Free Trial

Norwegian House Prices Continue To Exhibit Strength

SCANDIS

Norwegian existing house prices continued their strong development in 2024, rising 0.6% M/M on a seasonally adjusted basis (vs 0.7% prior). The Norges Bank’s March MPR forecast has undershot actual price growth in every month since its release.

  • The resilience of house prices has been impressive considering the Norges Bank’s hawkish stance and given that ~90% of Norwegian mortgages have variable interest rates.
  • Recent developments warrant an upward revision to house price forecasts in the June MPR, which will likely exert a small upward effect on the rate path all else equal.
  • Elsewhere, Swedish house prices also registered growth in May, with apartments rising 1.6% M/M and 2.2% y/y, and houses rising 1.2% M/M and 1.2% Y/Y. However, we note that this data is not seasonally adjusted.

137 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

Norwegian existing house prices continued their strong development in 2024, rising 0.6% M/M on a seasonally adjusted basis (vs 0.7% prior). The Norges Bank’s March MPR forecast has undershot actual price growth in every month since its release.

  • The resilience of house prices has been impressive considering the Norges Bank’s hawkish stance and given that ~90% of Norwegian mortgages have variable interest rates.
  • Recent developments warrant an upward revision to house price forecasts in the June MPR, which will likely exert a small upward effect on the rate path all else equal.
  • Elsewhere, Swedish house prices also registered growth in May, with apartments rising 1.6% M/M and 2.2% y/y, and houses rising 1.2% M/M and 1.2% Y/Y. However, we note that this data is not seasonally adjusted.