should be allocated. As under the current legislation, the funds must primarily be allocated to the state-guaranteed loan. However, for the sake of clarity, a provision has been added to the new legislation stating that the funds accumulated from the sale of the dwelling must be allocated to the expenses incurred from the sale, to the penalty interest and ordinary interest, and to the loan principal (in that order).

The grounds for reducing the guarantee compensation have been made more specific. As under the current legislation, the guarantee compensation may be reduced or withheld if the lender has failed to comply with the legislation or good banking practice when granting the loan or during the loan period. In the future, non-compliance with good lending practice or a situation where the lender has otherwise acted in a manner that may increase the risk that the government has to pay guarantee compensations may also be used as grounds for reducing or withholding the compensation.

However, the prerequisite would be that the situation involves material negligence or other objectionable conduct by the lender and that no reductions in the guarantee compensation would be made on the basis of a minor violation (such minor excess of the maximum loan period). On the other hand, a violation of the State’s interests would no longer be a prerequisite for non-payment of the guarantee compensation as it may be difficult to assess and prove such violation in practice. Instead, way in which the lender’s action has contributed to the risk that the government may have to pay guarantee compensation would be assessed.