The Finnish real estate market continues to experience fluctuations in property prices and transaction volumes, according to the Vanhojen osakeasuntojen hintaindeksi (2020=100) ja kauppojen lukumäärät report. The data covers different variables such as Talotyyppi (Property Type), Vuosineljännes (Quarter), Alue (Region), Huoneluku (Number of Rooms), and Tiedot (Information).
In the latest report for Q2 2023, the trends for different housing types in both major cities and the rest of the country are as follows:
Trends in Major Cities:
- Overall, the Neliöhinta (EUR/m2) in major cities decreased by 1.0% compared to the previous quarter, resulting in an Indeksi (2020=100) of 98.7.
- However, when compared to the same quarter last year, the Neliöhinta experienced a notable decline of 8.3% in real terms (Reaali-indeksi, 2020=100: 84.9).
- The number of real estate transactions (Kauppojen lukumäärä, varainsiirtoverotiedot) in major cities for Q2 2023 reached 3,254.
Breakdown by Housing Types in Major Cities:
- Yksiöt (Studio Apartments): The Neliöhinta for studio apartments decreased by 0.9% compared to the previous quarter, resulting in an Indeksi (2020=100) of 92.5. When compared to the same quarter last year, the Neliöhinta experienced a decline of 9.7% in real terms (Reaali-indeksi, 2020=100: 79.6).
- Kaksiot (Two-bedroom Apartments): The Neliöhinta for two-bedroom apartments increased by 1.1% compared to the previous quarter, resulting in an Indeksi (2020=100) of 98.1. However, when compared to the same quarter last year, the Neliöhinta still experienced a decline of 8.2% in real terms (Reaali-indeksi, 2020=100: 84.4).
- Kolmiot+ (Three-bedroom Apartments and Larger): The Neliöhinta for three-bedroom apartments and larger units decreased by 2.5% compared to the previous quarter, resulting in an Indeksi (2020=100) of 101.6. When compared to the same quarter last year, the Neliöhinta experienced a decline of 8.0% in real terms (Reaali-indeksi, 2020=100: 87.4).
Trends in the Rest of the Country:
- In areas outside major cities, the Neliöhinta (EUR/m2) decreased by 2.4% compared to the previous quarter, resulting in an Indeksi (2020=100) of 97.1.
- When compared to the same quarter last year, the Neliöhinta experienced a decline of 5.6% in real terms (Reaali-indeksi, 2020=100: 83.5).
- The number of real estate transactions (Kauppojen lukumäärä, varainsiirtoverotiedot) in the rest of the country for Q2 2023 reached 2,347.
Breakdown by Housing Types in the Rest of the Country:
- Yksiöt (Studio Apartments): The Neliöhinta for studio apartments increased by 2.5% compared to the previous quarter, resulting in an Indeksi (2020=100) of 91.8. However, when compared to the same quarter last year, the Neliöhinta still experienced a decline of 7.7% in real terms (Reaali-indeksi, 2020=100: 78.9).
- Kaksiot (Two-bedroom Apartments): The Neliöhinta for two-bedroom apartments increased by 0.2% compared to the previous quarter, resulting in an Indeksi (2020=100) of 96.1. However, when compared to the same quarter last year, the Neliöhinta still experienced a decline of 5.9% in real terms (Reaali-indeksi, 2020=100: 82.6).
- Kolmiot+ (Three-bedroom Apartments and Larger): The Neliöhinta for three-bedroom apartments and larger units increased by 4.5% compared to the previous quarter, resulting in an Indeksi (2020=100) of 100.2. When compared to the same quarter last year, the Neliöhinta experienced a decline of 4.6% in real terms (Reaali-indeksi, 2020=100: 86.1).
These trends indicate that the real estate market in major cities has seen a mild recovery in the Neliöhinta, but the prices are still lower than they were a year ago. Meanwhile, in other areas, the market continues to face challenges, with property prices experiencing declines both in nominal and real terms. Transaction volumes remain relatively stable in major cities but have shown a decline in other regions. Experts suggest that these trends may be influenced by factors such as economic conditions, population shifts, and housing supply dynamics. Investors and potential buyers should carefully analyze the data to make informed decisions in the Finnish real estate market.