Swedish housing market hits new record: ‘It’s a milestone’

Swedish housing market hits new record: 'It's a milestone'
A record number of apartments were sold in Sweden last month. Photo: Fredrik Sandberg/TT
The Swedish housing market is bucking the usual summer lull with a record-breaking number of apartments snapped up by buyers, fresh figures show.

The summer is usually a slow period for the Swedish property market, but not this year. New monthly figures from Svensk Mäklarstatistik, which keeps statistics on property sales, show a record-breaking month of June.

The number of detached homes that changed owners increased year-on-year by three percent last month, while bostadsrätter – a kind of Swedish condominium and one of the most common forms of home ownership, especially apartments – increased by a whopping 14 percent in June compared to last year.

“This suggests that the worries that were there in May have transformed into optimism. More than 10,000 sold bostadsrätter is a figure we haven't been close to in previous months of June, so it is somewhat of a milestone,” Svensk Mäklarstatistik's business development head Hans Flink, told the TT newswire.

Looking at the first six months of the year, the number of bostadsrätter sold in Sweden increased by three percent, and detached homes by two percent – contrary to fears sparked by the coronavirus pandemic.

“People have a fundamental need to move despite the corona pandemic. There have also been measures, such as the banks' willingness to remove the amortisation requirement, and state agents changing to digital viewings, which have kept the property market working and it is now regaining its confidence,” said Flink.

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Johan Engström, CEO of estate agents Fastighetsbyrån, echoed his comments:

“After four months with corona we note that the property market has not been as dramatically affected as many feared. As in the rest of the society, those with the smallest margins are affected the most. Those who have been on the market for some time and have a stable economy are not affected in the same way at all, which is reflected in the high demand for houses and summer houses,” he said in a statement.

The price of a bostadsrätt did not change much in June, but fell by one percent in Stockholm compared to the previous month. The price tag for detached homes meanwhile increased by two percent in Sweden.

Swedish vocabulary

detached house – (en) villa

apartment – (en) lägenhet

property – (en) fastighet

housing market – (en) bostadsmarknad

estate agent – (en) mäklare

Properties in Sweden

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