Prices for old detached houses in Finland have dropped for three consecutive years, with a nationwide decrease of 6.1% last year; the most significant drop recorded in Eastern Finland at 26%.
Last year marked the third consecutive year of declining prices for old detached houses in Finland, according to Statistics Finland. Nationally, prices decreased by 6.1% compared to the previous year. Despite a slight increase in the number of home sales during the last quarter of the year, the average prices still reflected a significant decline, recording a 6.3% drop from the same period a year prior.
The sharpest price reductions have occurred in Eastern Finland, where detached house prices have plummeted by as much as 26% since 2022. In contrast, other areas of the country have seen drops ranging between 15% and 20%. Interestingly, while larger cities have experienced declines in house prices, the reductions are less severe compared to smaller municipalities, indicating a potential divide in the housing market trends within the nation.
Another aspect noted by the report is the increased activity in land sales, especially in the last quarter of the year. Even with the downturn in house prices, the market appears to be adjusting, with rising interest in plots of land, suggesting that while existing home values are declining, the demand for new developments or land might be on the rise in certain areas. This dual trend raises questions about the future landscape of housing in Finland, particularly in relation to urban versus rural dynamics and the implications for prospective buyers and investors in the real estate market.
