The bar showing the total supply of homes on Hemnet between January and March in 2024 has absolutely skyrocketed.
There have not been so many objects for sale on Hemnet in over ten years, reports Göteborgs-Posten.
During the previous month, approximately 59,000 objects were out, which is 15,000 more than last year.
According to the paper, the total supply of housing ads consists of over 160,000 ads posted on the site between January and March. The highest figure since 2014 is just under 110,000.
Several factors
The large increase in supply, however, has a different explanation than the fact that it is new homes that have been published.
Instead, it is due to the fact that for many people it takes longer to get a home sold – which means that the ads stay up longer and pulls up the curve.
In addition, in recent years, to a greater extent, the category “future housing” has begun to be used – that is, objects that will go on the market later. It also drives the rise.
Buyers deviate from the norm
According to Hemnet, buyers have also departed from a previous normal situation in the market. In the past, many people bought a new home even before the previous one had time to be sold.
– In the “normal market” we usually see that two out of three people buy their new home first before selling their old one. But today it’s the other way around, says Erik Holmberg, market analyst at Hemnet, to GP.
According to the analyst, it is now seven out of ten who first choose to sell before they buy.
SBAB: “Record size”
Today, SBAB also makes a statement about the situation in the housing market.
The bank expects an increase in house prices of four percent over the whole year.
The reason is longer fixed mortgage interest rates, which primarily affect housing prices and do not fall at the same rate as variable interest rates.
– The total supply of housing (including soon to be sold/coming soon) is still a record high, which reasonably also contributes to a subdued trend in housing prices. Housing prices are expected to grow more in the spring to fall back later in the autumn in line with usual seasonal patterns, SBAB emphasizes in a press release.
General change
Despite Hemnet testifying that it takes longer to get homes sold, Swedish Real Estate Statistics was able as late as March to report a strong change in general in the housing market
In February, 12,500 homes were sold, which is an increase of ten percent compared to the corresponding month in 2023.
Of these, 8,800 were condominiums and 3,700 were villas, and the latter represents an increase of as much as 14 percent.
– The fact that more deals are closing is a promising sign that the market is starting to wake up after a long winter hibernation, says Oskar Öholm, CEO of the Mäklarsamfundet.
– Whether the trend will continue remains to be seen, but the number of deals in January and February was roughly the same as the same period in 2019.
In Greater Stockholm, prices increased by half a percent, while the change for Greater Gothenburg and Stormalmö was +0.1 and -1.1 percent, respectively.
Photo: Hemnet
Text: The editors
