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Real estate giant: “The housing market has turned downward” | News

According to one of Finland’s largest real estate companies, Huoneistokeskus, many large cities are now doing better than their surrounding municipalities when it comes to sales.

This historic building was sold last January in Lahti, where the housing market was livelier than many other cities. Photo: Marjo Pirilä/Yle

During the first 10 months of this year, sales of old apartments in Finland decreased by 13.8% compared to last year. However, the decline is only 1.4 percent below the five-year average, as last year saw a rebound in sales from the pandemic.

Huoneistokeskus, among the country’s largest real estate firms, on Monday released a survey of the housing market in major cities and surrounding municipalities this year.

“The housing market has turned down, there’s no denying that. A year that started so well has brought one challenge after another, from a war started by Russia to inflation, rising interest rates and an energy crisis,” he said. Marina SalinosSenior Vice President of Huoneistokeskus and President of the industry group calling itself Federation of real estate agencies (ceret toysin with phylon).

Declining sales in the outer suburbs of the capital

In the D.C. region, after a positive start to the year, the number of condo deals is starting to drop.

In Helsinki, the turnover of older apartments decreased by 15.1% between January and October, compared to the same period last year. In neighboring Espoo, there was an 18.6 percent drop in transaction volume, with a 15.1 percent drop in Vantaa.

In Kirkkonomi, just west of Espoo, the number of sales fell by 32 percent.

growth in some affiliated cities

In Tampere, the largest inland city in the country, the number of residential transactions decreased by 11.7 percent compared to last year. Among the neighboring municipalities, only Ylöjärvi and Vesilahti have shown increases in housing transactions since last year. Ylöjärvi’s growth was a paltry 0.8 percent, while sales in Vesilahti jumped 20 percent.

In Turku, the largest city in the southwest, apartment transaction volumes in the January-October period fell 13 per cent, with similar declines in nearby Karina and Roscoe. In Naantali, the drop was nearly 17 percent.

Modest decline in Lahti, and growth in Joensuu

In Lahti, about 100 kilometers north of the capital, the decline was more modest, at just 8.7 percent. Further north in central Finland, Jyväskylä showed a decline of 10.9 percent compared to the first 10 months of last year.

In the eastern city of Kuopio, sales of old apartments decreased by 13.2 percent compared to the same period in 2021.

However, there was strong demand in Finland’s “strawberry capital” Suonenjoki, about 50km away, where sales of older flats jumped 18.2%.

Also in the east, Joensuu is the only major city where housing sales increased this year. The growth between January and October was 5.1 percent. In the north, sales in Oulu were down a modest 5.9 percent from a year ago.

Apartment sales in the west coast town of Pori fell by 7.6 percent, while in Kankanba, 50 kilometers inland, they fell by half.

The decline in home sales in many areas may represent a gradual return to normal after the wild swings of the pandemic years — as well as a gradual, long-term trend toward more people renting apartments rather than buying them.

Last month, the Central Statistical Office said about 28 percent of Finland’s population lived in rented homes last year, up from 24 percent in 2010.

Meanwhile, Statistics Finland said the average price of apartments fell 1.7 percent during the July-September period, compared to the third quarter of last year.

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