The Finland housing market has seen big changes in average house prices per square meter. This is because of how much people want houses and how the economy is doing. As of the middle of 2021, the usual price for one-family houses went up to €1,767 for each square meter. This shows a big difference in prices depending on the area.
In the Greater Helsinki area, prices are at their highest, hitting €3,728 per square meter. But in smaller towns, prices are more friendly at about €1,352 per square meter. This shows how important location is in Finland’s property market. It gives key info for those looking to buy or invest here. For more information, check out house prices in Finland and recent trends in the housing market1.
Key Takeaways
- The average price for one-family houses in Finland is €1,767 per square meter.
- Prices significantly vary based on location, with Greater Helsinki averaging €3,728.
- Smaller towns have lower prices, approximately €1,352 per square meter.
- The Finland housing market reflects ongoing demand fluctuations and economic factors.
- Understanding regional price differences is essential for prospective buyers.
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Overview of the Finland Housing Market
The Finland housing market is diverse, with price differences across regions and emerging housing trends Finland. The market changes are reflected in the different demands of city and countryside areas. As of 2016, houses made up over half of Finnish families’ wealth. By 2018, homes were 29% of all investments in property in Finland2.
In the Helsinki area, building new houses for sale helps lower-income families move upwards economically. This positive change happens soon after they move. As people continue to relocate, the demographics of these areas transformed. Initially, 90% of the people moving into central new homes were from the Helsinki region. This percentage dropped to 50% over time3.
There’s a big demand for small homes in the real estate Finland market. In 2018, three-quarters of the new homes were either studios or one-bedroom apartments. This shows more people prefer smaller living spaces, especially in cities2.
From 2015 to 2018, foreign investors became more interested in the Finnish home market. They owned about 15,000 rental homes. Together with local investors, they aimed for 60% of the new homes. This shows the Finnish housing market is competitive for investors2.
The Finland housing market is changing due to different economic and social reasons. New housing options, income changes, and demand shifts make the market dynamic. For more about Finnish housing, click here.
Current Average House Prices per Square Meter
Finland’s house prices show a vibrant and changing market. A closer look reveals trends shaping the housing sector. These averages help us understand the housing market in Finland.
National Average House Price
The average house price across Finland is €1,767 for each square meter. This is key for those tracking Finland’s housing market. It shows how broader economic conditions influence housing decisions.
Average Prices in Major Cities
In major cities, Helsinki’s prices stand out, averaging €4,775 per square meter. This is well above the national average. Espoo and Vantaa have prices at €3,789 and €2,856 per square meter, showing location’s big impact on prices.
Regional Price Variations
Different regions in Finland see varied prices. Southern Finland has the highest prices, at €2,061 per square meter. Meanwhile, Northern Finland’s prices drop to about €1,313. This pattern shows that bigger cities have higher prices than smaller towns. This is key for those studying Finland’s housing market in depth.
| Region | Average Price per Square Meter (€) |
|---|---|
| National Average | 1,767 |
| Helsinki | 4,775 |
| Espoo | 3,789 |
| Vantaa | 2,856 |
| Southern Finland | 2,061 |
| Northern Finland | 1,313 |
For more info and to deeply understand Finland’s evolving housing market, click here4.
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Impact of Location on House Prices
In Finland, where you choose to live plays a big role in house prices, especially when comparing big cities to smaller ones. In places like Greater Helsinki, houses can be really expensive because lots of people want to live there. Prices can be over €3,700 for every square meter. This is because big cities have more to offer and more people want to live there. On the other hand, smaller cities might be cheaper and a good choice for buying your first home.
Metropolitan Areas vs. Smaller Cities
Houses in big cities are more expensive because they are close to things like schools, malls, and public transport5. For example, homes near big companies or in growing neighborhoods can become more valuable quickly. This shows how important location is. It directly affects how much a house is worth. As big cities keep growing, they attract all sorts of buyers, which makes prices go up.
Price Differences by Region in Finland
In Finland, house prices vary a lot depending on the region. Southern Finland, with cities like Helsinki and Espoo, has the highest prices. This is because there are more jobs and more people want to live there. But in Northern and Eastern Finland, not as many people want to live there, so houses are cheaper6. Below is a table that shows the average price per square meter in different areas:
| Region | Average Price per Square Meter (€) |
|---|---|
| Greater Helsinki | 3,700+ |
| Southern Finland | 2,500 – 3,700 |
| Central Finland | 1,800 – 2,500 |
| Northern Finland | 1,300 – 1,800 |
It’s really important to know about these price differences if you’re thinking about buying a house in Finland. By looking at the data and what’s happening in the market, you can make smarter choices about where to invest your money.
Learn more about the Finland housing6.
Recent Trends in the Finland Housing Market
The housing market in Finland is seeing big changes, with prices going up a lot each year. One-family homes have seen a price jump of 8.3% over the last year. In cities, this increase is even higher, at about 13.3%. These changes show the Finnish housing market is strong and getting better despite challenges7.
Year-on-Year Price Changes
Last year, house prices in southern Finland went up by 11.6%. But in Northern Finland, prices only went up by 4.9%. This shows a big difference in how quickly different parts of Finland are recovering7. This might mean different levels of demand and chances to invest, as the latest reports on Finland’s housing market suggest.
Trends in Southern vs. Northern Finland
Looking ahead, it seems southern Finland will continue to see prices rise due to high demand. In contrast, the North’s slower price growth might be due to ongoing economic struggles in that area. Yet, the overall trend looks good for both investors and homeowners. Prices are expected to keep going up, especially in cities, according to recent market insights7.
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FAQ
What factors influence house prices in the Finland housing market?
Important factors are location, urbanization, shifting demographics, and the economy. Prices usually go up in big cities compared to the countryside.
How have house prices changed in Finland recently?
Lately, one-family house prices have gone up, with big cities seeing a bigger rise. This increase shows a strong demand, especially after the pandemic.
What is the current average house price in Finland?
Right now, the average price across Finland is €1,767 for each square meter. But, prices can be much higher in big city areas.
How do house prices in Greater Helsinki compare to other regions?
Prices in Greater Helsinki can soar above €3,700 per square meter, ranking it among the priciest places. However, smaller towns have much lower prices.
Are there notable differences in house prices between Southern and Northern Finland?
Certainly. The South has prices averaging €2,061 per square meter, much higher than the North’s €1,313. This shows a clear price gap between regions.
What trends are expected in the Finland housing market moving forward?
Expectations point to a continued rise in prices, mainly in cities. This is due to constant demand and shifts in how people choose to live after the pandemic.
Source Links
- https://www.finlandprices.com/housing-prices-finland/
- https://pdfs.semanticscholar.org/35e2/d31be2518a2e915517745bfeda1cbcc8a486.pdf
- https://cayimby.org/blog/its-only-a-housing-market-if-you-can-move-evidence-from-helsinki/
- https://www.numbeo.com/cost-of-living/region_prices_by_city?itemId=100®ion=150
- https://www.linkedin.com/pulse/impact-location-property-value-understanding-key-factors-gigi-lopez-gsdye
- https://link.springer.com/article/10.1007/s12053-023-10084-x
- https://www.huduser.gov/portal/pdredge/pdr-edge-international-philanthropic-071123.html
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