Not since 2011 have there been more first-time buyers in the housing market than last year. More than 50,000 people bought their first home in 2020, according to a report.
A total of 54,175 people bought their first home in Norway last year, which is almost 3,000 more than the year before. The figure appeared in the report that has been prepared by Economics Norway (Samfunnsøkonomisk analyse) for the Norwegian Association of Real Estate (NEF) and Ambita, E24 writes.
“Low interest rates have more than offset the negative consequences of the corona pandemic. We have to go back to 2011 to find a year with more first-time buyers than in 2020,” Economics Norway wrote in the report.
More people have received parental help
The average age has fallen from 28.3 years in 2008 to 27.8 years in 2020.
“We believe that the proportion of those who receive parental help has probably increased a good deal,” director Carl Geving of the Norwegian Association of Real Estate (NEF) told the website.
According to NEF, the strong development of first-time buyers during the pandemic has increased in strength in the second quarter of this year.
“With cooling in the market and weak price development, it follows that first-time buyers will take even larger shares of the housing stock in the time to come, Geving said.
Flattened out in the capital
According to the report, more people entered the housing market on a national basis, while the numbers flattened out in the capital.
“With the current price level, many, especially in Oslo, will now struggle to buy their first home alone,” Economics Norway wrote in the report.
The report shows that immigrants are struggling to establish themselves as homeowners. Among immigrants, the proportion outside the housing market is twice as high as in the general population, according to Economics Norway.
Source: © NTB Scanpix / #Norway Today / #NorwayTodayFinance
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