SwedenLivingWorld world_2_fill WorldBusiness BusinessSports sports-soccer SportsEntertainmentEntertain

Housing prices continue to fall – no giant leap expected

Housing prices are falling for the third month in a row. And those who hope for a significant price increase ahead risk being disappointed. You shouldn't count on any rapid rise in housing prices, says Robert Boije at SBAB.

» Published: 03 December 2024

Housing prices continue to fall – no giant leap expected
Photo: Gustav Sjöholm/TT

Housing prices fell by 1.1 percent in November across the country, according to figures from the state-owned SBAB and the real estate website Booli.

Housing prices continue to fall, it's the third month in a row, says SBAB's chief economist Robert Boije.

Expected price drop

Apartment prices remained almost unchanged in November, up 0.1 percent. They increased the most in southern Sweden (+0.7 percent) while falling by over 2 percent in northern Sweden. House prices, on the other hand, fell on average by 1.6 percent.

That prices overall are continuing to fall right now was not particularly unexpected, according to Boije.

I think it's quite expected. If you look at how housing prices usually move during a year, it's more of a rule than an exception that prices fall back during the autumn months and all the way to December, he says.

After New Year, prices are expected to point slightly upwards instead.

Many wonder if prices will skyrocket due to the Swedish Central Bank lowering the interest rate and the variable mortgage rate going down. But we don't think so. What primarily drives housing prices is the slightly longer fixed mortgage rates, and they have already gone down. We don't expect them to fall further.

Not taking off

SBAB sees moderately rising housing prices in the coming years, primarily driven by households doing increasingly well.

Despite falling prices in recent months, housing prices have risen by 5 percent since the turn of the year. Apartment prices are up by over 8 percent, while house prices are up by over 3 percent.

Tags
TTT
By TTThis article has been altered and translated by Sweden Herald

More news

Astra Zeneca Invests Billions in Canada
1 MIN READ

Astra Zeneca Invests Billions in Canada

Billion Fines for the Family Behind Oxycontin
1 MIN READ

Billion Fines for the Family Behind Oxycontin

Kiruna on government decision: We see ourselves as a colony
2 MIN READ

Kiruna on government decision: We see ourselves as a colony

Trump: Move to the USA or Pay Tariffs
2 MIN READ

Trump: Move to the USA or Pay Tariffs

Spotify's CEO makes a major sale – again
1 MIN READ

Spotify's CEO makes a major sale – again

Unclear situation for Israel blockade
1 MIN READ

Unclear situation for Israel blockade

The Government Gives the Green Light for Mine in Kiruna
2 MIN READ

The Government Gives the Green Light for Mine in Kiruna

Major Bank Expects Only One Interest Rate Cut
1 MIN READ

Major Bank Expects Only One Interest Rate Cut

United Kingdom to Investigate Apple and Google
1 MIN READ

United Kingdom to Investigate Apple and Google

The Price of Timber Continues to Rise
1 MIN READ

The Price of Timber Continues to Rise

Norwegian interest rate remains unchanged
1 MIN READ

Norwegian interest rate remains unchanged

Investor increases dividend more than expected
1 MIN READ

Investor increases dividend more than expected

Sandvik CEO: US tariffs would affect us
2 MIN READ

Sandvik CEO: US tariffs would affect us

Stock market up after strong reports
1 MIN READ

Stock market up after strong reports

The Coffee Price the Highest in 50 Years
1 MIN READ

The Coffee Price the Highest in 50 Years

Swedbank distributes 24.6 billion to its owners
3 MIN READ

Swedbank distributes 24.6 billion to its owners

More online Christmas shopping in November than in December
1 MIN READ

More online Christmas shopping in November than in December

Sharp Increase in Bankruptcies
1 MIN READ

Sharp Increase in Bankruptcies

Upwards on Asian Stock Exchanges
1 MIN READ

Upwards on Asian Stock Exchanges

Netflix surged on the stock exchange in New York
1 MIN READ

Netflix surged on the stock exchange in New York