House prices rocketing in Helsinki Metropolitan Area

print this

The high demand for single-family houses has continued to increase their prices in the entire Helsinki Metropolitan Area. According to the Finnish Real Estate Agents’ Association, prices of detached and semi-detached houses rose by around 9-13 % in the area in the course of the last twelve months.
      The demand for reasonably-priced building lots is also growing rapidly. According to the recent information issued by the Helsinki Metropolitan Area Council, the increase in the prices of building lots in Espoo was 20% in the period from January - August, and 17% in Vantaa.
     
While well educated people previously moved from Helsinki to Espoo, they now head for Vantaa, where the prices are the most reasonable in the entire region.
     
On the other hand, people with an average income used to move from Helsinki to Vantaa. However, migration has influenced the price of housing, especially in the outer ring of neighbouring municipalities, and today those who wish to buy less expensive houses have to move further north to Nurmijärvi, Tuusula, or Kerava.
      Even in Eastern and North-eastern Helsinki, the prices of one-family houses have grown sharply, whereas the prices of flats are the least expensive in the area. According to researchers, this implies that the City of Helsinki is focusing too much on the production of apartment buildings, and consequently only people with high income can afford to live in private houses. 


Previously in HS International Edition:
  Record differences in housing prices in different parts of Helsinki (12.10.2004)

Links:
  City of Helsinki Urban Facts
  Finnish Real Estate Agents' Association (SKVL)
  Helsinki Metropolitan Area Council

Helsingin Sanomat