Ranking of cities where you can buy inexpensive housing in Finland: price overview
Housing in Finland is significantly cheaper than the European average. This is especially true in regions outside the capital district. In small towns, the cost per square meter remains stable, and the market is characterized by calm dynamics. Excess supply and moderate demand keep prices down, creating favorable conditions for buyers.
East and center of the country: low prices and stability
The most advantageous offers are concentrated in the eastern and central regions of the country. Varkaus, Imatra, Kokkola, Kajaani, and Joensuu:
1. In Varkaus, small apartments sell for an average of €35,000, while two-room properties sell for an average of €70,000–95,000.
2. In Imatra, here, the range is even wider: €30,000–45,000 for a studio and €65,000–85,000 for a two-bedroom apartment.
3. In Kajaani, expect to pay around €55,000–75,000 for a one-room apartment and €75,000–100,000 for a two-room apartment.
Prices in these cities are significantly lower than in the capital. This makes them attractive to both residents and those considering Finland for affordable housing.
Compared to Helsinki, where housing prices start at €219,000 for a studio apartment, the difference is more than 60%. Small towns depend on traditional industries such as forestry, engineering, and logistics. Employment growth is limited here, so housing prices remain affordable.
Cities with universities maintain demand
Compared to other regions, Joensuu and Seinäjoki show more balanced indicators:
– In Joensuu, one-bedroom apartments sell for €60,000–85,000, and the monthly rent is usually €500–700.
– In Seinäjoki, one-bedroom apartments cost around €65,000–90,000, and two-bedroom apartments can cost up to €120,000.
The presence of universities, a well-developed transportation network, and administrative institutions supports steady demand from tenants and buyers. Consequently, these cities remain attractive for long-term investments and are less susceptible to price fluctuations.
The capital and major centers in Finland: high entry threshold
The situation is completely different in large metropolitan areas such as Helsinki, Turku, Tampere, and Oulu. Here, apartment prices are significantly higher than in smaller cities. For instance, a studio apartment in the capital costs around €220,000, while a two-room apartment costs over €370,000. Due to the high entry price, the rental yield is low, at around 4% per annum.
In Turku, apartments cost less, and profitability is slightly higher, at around 5%. In Oulu, housing is even cheaper, so investors can expect a return of over 6%. Thus, the smaller the city, the cheaper the square meter price and the higher the relative rental income. However, this also increases the risk of low liquidity. It is more difficult and takes longer to sell housing in a small city than in a large agglomeration.
Overall, Finland remains one of the most stable real estate markets in Northern Europe. For those planning to buy property, the eastern and central regions are the best choice.