Finland's Housing First Model: A Blueprint for Ending Homelessness

The Housing Crisis in America

Homelessness in the United States has reached record levels. Cities across the country are grappling with growing numbers of people living on the streets, in cars, or in temporary shelters. The causes are complex, involving factors like rising housing costs, stagnant wages, inadequate mental health and addiction services, and a lack of affordable housing.

But while the problem seems intractable in America, one country has managed to dramatically reduce homelessness through an innovative approach: Finland.

Finland's Housing First Model

Finland is one of the only countries in the world to significantly decrease long-term homelessness. They've done this through a nationwide Housing First policy.

The core principle is simple: provide homeless people with permanent housing as quickly as possible, along with supportive services to address other needs. This is a reversal of traditional approaches that required people to get sober or find employment before qualifying for housing assistance.

As Juha Kaakinen, former CEO of the Y-Foundation which develops Housing First properties in Finland, explains:

"It's impossible to rehabilitate from the streets. A human needs a home, and then other things can happen after that."

This approach recognizes housing as a basic human right and a foundation for stability. With a secure place to live, people are better able to address other challenges in their lives.

How Housing First Works in Finland

Finland's Housing First model involves several key components:

1. Permanent Housing

People experiencing homelessness are quickly moved into permanent apartments with their own rental contracts. These are not temporary shelters or transitional housing, but real homes.

2. Scattered-Site Housing

Housing units are integrated throughout residential areas rather than concentrated in one location. This promotes community integration.

3. Separation of Housing and Services

Maintaining housing is not contingent on using mental health, substance abuse, or other services. Support is available but voluntary.

4. Consumer Choice

Participants have choices in their housing and services to promote autonomy.

5. Recovery Orientation

Services focus on promoting well-being and life skills rather than just treating symptoms.

6. Harm Reduction

Substance use is not required for housing. The focus is on reducing negative consequences of use.

7. Assertive Engagement

Staff actively engage participants and offer support without coercion.

Results of Finland's Approach

The results of Finland's Housing First policy have been remarkable:

• Long-term homelessness cut in half within 5 years of starting the program
• Over 80% of Housing First tenants maintain their housing long-term
• Significant reductions in emergency service use and criminal justice system involvement
• Improved quality of life and increased employment for participants

As Juha Kaakinen notes, "In five years we both established the program, and halved long-term homelessness in Finland."

Perhaps most striking is the virtual elimination of visible homelessness on the streets. Visitors to Helsinki are often amazed by the absence of people sleeping rough or panhandling - a stark contrast to many major cities.

Key Elements of Finland's Success

Several factors have contributed to the effectiveness of Finland's Housing First approach:

Political Will and Coordination

The program has had strong, consistent political support across different administrations. There is a national action plan coordinating efforts between government, municipalities, and NGOs.

Adequate Funding

Significant public and private resources have been invested in developing affordable housing stock and providing supportive services.

Converting Shelters

Many homeless shelters were converted into permanent supportive housing units, dramatically reducing shelter beds.

Prevention Efforts

Programs aim to prevent homelessness through measures like financial counseling and rental assistance for at-risk households.

Affordable Housing Development

Municipalities are required to develop affordable social housing, often integrated with market-rate units.

Comprehensive Support Services

On-site staff provide a range of voluntary services to promote independence and well-being.

Challenges and Ongoing Efforts

Despite its success, Finland's Housing First model is not without challenges:

Continued Need

While long-term homelessness has decreased, there is still a need for more affordable housing, especially in Helsinki.

Substance Use Issues

Addiction remains a significant challenge for many Housing First residents. Harm reduction approaches aim to minimize negative impacts.

Community Integration

Efforts are ongoing to reduce stigma and promote integration of Housing First residents in neighborhoods.

Funding Sustainability

Maintaining adequate long-term funding for housing and services requires ongoing political commitment.

However, Finnish officials emphasize that these challenges are far preferable to leaving people on the streets. As one outreach worker noted, "A messy apartment is better than the streets. It's a place where they can feel safe."

Lessons for Other Countries

While Finland's model may not be directly replicable everywhere, it offers important lessons for addressing homelessness:

Housing as a Right

Treating housing as a basic right, rather than something to be earned, is transformative.

Housing First, Not Housing Only

Permanent housing paired with voluntary support services is key.

Prevention is Critical

Addressing root causes and intervening early can prevent homelessness.

Political Will is Essential

Long-term commitment across political parties enables systemic change.

Cost-Effective Approach

Housing First has proven less expensive than managing homelessness through emergency services.

Coordination is Key

Aligning efforts across government, NGOs, and the private sector amplifies impact.

Implementing Housing First in the U.S.

While the U.S. faces unique challenges in addressing homelessness, many elements of Finland's approach could be adapted:

Increase Affordable Housing

Massive investment in developing affordable housing stock is critical.

Convert Shelters

Transition emergency shelters into permanent supportive housing units.

Expand Rental Assistance

Provide long-term rental subsidies to more low-income households.

Improve Coordination

Develop better systems for coordinating housing, healthcare, and social services.

Prioritize Chronically Homeless

Focus on housing those experiencing long-term homelessness first.

Emphasize Prevention

Expand eviction prevention, rental assistance, and other measures to keep people housed.

Change Public Perception

Educate the public on Housing First and build political will for systemic change.

Overcoming Obstacles to Housing First

Implementing Housing First faces several obstacles in the U.S.:

Funding

Securing adequate long-term funding for housing and services is challenging.

NIMBYism

Neighborhood opposition often blocks affordable housing development.

Ideology

Some resist the idea of providing housing without preconditions.

Fragmentation

Coordinating across different agencies and levels of government is difficult.

Scale

The sheer size of the homeless population in some cities is daunting.

However, Finland's experience shows these obstacles can be overcome with political will, coordination, and a commitment to housing as a human right.

The Human Impact of Housing First

Beyond the statistics, Finland's Housing First approach has transformed countless individual lives.

One formerly homeless woman named Tarja shared how having her own apartment changed everything:

"I don't use drugs anymore and that's huge. There's a rhythm to life. Normal life, which is what I wanted."

Another resident named Pekka, who had been homeless for 10 years, said:

"It's very disturbing, and I felt like I was at the bottom of society. It's a priority if you have a place to be, like even a place to stay, or if you have an apartment, it feels like you're human. Without that, you're not."

For many, having a home provides a foundation for addressing other challenges and rebuilding their lives. As one social worker explained:

"When you get a home, then you start to have hope and you start to care about your life so you can become part of society again."

Conclusion: A Model for Ending Homelessness

Finland's success in reducing homelessness offers hope that this seemingly intractable problem can be solved. By treating housing as a basic right and providing homes with no preconditions, they've transformed lives and communities.

While challenges remain, Finland has shown that ending homelessness is possible with the right approach and political will. As Juha Kaakinen notes:

"Housing First comes from the USA. We changed the whole system. We all went to Housing First."

The question now is whether other countries, including the United States, will follow Finland's lead. With growing homeless populations in cities across America, the need for bold action is clear.

Finland's model provides a blueprint for a more effective, humane approach to homelessness. By investing in affordable housing, providing support services, and treating housing as a fundamental right, we can make dramatic progress in ending homelessness.

The evidence from Finland is clear: Housing First works. It's time for other countries to embrace this approach and provide homes for all.

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