Central bank raises interest rates

Interest rates rose another quarter-point on Thursday, after Norway’s central bank decided that it was time to gently step on the country’s economic brakes. Norges Bank‘s governor, Øystein Olsen, also warned that another interest rate hike looms later this year. “Our current assessment of the outlook and balance of risks suggests that the policy rate […]

Debt adds to the oil dependency threat

NEWS ANALYSIS: Norway’s dependency on its oil and gas industry isn’t the only thing threatening the economy. After a week of falling oil prices, state financial regulators are also sounding alarms over Norwegians’ record high household debt at a time when interest rates are due to rise. “The household debt burden, measured in terms of […]

Supreme Court hears property tax case

A class action lawsuit against Oslo’s property tax system, filed on behalf of 3,400 Oslo residents, made it into the Supreme Court this week. It claims the Labour Party-led Oslo city government’s property tax is illegal because its burden isn’t equally shared. “We hope we win the court’s support for our objection in principle that […]

Housing prices rose again, sales brisk

January turned out to be anything but a slow month in Norway’s housing market. Prices rose, and the number of homes sold broke a new record. Numbers released this week by the brokers’ association Eiendom Norge showed prices up an average of 3.6 percent over January of 2018. That was described as “moderate” compared to […]

Housing prices rise in line with salaries

Year-end figures showed that housing prices in Norway rose an average of 2.8 percent in 2018, in line with average wage growth. The figures from the real estate association Eiendom Norge also showed that the total number of homes sold was higher than in the record year of 2015. Brokers think the real estate market […]

Prospects bright for Norway’s economy

Norwegian economists agree that New Year prospects are bright for the country’s economy in 2019. They predict economic growth of 2 percent, low interest rates, lots of activity in the oil and oil service sectors and even a “perfect” real estate market. “Oil investments will shoot up, and that yields positive impulses for the rest […]

Norway to crack down on Airbnb

The Norwegian government is poised to tighten and clarify regulations for short-term rental of residential property, in new legislation sent to Parliament on Friday. The goal is to crack down on what government minister Monica Mæland calls the “pure hotel operations” that have sprung up since online accommodation service Airbnb entered the market. The main […]

Housing prices keep sliding

Norway’s real estate brokers’ organization (Eiendom Norge) reported another price decline in the housing market on Wednesday, with figures showing prices to be down another 1.5 percent on average in November. It was even weaker than normal for the month, but widely viewed as another correction after years of price hikes. The brokers stressed that […]

‘Culture of fear’ prompts new city probe

Oslo’s Labour Party-led government has another problem on its hands, following complaints of a “culture of fear” within the city’s planning and building agency (Plan- og bygningsetaten). The city politician in charge has felt compelled to order an external probe. Hanne Marcussen of the city government said she ordered the probe following “serious claims” that […]

Housing prices are down nationwide

Average prices of both new and used homes fell in Norway last month, another sign that the country’s once-red-hot residential real estate market has cooled off. While many cite a better balance between supply and demand, it’s not good news for builders of all the housing projects now underway. “It seems like there’s been a […]