Subletting a co-op apartment — Complete guide

How fair rent is calculated for co-op apartments

Fair rent for a co-op apartment is traditionally calculated from two main components: capital cost and operating cost. Unlike rental apartments, where the primary rent forms the basis, the rent for a co-op apartment is based on the property's market value and the monthly fee to the housing association. Since 1 July 2026, the Rent Tribunal assesses fair rent primarily by comparison with the rent for similar private rentals — the cost-based calculation below serves as a guiding starting point.

Capital cost

The capital cost represents the return the owner could have received if the capital tied up in the property had been invested elsewhere. The calculation is based on the property's current market value (estimated selling price) multiplied by the Riksbank reference rate plus a reasonable surcharge of typically 2 percentage points.

Operating cost

The operating cost consists of the monthly fee paid to the housing association. The fee covers costs such as heating, water, property maintenance and other shared expenses in the association.

Furnishing surcharge

If you rent out the property furnished, you may add up to 15% of the base rent (capital cost plus operating cost) as compensation for wear and tear on furniture and furnishings. The surcharge is standardized and does not require you to account for exact depreciation costs — but 15% is the upper limit and assumes a fully furnished home.

Additional costs

In addition to the base rent, you may add actual costs for services used by the subtenant, such as electricity, internet and parking. These costs must correspond to the actual expenses.

Permission for subletting

As a co-op owner, you need the board's consent to sublet the whole apartment (Bostadsrättslagen Chapter 7, § 10). It is for the board to decide whether to give it. If the board refuses, you can turn to the Rent Tribunal, which shall grant permission if you have reasons for the letting and the association has no justified cause to refuse (Chapter 7, § 11). Reasons may include:

• Temporary work or studies in another city
• Trial cohabitation
• Illness
• Renting to a close relative
• Extended stay abroad

The Rent Tribunal (Hyresnämnden) makes an independent assessment of your application. Any permission is always limited to a set period, and the Tribunal's decision on the question cannot be appealed. Simply wanting to earn rent on the apartment is not an accepted reason.

Partial rental

You can choose to rent out only part of your co-op apartment, for example a room. The rent is then calculated proportionally based on the rented area relative to the total living area. For example, if you rent out 30 m² of a 90 m² apartment, the rent is calculated based on one-third of the total fair rent. Note that subletting part of your apartment while you continue to live there generally does not require board permission (Bostadsrättslagen Chapter 7, § 8), unlike subletting the entire apartment which always requires board approval.

Notice periods

If you let a co-op apartment you own yourself, the Private Letting Act (privatuthyrningslagen, 2026:772) normally applies. Since 1 July 2026 the notice period is three months for both parties, counted to the next turn of the month (Chapter 6, §§ 1–2). The former one-month tenant notice disappeared when the Act (2012:978) on renting out your own home was repealed — that act still governs agreements entered into before 1 July 2026. A fixed-term agreement ends on the agreed date without notice, but the tenant may always terminate it early on three months' notice. Notice must be given in writing (Chapter 6, § 7). Note that the housing type alone does not decide which act applies: if you regularly let more than two homes, or let for holiday purposes, the Rent Act (Chapter 12 of the Land Code) applies instead, even to a co-op apartment (Chapter 1, § 3 of the Private Letting Act). The tenant may then also acquire security of tenure if the letting lasts longer than two consecutive years.

Tax on rental income

Income from subletting a co-op apartment is taxed as capital income at 30%. You are entitled to a standard deduction of 40,000 SEK per property per tax year as well as deductions for the fees you pay to the housing association during the rental period.