Decline in housing prices in December
Housing prices fell by 1.3 per cent in December. Adjusted for seasonal variations, prices fell by 0.2 per cent.
House prices rose by 5.2 per cent in 2021.
The average price for a home in Norway was NOK 3,956,450 at the end of 2021.
- House prices in Norway fell in December as normal for the month. The number of homes sold, on the other hand, is anything but normal. Never before have so many homes been sold during a month of December as in 2021, says CEO Henning Lauridsen of Eiendom Norge.
- House price growth in Norway in 2021 ended at 5.2 per cent, but there are large differences in the country. Among the largest cities, Kristiansand had the largest growth during the year of 9 percent. Oslo stands out at the opposite end with a weak growth throughout the year of 2.2 percent. This means that the capital has had a real price decline in 2021, he says.
- With the many sales in December, we received for the first time in the history of house price statistics over 100,000 sold second-hand homes in one year. Almost half of the growth in the number of transactions has come in Agder and Rogaland. In 2021, this region has seen a rise in house prices and turnover after almost a decade of weak development, says Lauridsen.
Over 100,000 sold and put out
In December, 4,055 homes were sold in Norway, which is 6.4 per cent more than in the corresponding month in 2020.
In 2021, 102,596 homes were sold in Norway, which is 3 per cent more than in 2020.
In December, 2,922 homes were put up for sale in Norway, which is 14.5 per cent less than in the same month in 2020.
In 2021, 105,068 homes were put up for sale in Norway, which is 2.8 per cent more than in 2020.
- The large activity in the housing market continued until Christmas and ensured record sales both in December and in 2021 as a whole. The growth in the number of new homes on the market slowed in December after a sharp rise in November. Overall throughout the year, we also saw good growth in the number of homes put up for sale, says Lauridsen.
It took an average of 51 days to sell a home in December 2021, up from 35 days in November. Bodø w / Fauske had the shortest sales time with 25 days and Ålesund w / surroundings had the longest sales time with 97 days.
- It is very fast to sell a home in Norway, and we have to go back to 2012 to find a faster turnover rate in the housing market, says Lauridsen.
Bodø with the strongest price growth in 2021
Tromsø and Bodø w / Fauske had the strongest seasonally adjusted price development in December, with an increase of 0.8 per cent. The weakest seasonally adjusted price development was in Drammen w / surroundings and Tønsberg w / Færder with a seasonally adjusted decrease of 1.4 per cent.
The strongest development in 2021 was Bodø / m Fauske with an increase of 13.3 percent followed by Kristiansand with 9 percent and Trondheim with 8.7 percent
Oslo had the weakest development in 2021 with an increase of 2.2 per cent, followed by Ålesund and the surrounding area of 3.7 per cent.
- House price growth in 2021 in Bodø stands out strongly from the rest of the country and is as much as 4.3 percentage points ahead of Kristiansand. We expect that in 2022 there will still be differences in house price developments in different parts of the country, but that price developments will be significantly more moderate than in 2021, primarily due to higher interest rates, Lauridsen concludes.