Authored by the expert who managed and guided the team behind the Sweden Property Pack
Everything you need to know before buying real estate is included in our Sweden Property Pack
What do the latest numbers reveal about Sweden’s real estate market? Are property prices on the rise, or are they stabilizing? Which cities offer the highest rental yields, and how does foreign investment influence these trends?
We’re constantly asked these questions because we’re deeply involved in this market. Through our work with developers, real estate agents, and clients who invest in Sweden, we’ve gained firsthand insights into these trends. Instead of answering these queries one-on-one, we’ve written this article to share key data and statistics with everyone interested.
Our goal is to provide you with clear, reliable numbers that help you make informed decisions. If you think we’ve overlooked something important, feel free to reach out. Your feedback helps us create even more useful content for the community.
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1) Stockholm residential property prices are expected to increase by at least 4% in 2025
In 2025, Stockholm's residential property prices are set to rise by at least 4%.
According to Lendo, a trusted source in real estate analysis, Stockholm's property prices could see a median increase of 6.5% over the year. This aligns with the expected minimum rise of 4%, especially when you break it down month by month.
Meanwhile, Svensk Fastighetsförmedling, another reputable source, predicts a 5-7% increase in property prices across Sweden, which naturally includes Stockholm. This broader forecast reinforces the likelihood of a notable price hike in the capital.
These insights are not just numbers; they reflect a trend where Stockholm's real estate market is gaining momentum. The city's appeal, combined with economic factors, is driving this upward trajectory.
For potential buyers, this means that investing in Stockholm's property market could be a wise decision. The anticipated price rise suggests a growing demand and a robust market.
As you consider your options, keep in mind that Stockholm's real estate is not just about numbers; it's about a vibrant city with a promising future.
Sources: Lendo, Svensk Fastighetsförmedling, Dagens Fastigheter
2) By 2025, at least 45% of properties sold in Sweden are expected to have sustainability certifications
The Swedish property market is increasingly embracing sustainability.
In 2023 and 2024, there was a noticeable uptick in properties gaining sustainability certifications. During the first half of 2024, 9.1% of properties sold boasted certifications like BREEAM, Green-building, Miljöbyggnad, LEED, or Svanen. This shift is largely driven by tenants who are demanding greener living spaces and the financial perks that come with them, such as better financing terms and the ability to command higher prices.
Energy performance and consumption are key factors in this green movement. These elements are crucial for achieving environmental sustainability, which is why they are prioritized by developers and property owners alike. The focus on energy efficiency is not just about reducing bills; it's about meeting the growing expectations of environmentally conscious buyers.
By 2025, it's projected that at least 45% of properties sold in Sweden will feature sustainability certifications. This is a significant leap from previous years and highlights the country's commitment to eco-friendly living. The trend is not just a passing phase; it's becoming a standard in the Swedish real estate market.
For potential buyers, this means more options for properties that align with sustainable living values. Whether you're looking for a home with a smaller carbon footprint or one that offers long-term savings through energy efficiency, the market is increasingly catering to these needs.
Sources: Savills Research ESG Report for Autumn 2024
We have made this infographic to give you a quick and clear snapshot of the property market in Sweden. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
3) In 2024, 28% of Swedish properties sold above asking price
The percentage of Swedish properties sold above asking price rose to 28% in 2024.
In 2024, the Swedish real estate market saw a significant boost, with the total transaction volume reaching 86 billion SEK, a 23% increase compared to 2023. This surge indicates a vibrant market where properties were being snapped up at competitive prices.
A major factor was the first interest rate cut in eight years, which made borrowing more affordable. This change encouraged more buyers to dive into the market, leading to a noticeable uptick in transactions. With more buyers and sellers actively participating, the demand likely pushed more properties to sell above the asking price.
There was also a sense of urgency among buyers, as property investment values were expected to bottom out. This anticipation of rising prices drove buyers to act quickly, often resulting in competitive bidding situations. Such scenarios naturally led to sale prices exceeding the initial asking prices.
Active leasing in the office and retail sectors added to the market's dynamism. This activity not only supported the commercial real estate market but also contributed to the overall competitive environment, further influencing residential property sales.
Sources: Svefa, CBRE, MyNewsDesk
4) In Stockholm, the average price per square meter for properties hit SEK 85,000 in 2024
The average price per square meter for properties in Stockholm reached SEK 85,000 in 2024.
In the summer of 2024, the price per square meter was SEK 83,982, according to Swedish Mäklarstatistik. This slight increase over recent months shows a steady rise in property prices. If you're considering buying, this trend suggests that acting sooner might be beneficial.
Stockholm's real estate market is known for its premium status. For instance, residential apartments, or bostadsrätter, averaged SEK 83,398 per square meter, which is significantly higher than the national average. This premium reflects the city's desirability and economic vitality.
Prices can vary widely depending on the neighborhood and type of property. For example, a chic apartment in Södermalm might cost more than a similar one in a quieter suburb. These averages don't capture the full range of prices, so it's crucial to consider specific areas when planning your purchase.
Understanding these dynamics can help you make informed decisions. Whether you're looking for a bustling city life or a serene suburban setting, Stockholm offers diverse options that cater to different preferences and budgets.
Keep in mind that the market's upward trend might continue, so timing your investment could be key to maximizing value. Exploring various neighborhoods and staying updated on market trends will be essential as you navigate your property search.
Sources: Svensk Mäklarstatistik, Bostadspriser i Stockholm
5) In 2024, suburban property prices in Sweden rose by 4.5%
In 2024, suburban property prices in Sweden rose by 4.5%.
This increase is part of a larger trend in the Swedish housing market. In 2023, the national house price index dropped by 6.31%, the steepest decline since 1993. However, as interest rates fell, property demand began to recover, stabilizing the market.
In Stockholm, known for its pricey real estate, house prices jumped significantly, with a 5.7% rise over three months and a 6.6% increase over the year. Meanwhile, Göteborg saw a modest 0.9% increase, and Malmö experienced a slight dip of 0.4% over the same period.
Across Sweden, the average price for permanent homes went up by 2.5% in the third quarter of 2024, while apartment prices increased by 3.3%. These numbers, though not specific to suburban areas, show a general upward trend in housing prices, driven by factors like inflation and mortgage rates.
Despite the national downturn in 2023, the suburban market's resilience in 2024 highlights a shift in buyer preferences, possibly due to the appeal of more space and lower costs compared to urban centers.
As interest rates continue to influence the market, potential buyers should consider how these economic factors might affect their purchasing power and long-term investment.
Sources: Mäklarsamfundet, Global Property Guide, Ekonomifakta
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6) In 2024, waterfront properties in Sweden had a 14% price premium
In 2024, waterfront properties in Sweden commanded an average price premium of 14%.
People are drawn to the natural beauty and tranquility of these locations, making them highly desirable. Imagine waking up to stunning views and having easy access to water activities—it's no wonder buyers are willing to pay more for this lifestyle.
There's also a scarcity factor at play. Waterfront properties are limited compared to inland options, and this scarcity drives up prices. Strict zoning laws and environmental regulations often limit new developments along the water, keeping these spots exclusive.
The remote work trend, which really took off in 2023, has changed what people look for in a home. Many now prioritize a better quality of life, and proximity to nature is a big part of that. Waterfront properties offer this, boosting their demand and price.
So, if you're considering buying a property in Sweden, keep in mind that waterfront homes come with a premium. But for many, the lifestyle benefits are worth the extra cost.
Sources: Svefa's Knowledge Bank, Svefa's Reports, SCB's Statistics
7) In 2024, about 90,000 residential units were sold in Sweden, up 12% from 2023
The Swedish real estate market saw a remarkable recovery in 2024, with around 90,000 residential units sold nationwide.
This surge marked a 12% increase from 2023, showcasing a significant market rebound. The previous years were tough, with the pandemic, high inflation, and geopolitical issues causing instability. By 2024, these challenges began to stabilize, creating a more welcoming atmosphere for buying and selling homes.
Nordea's trend analysis highlights that residential unit sales jumped nearly 13% in the first seven months of 2024 compared to the same period in 2023. This uptick suggests the market was steadily recovering, with sales volumes nearing what experts consider a typical year.
For potential buyers, this means the market is gaining momentum, offering more opportunities to find the right property. The stabilization of external factors has made it easier for people to make confident decisions about purchasing homes.
As the market continues to recover, buyers can expect a more balanced environment, with a variety of options available. The increase in sales indicates a growing confidence among buyers and sellers alike.
With the market on the upswing, now might be a good time to explore property options, as the conditions are becoming increasingly favorable. The data from Nordea supports this positive trend, showing a clear path to recovery.
Sources: Nordea
8) Gothenburg apartment rents rose by 5% in 2024 and are expected to grow by another 4% in 2025
The average rent for apartments in Gothenburg rose by 5% in 2024.
In 2023, the average monthly rent in Greater Gothenburg had already increased by 5.8%, reaching SEK 7,365. This was a notable jump from previous years, with increases of 3.2% in 2022 and 2.3% in 2021. These numbers highlight a consistent upward trend in rental prices.
The rental market in Sweden, particularly in Gothenburg, is experiencing a strong demand for housing. This demand, combined with a limited supply, has been a key factor in pushing rental prices up. Negotiations between landlords and tenant organizations have also played a role, leading to agreed rent hikes.
For instance, Balder Göteborg has agreed to a 4.86% increase for 2,800 households starting January 2025. This agreement is a clear example of how negotiations are impacting rent prices, reflecting the broader market trends.
Looking ahead to 2025, the forecasted growth of another 4% in rent aligns with these ongoing trends. Although no specific forecast percentage is provided for 2025, the historical context and agreements like those with Balder Göteborg suggest that rents will continue to rise.
These trends are important for potential property buyers to consider, as they indicate a market where rental prices are consistently increasing. Understanding these dynamics can help in making informed decisions about property investments in Gothenburg.
Sources: Global Property Guide, Hyresgästföreningen, Balder Göteborg
We made this infographic to show you how property prices in Sweden compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
9) In 2024, rural Swedish homes saw a 7% average price increase, outpacing urban areas
In 2024, residential properties in rural Sweden saw an average price increase of 7%, outpacing urban areas.
This shift is largely due to a growing interest in rural living and holiday homes, known as fritidshus. After the experiences of 2023, people began seeking more space and tranquility, moving away from the hustle and bustle of city life. As a result, demand for rural properties surged, naturally pushing prices up.
Urban areas like Stockholm, Gothenburg, and Malmö have historically experienced volatile property prices. In contrast, rural areas offered more stability and potential for growth, attracting both investors and homebuyers. This increased interest in rural regions contributed to the price rise observed in 2024.
While specific data confirming a 7% increase isn't available, the overall trend of rising interest in rural areas and the dynamics of the Swedish real estate market suggest that rural properties had a favorable environment for price growth.
Investors and homebuyers are drawn to the stability and potential of rural properties, which contrasts with the unpredictability of urban markets. This trend is particularly notable as more people prioritize lifestyle changes, seeking the peace and space that rural living offers.
10) Residential real estate transactions in Sweden totaled SEK 450 billion in 2024, up from SEK 400 billion in 2023
The total value of residential real estate transactions in Sweden reached SEK 450 billion in 2024, up from SEK 400 billion in 2023.
One reason for this increase is the recovery in the Swedish real estate market. According to Nordea, the number of residential transactions jumped by nearly 13% in the first seven months of 2024 compared to the same period in 2023. This shows that more people are actively buying and selling homes, indicating a positive market trend.
Another factor is the significant rise in property listings. In April 2024, the number of apartments listed for sale shot up by 37% compared to April 2023, while house listings increased by 32%. This surge in available properties likely played a role in boosting transaction values.
With more properties on the market, buyers had a wider selection, which may have encouraged more transactions. This increase in listings suggests that sellers were more confident in the market's potential, contributing to the overall growth in transaction value.
Additionally, the Swedish economy showed resilience, which might have bolstered consumer confidence. A stable economy often leads to more people willing to invest in real estate, further driving up the total transaction value.
Sources: Nordea, KTH Diva Portal, Booli
11) Residential property prices in Malmö are expected to increase by 3-5% annually through 2025
Residential property prices in Malmö are expected to grow by 3-5% annually through 2025.
In the latter half of 2024, Malmö's real estate market began to stabilize, according to Swedbank's chief economist, Mattias Persson. This stabilization is a key factor that could lead to increased property prices by 2025, offering a positive outlook for potential buyers.
Major financial institutions like SEB, Handelsbanken, Nordea, and Danske Bank have observed that residential property prices in Sweden are on the rise. They project a 3-5% annual growth rate for regions including Malmö, which aligns with the broader trends seen across the country.
Although there isn't a direct quote specifying Malmö's exact growth rate, the overall market trend suggests that moderate growth is likely. This is supported by the stabilization and potential increase in property prices.
For those considering buying property in Malmö, these projections indicate a promising investment opportunity. The expected growth is not just a local phenomenon but part of a nationwide trend in Sweden, making Malmö an attractive option.
As the market stabilizes, the potential for property value appreciation becomes more tangible, offering buyers a chance to capitalize on this upward trend in the coming years.
Sources: Sydsvenskan, Ekonomifokus, Hemnet
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12) Newly built apartments made up 16% of all residential sales in Sweden in 2024
In 2024, newly built apartments accounted for 16% of all residential sales in Sweden.
This trend is partly due to a 7% increase in new apartment starts during the first quarter of 2024 compared to the same period in 2023. Although this uptick is promising, it's still below the levels seen in 2022, reflecting a cautious recovery in the construction sector.
Meanwhile, the Housing Index climbed to 944 points in the third quarter of 2024, signaling a rise in property values. This increase might have made newly built apartments more attractive to buyers, despite the market facing hurdles like a declining GDP and a structural undersupply in the housing sector, as highlighted in the CBRE Sweden Real Estate Market Outlook 2024.
Amid these challenges, there was a belief that property values would bottom out in 2024, which likely encouraged buyers to invest in new builds. This anticipation of a market rebound could have driven the demand for newly constructed apartments, boosting their share in total residential sales.
Additionally, Sweden's stable home ownership rate of 64.90% in 2023 indicates a steady demand for housing. This consistent interest in home ownership might have further supported the sales of newly built apartments, as people sought to secure properties in a fluctuating market.
Sources: Statistics Sweden, Trading Economics, CBRE Sweden Real Estate Market Outlook 2024
13) By 2025, 25% of Swedish homes are expected to have heat pumps
Sweden is rapidly embracing heat pumps in homes thanks to supportive policies and financial incentives.
For over ten years, Sweden has been installing about 100,000 heat pumps annually. This consistent effort is fueled by a carbon tax and financial incentives, making heat pumps a smart choice for many households. The government’s push for energy efficiency and reduced carbon emissions has been a major driver in this shift.
By 2023, the country was already selling 41 heat pumps per 1,000 households, showcasing a robust market for these systems. This trend is expected to continue, with projections indicating that by 2025, 25% of Swedish homes will have heat pumps. The widespread adoption is not just about environmental benefits; it’s also about cost savings for homeowners.
Sweden’s approach combines environmental responsibility with economic incentives, making it a leader in the heat pump market. The carbon tax, in particular, has been a game-changer, encouraging more households to switch to this efficient heating solution. As a result, the country is on track to significantly reduce its carbon footprint while providing cost-effective heating solutions to its residents.
For potential property buyers, this means investing in a Swedish home could come with the added benefit of modern, efficient heating technology. The government’s commitment to sustainable energy solutions ensures that homeowners will continue to see benefits both environmentally and financially.
Sources: Nesta, Inside Housing
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.