Authored by the expert who managed and guided the team behind the Norway Property Pack
Yes, the analysis of Bergen's property market is included in our pack
What is happening in Bergen’s real estate market? Are prices climbing or stabilizing? Is Bergen still attracting international buyers? How are local policies shaping the real estate landscape in 2025?
These are the questions we hear every day from professionals, buyers, and sellers across Bergen and beyond. Maybe you’re curious about these trends too.
We know this because we stay closely connected with local experts and people like you, exploring the Bergen real estate market daily. That’s why we crafted this article: to offer clear answers, insightful analysis, and a comprehensive view of market trends and dynamics.
Our aim is straightforward: to make sure you feel informed and confident about the market without needing to search elsewhere. If you think we missed something or could improve, we’d love to hear your feedback. Feel free to message us with your thoughts, and we’ll strive to enhance this content for you.
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1) Short-term rental yields in Bergen will increase with rising tourism
Bergen is buzzing with tourists, especially with its bustling cruise port welcoming a large chunk of the world's cruise fleet.
With this surge in visitors, short-term rentals are in high demand. Imagine your property being booked for about 277 nights a year, thanks to a 76% occupancy rate. That's a lot of nights filled with travelers eager to explore Bergen's charm.
Now, let's talk numbers. The average daily rate for these rentals is €109. This steady rate means hosts can pocket around €28K annually. Not too shabby for a side hustle, right?
With such promising returns, it's no wonder more property owners are jumping into the short-term rental market. The combination of high occupancy and stable rates makes it a lucrative opportunity.
And here's a little insider tip: Bergen's tourism isn't just a passing trend. The city's appeal continues to grow, ensuring a steady stream of visitors and, consequently, a thriving rental market.
So, if you're considering investing in property here, know that the tourism boom is your ally, promising a bright future for short-term rental yields.
Sources: Airbtics, CruiseMapper
2) Rental yields will stabilize as more properties become available in the market
In Bergen, the number of rental properties has been on the rise, offering more choices for potential renters.
By September 2024, there were 2,279 active Airbnb listings in the city, indicating a boom in both short-term and long-term rental options. This surge in availability is likely to help stabilize rental yields as renters have more properties to choose from.
Although there was a dip in multifamily building starts in 2023, experts anticipate that this trend will level out or even increase. As the market adapts to economic changes, we might see more residential buildings popping up, which could lead to a more balanced rental scene.
Government incentives, though not specified, are often designed to encourage property development, which can further support the stabilization of the rental market.
The rental market is also expected to return to its usual rent growth patterns. This is due to a mix of reduced supply and ongoing demand, which could result in steady rental prices and yields.
Higher vacancy rates in rental properties suggest a more balanced market, where rental yields stabilize as more properties become available.
Sources: Global Property Guide, Illume Property Management, Airbtics
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Norway. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
3) Demand for small, efficient apartments in Bergen will rise with the growth of single-person households
The demand for small, efficient apartments in Bergen is on the rise as more people choose to live alone.
In 2023, over 45% of households in Bergen were single-person homes, according to Statistics Norway. This shift means more people are looking for smaller living spaces that suit their lifestyle. Bergen's urban population is also growing, with 15,000 new residents moving in between 2018 and 2022. Many of these newcomers are young professionals and students who prefer compact, energy-efficient apartments.
The city's real estate market is catching on to these changes. Bergen's densification strategy is focused on building 50% of new housing in central areas, prioritizing affordable and compact options. This is great news for single-person households who want cost-effective and low-maintenance living solutions.
As Bergen becomes more urbanized, the demand for smaller apartments is expected to keep climbing. The city's approach aligns perfectly with the needs of those living alone, offering them the right mix of location and affordability. This trend is particularly appealing to young professionals and students who value convenience and efficiency in their homes.
With more people moving to Bergen, the real estate market is adapting quickly. The focus on central, compact housing is a smart move, catering to the growing number of single-person households. This shift is not just about numbers; it's about meeting the evolving needs of Bergen's residents.
As the city continues to grow, the demand for small, efficient apartments will likely increase, driven by the rise in single-person households and the influx of new residents. Bergen's strategy to build centrally located, affordable housing is a step in the right direction, ensuring that the city's housing market remains vibrant and responsive to its residents' needs.
Sources: Statistics Norway, Aesop Planning, Longfellow Nokomis Messenger
4) Affordable housing prices in Bergen will keep rising due to strong demand
Bergen's property prices have been climbing steadily, with a 1.2% increase in August 2023 alone.
By the end of August, the average home price in Bergen had jumped to 4.55 million NOK, up from 3.95 million NOK just a month earlier. This trend is expected to continue into 2024, with Bergen's market showing strong regional variations. The city's appeal is growing, especially among young professionals who are drawn to its vibrant job market and cultural scene.
Bergen's population is on the rise, reaching an estimated 292,516 residents in 2024. The larger metro area boasts about 420,000 people, highlighting the substantial demand for housing. Young Norwegians are flocking to the city, attracted by its opportunities and lifestyle, making it a hotspot for those seeking a dynamic urban experience.
One of the challenges in meeting this demand is the limited availability of land for new housing developments. In 2023, only 11,000 new homes were built across Norway, which is expected to tighten supply and push prices up from 2025. This scarcity of new housing options is a significant factor driving the rise in Bergen's property prices.
With high demand and limited supply, Bergen's housing market is poised for continued growth. The city's unique blend of natural beauty and urban amenities makes it an attractive place to live, further fueling the demand for homes. As more people move to Bergen, the pressure on the housing market is likely to increase.
For those considering buying property in Bergen, it's essential to understand these dynamics. The combination of a growing population, limited new housing, and the city's appeal suggests that affordable housing prices will continue to rise in the coming years.
Sources: Deleiebolig, World Population Review, Eiendom Norge
5) Foreign investment in Bergen's student housing market will increase
The rise in foreign investment in Bergen's student housing market can be attributed to several key factors. First, the University of Bergen has experienced a significant increase in international student enrollment. With around 2,000 international students currently enrolled, this represents a substantial portion of the total student population, driving up the demand for student accommodation.
This rising demand for student housing is a major draw for foreign investors. As more international students flock to Bergen, the need for additional student accommodation grows, making it an attractive market for investment. Additionally, Bergen's growing reputation as an educational hub further enhances its appeal to foreign investors looking to capitalize on this demand.
Moreover, Bergen's real estate market is relatively more affordable compared to other European cities. This comparative affordability makes it an enticing option for foreign investors who might find other European markets too expensive. High rental yields in Bergen's student housing market also offer promising returns, drawing in investors seeking profitable opportunities.
Sources: BI Norwegian Business School, Amber Student, Global Learning UCSC
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6) New environmental rules in Bergen will promote building energy-efficient homes
Bergen is on a mission to become Norway's greenest city, and it's making waves with new environmental regulations.
These changes are largely driven by government incentives that make energy-efficient construction more appealing. Builders and homeowners are finding it financially smart to invest in technologies like passive houses and climate-friendly ventilation systems.
Interestingly, 59% of homes built after December 31, 2020, already meet energy-efficient standards, even though it's not mandatory. This shift is fueled by both consumer demand and a nudge from regulations.
The buzz around energy-efficient homes is growing, thanks to increased media focus and city-led campaigns. This attention is creating a supportive atmosphere for sustainable urban development.
As Bergen continues to push for sustainability, public interest in energy-efficient housing is likely to rise. The city's commitment to green living is setting the stage for more eco-friendly homes.
With these efforts, Bergen is not just talking the talk but walking the walk towards a greener future.
Sources: Eiendomsverdi, Covenant of Mayors
7) Eco-friendly properties in Bergen will attract more interest from foreign buyers
Interest in eco-friendly properties is booming in Bergen, reflecting a global trend towards sustainable living.
People are increasingly aware of the environmental impact of traditional housing, driving the demand for green, resilient, and affordable homes. This shift is not just local; it's a worldwide movement. In Bergen, the natural beauty and commitment to sustainability make it a hotspot for those seeking eco-friendly living.
Surveys show that both Norwegians and international buyers have a strong preference for green living. This is partly due to the media's focus on climate change and sustainable living, which has made eco-friendly homes a top choice. The Norwegian government is also on board, offering incentives for eco-friendly construction and promoting the use of renewable energy.
Bergen's reputation as a city committed to sustainability is a big draw for foreign buyers. The city's natural beauty and Norway's overall commitment to environmental sustainability make it an appealing location. International trends are pushing for reduced carbon footprints in real estate, and Bergen is right in step with this movement.
Eco-friendly building materials and technologies are becoming more available, further fueling interest in Bergen's green properties. The city's commitment to sustainability is not just a local affair; it's part of a larger global trend. Foreign buyers are increasingly interested in properties that align with these values.
As the world moves towards more sustainable living, Bergen stands out as a prime location for eco-friendly real estate. The combination of natural beauty, government support, and international trends makes it a compelling choice for those looking to invest in green properties. Bergen is becoming a key player in the eco-friendly real estate market.
Sources: Business Norway, World Bank Blogs
8) Bergen’s high-end property prices will slightly decline due to oversupply
Bergen's high-end property market is seeing an oversupply of luxury homes.
With so many new developments, there are now more luxury listings than buyers. This has led to a rise in unsold properties, as local real estate agents have noticed. Sellers are now in a tough spot, competing fiercely to attract potential buyers.
Sales figures for these high-end homes have been on a downward trend. This suggests the market is correcting itself due to the sheer number of luxury properties available. Buyers are becoming more selective, and this shift is impacting how quickly homes are sold.
Many luxury homes are seeing price reductions or are staying on the market longer. This is a clear sign that sellers are adjusting their expectations to match the current market conditions. Buyers are cautious, and this is influencing the overall dynamics of the market.
In Bergen, the once hot luxury market is cooling off slightly. The oversupply is causing a slight decline in prices, as sellers try to make their properties more appealing. This is a good time for buyers to explore options, as they might find better deals.
For those considering buying in Bergen, it's important to understand these market shifts. The current conditions offer a unique opportunity to purchase luxury properties at potentially lower prices, thanks to the ongoing market correction.
Source: HousingWire
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Norway versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
9) Interest in the Åsane region will drop due to worries about overdevelopment
In recent years, the Åsane region has been experiencing a noticeable decline in interest, primarily due to concerns about overdevelopment. One of the key indicators of this trend is the decreasing property sales in Åsane. Although the Bergen County housing market remains active, Åsane has seen a slowdown, with properties staying on the market longer. This suggests that potential buyers are hesitant, possibly due to worries about overdevelopment.
Surveys and community feedback have consistently highlighted resident concerns about overdevelopment. These concerns are not just about aesthetics but also about the practical implications, such as increased traffic congestion. Reports of traffic issues in Åsane are becoming more common, which can be a significant deterrent for potential buyers who are already frustrated with the limited housing options in Bergen County.
Additionally, there have been rising complaints about noise and pollution in the area. As part of the Bergen metropolitan area, Åsane is not immune to these urban challenges. Such environmental issues can negatively impact property values and make the area less attractive to new residents. Local media coverage has also played a role in shaping public perception, with articles frequently discussing the overdevelopment issues in Åsane.
Sources: HousingWire, Noise Awareness, 208 Properties
10) Suburban rental yields will drop as city center locations become more popular.
In recent years, we've seen a noticeable shift in where people prefer to live, especially in places like Bergen. Back in 2023 and 2024, there was a significant rise in property prices in the city center, with a notable 9.2% increase in 2024 alone. This trend indicates a growing interest in city center living, which often leads to higher rental prices in these areas.
Another factor contributing to this shift is the increased demand for urban living spaces. With the surge in international tourism, platforms like Airbnb and Booking.com have reported higher occupancy rates in city centers. This suggests that more people are choosing to stay in urban areas, further driving up rental prices and making city living more attractive.
Moreover, surveys and reports have consistently shown that people prefer the amenities and lifestyle offered by city centers. The availability of services, cultural activities, and social opportunities makes urban living appealing, especially to younger populations who are moving into these areas. This demographic shift is a key reason why suburban rental yields are declining.
Sources: TenantCloud, Deleiebolig
11) Property prices in Bergen's suburbs will rise moderately
Suburban areas around Bergen are set for a moderate rise in property prices.
Bergen's population has been steadily growing, which means more people are looking for homes. This demand is pushing up prices not just in the city but also in the suburbs. The city's economy is strong and diverse, with industries like maritime, oil and gas, tourism, and education drawing in new residents. These newcomers are fueling the housing demand, which in turn is driving up property prices.
Transportation improvements have made it easier to commute from the suburbs, making these areas more attractive to buyers. This accessibility is a key factor in the moderate price increases we're seeing. Urban sprawl and limited space for new developments in Bergen's prime areas are pushing growth into the suburbs. This shift is making suburban regions more appealing, leading to a rise in property values.
People are also looking for larger living spaces and a closer connection to nature, which suburban areas often provide. This lifestyle trend is contributing to the moderate growth in property prices in these regions. The combination of these factors makes suburban areas around Bergen a hot spot for potential buyers.
Sources: Eiendom Norge, SSB
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12) Central Bergen will see higher rental yields as demand for city living rises
Rental yields in central Bergen are expected to increase as demand for city living grows. This trend can be attributed to several factors observed in the past few years. In 2023 and 2024, property prices in central Bergen were on the rise, indicating a growing demand for housing in the area. For example, a 2-bedroom apartment cost around €338,995, with a monthly rent of €1,420, resulting in a gross rental yield of 5.03%.
Additionally, Bergen has been experiencing an increase in population density, particularly in its urban areas. This trend is often associated with a higher demand for rental properties. The growing number of young professionals and students moving to Bergen, attracted by events like the Young Professionals Networking Event, further supports this demand. This demographic often prefers urban living and rental properties, contributing to the increased demand.
The limited availability of rental properties in central Bergen also plays a significant role in driving up rental yields. As demand for housing in these areas grows, the supply remains relatively low, leading to higher rental prices and yields. Moreover, the rising cost of home ownership in central Bergen makes renting a more viable option for many, thereby increasing the demand for rental properties and driving up rental yields.
Sources: Global Property Guide, SPE Bergen
13) Bergen’s property prices will stabilize following a period of rapid growth
In recent years, Bergen has seen a rapid increase in residential property prices, but signs of stabilization are emerging. In March 2024, house prices in Bergen rose by 2.7%, which, while still an increase, is slower than in previous years. This trend suggests that the rapid growth phase may be tapering off.
Additionally, the Norwegian economy is expected to grow steadily, with a 2.2% increase in 2023 and a 2.5% increase in 2024. This stable economic growth could lead to more consistent income levels, which in turn might help stabilize property prices. Furthermore, historical trends in Bergen's property market show cyclical patterns of rapid growth followed by stabilization, indicating that the current growth phase might be nearing its end.
Moreover, the impact of rising interest rates is beginning to affect housing prices, making mortgages less affordable and potentially cooling the market. The average time to sell a home in Norway increased to 38 days in August 2023, nine days longer than the previous year, indicating reduced buyer urgency and a possible stabilization in the market.
Sources: Statista, Aparthotel.com, Deleiebolig.no
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility. Finally, please note that we are not affiliated to any of the sources provided. Our analysis remains then 100% impartial.