Housing in Finland continues to rise in price, but not so intensively
In the last quarter, the price increase in the real estate market in Finland amounted to an average of 1.7% compared to the same period of the previous year. If we compare the quarters, then the increase in price was at the level of 1.1%. At the same time in the annual ratio, the dynamics of housing prices in Finland have slowed down. Real estate in the country continues to rise in price, but not as quickly as in previous periods.
In February this year, the cost of housing rose by 3.2% compared with 2021. The largest increase in prices was observed in the city of Turku, where apartments have risen by 7.5%. In second place – are objects in Oulu, where growth is recorded at 5.1%. In this case, housing prices do not change only in one major city in Finland – Tampere. Here, apartments and houses have not risen in price since the first quarter.
It should be noted that the country has recorded a regular increase in the cost of apartments since 2015. For example, in Helsinki and its surroundings, a square meter of secondary housing in 2015 was estimated at 3515 euros, and in 2021 this figure reached 4380 euros. In other regions of Finland, price growth rates are not so rapid – from 1588 euros per sq. m. in 2015 to 1635 euros per sq. m. in 2021. As for the primary market, in 2015 in the capital one square meter cost 5111 euros, and in 2021 – already 6441 euros. In the rest of the country, the price per square meter in new buildings rose on average from 3452 euros to 4376 euros over the same period.
Last quarter the secondary market in Finland concluded 11% fewer deals. At the same time, the price per square meter apartment in Helsinki is 5092 euros, while in Vantaa – 2726 euros. In third place in the ranking of cities with the most expensive real estate is Turku, where an apartment will cost 2,444 euros per sq. m.
The highest price for apartments is in the center of the capital, where a square meter costs 9-10 thousand euros. In other areas of Helsinki, such as Pasila or Kallio, the cost is 7-8 thousand per square meter.
Earlier analysts predicted that housing in Finland will rise in price by 3.1% this year. In the first months, the market met such expectations, but the geopolitical conflict has caused instability and fear among investors. Therefore, many buyers have postponed deals until the situation in the world is calmer. However, there are also those who believe that at such times it is best to invest in real estate. This way they want to save their money from devaluation. In addition, in the future, the acquired apartments will be profitable.