The Norwegian holiday home market is experiencing its largest discrepancy between sale price and asking price in 13 years, as noted by Henning Lauridsen from Eiendom Norge. Although there were 11.3 percent more holiday homes sold last year compared to 2024, on average, these properties were sold for 4.1 percent below their asking price. Lauridsen attributes this trend to the impact of rising interest rates on consumer purchasing power, which he says has diminished since the pandemic period.

According to the real estate data, the average price for a holiday home decreased by 0.9 percent from the previous year, with homes taking an average of 83 days to sell, up from 77 days a year earlier. Lauridsen elaborates that the sales prices of holiday homes have remained relatively stable since 2022; however, when adjusting for inflation, these prices are now lower than they were two years ago. This situation emphasizes the challenges facing potential buyers in the market as they navigate through fluctuating economic conditions driven by interest rates.

In summary, while the demand for holiday homes continues, the economic environment influenced by rising interest rates is leading to a market where buyers are negotiating prices downwards. It reflects broader trends in the real estate market, suggesting that buyers may need to rethink their investment strategies when purchasing holiday properties in Norway.