How housing prices in Norway changed in April
This year, mankind has faced an unexpected enemy – the coronavirus pandemic. It hit all the markets and affected the global demand. Some countries have suffered more, while others have suffered less. The second is Norway, which was able to come out with minimal losses and maintain stability in several sectors. The real estate market in the country, although slightly shaken, recovered quickly. This is evidenced by the prices for housing in Norway. As statistics show, in April, they rose, if compared with last year.
According to data for April, the cost of real estate increased by 0.5% per month, and by 1.2% if compared to the scale of the year. The largest growth is observed in housing located in the north of the country, in Bodo-Feusk. There, the price of apartments and houses rose by 0.6%. At the same time, real estate in Oslo lost about 1% of its value. On average, the object is on the market before the deal is concluded 55 days, which is 12 days longer than in April last year. In Oslo, the sale was carried out within 21 days, and the longest housing is sold in Oleson, here the term is 77 days.
Buying activity in Norway has decreased. During this month, the residential real estate market deals with 7038 objects, which is 10.3% less than the same period in 2019.
Experts assess the situation as generally favorable. Despite the slowdown in sales, the segment continues to hold its positions even in the conditions of pandemic and quarantine.
Optimism is added by the fact that in March indicators were much lower. As a result, quarantine sales then decreased by 36%. In order to stabilize the situation, the Norwegian authorities had to go to the freezing of real estate prices.
Construction is beginning to gradually come to its senses. In the capital there is an increase in the number of new projects, but completed so far less than in the same period last year. This is due to work stoppages during the pandemic, which shifted the deadlines for delivery of objects.
It should be noted that in 2019 the volume of housing sales in Norway increased by 4.6% and amounted to 65 214 objects. The capital also saw an increase in purchasing power at the level of 23.5%, but the dynamics decreased.
So far the construction segment has not reached last year’s figures, but experts predict that the situation will stabilize soon. Unlike other countries, Norway managed to withstand and survive the critical moment of the pandemic, after which the recovery processes began, the dynamics of which are very positive.