Norway registers abnormally high housing prices in October

Oslo real estatePhoto: Håkon Mosvold Larsen / NTB

Housing prices in Norway rose by 0.5% in October. In total, housing prices have risen by 7.1% in the last twelve months. 

“House prices continued to rise in October, which is abnormal for this time of year. 

“If this trend continues throughout the year, the seasonal pattern in the Norwegian housing market, with rising prices in the first half of the year and falling prices in the second half of the year, will be broken,” Henning Lauridsen, CEO of Eiendom Norge, stated.

Adjusted for seasonal variations, house prices rose by 1.1% in October, new figures from Eiendom Norge, Finn, and Eiendomsverdi showed on Wednesday.

“Higher than most predicted”

“The measures against the corona pandemic combined with the zero interest rate have made the demand for housing in Norway much higher. 

“This is visible both in the price development, the number of sales, and the sales period. And Norway is not alone in such a trend. 

“You can see the same trend in many cities and countries around the world. Our own home is a safe haven against the coronavirus,” Lauridsen said.

In total, house prices have risen by 7.1% in the last year. 

Oslo has had the most substantial price growth among the largest cities, with an increase of 9.5%, while Stavanger and the surrounding area had the weakest – with an increase of 4.2%.

“As it looks now, housing price developments in 2020 will be more robust than most predicted both at the beginning of the year and in the wake of the corona pandemic in March and April,” Lauridsen noted.

Increased sales

In October, 10,045 homes were sold in Norway, which is 9.4% more than in the corresponding month in 2019. 

So far this year, 87,493 homes have been sold in Norway, which is 5.5% more than at the same time in 2019.

In October, it took an average of 46 days from the time a home was put up for sale until it was sold. 

That is two days faster than in September. 

Oslo had the shortest sales time among the big cities with 21 days.

© NTB Scanpix / #Norway Today

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