Housing Market, Housing | Fewer on display and quieter bidding rounds

Since the new year, house prices have risen by 6.7 percent, and 2020 is set to beat the record year 2019 in the number of sales, writes Finansavisen. At the same time, August seems to be a weaker month than normal.

– People have a perception that the housing market is hot, and it was so far in July, but that is no longer the case, says general manager of Krogsveen department Sagene, Caroline S. Stensrød, to the newspaper.

Also read: Full house in the housing market: New upswing in July

August is usually one of the best months for home sales as many are looking for a new place to live. This year, more than 100,000 people have also been offered study places. However, this year, August sales started abnormally early, and 45 per cent more homes were sold in July 2020 compared with last year.

– Not so hot

Stensrød believes that the housing market’s coverage in the media has affected home buyers.

– Precisely the fact that a lot has been written about how well the housing market has gone, has made more people now afraid to buy and would rather wait until October / November. We get feedback on that, she says.

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Although it is not a given that the market will calm down this autumn, many will now wait for the situation, the broker assumes. While there were wild bidding battles in July, there are now more negotiations and one to three bidders, says Stensrød. Several other brokers are also reporting less response to the housing ads now.

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Stenrød points out that there are many homes that are not sold and that it can affect this autumn’s housing market. Unsold apartments are little mentioned, but will be reflected in the price statistics later, she points out.

– People have been uprooted since July, but the market is not as hot as you might get a picture of, says Stensrød.
(© NTB)

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