Danish properties for sale hit record prices

Danemark
On the 11/16/20 at 1:02PM

by

Adrien Paredes-Vanheule

(Pixabay)

Since the Danish financial sector association started calculating the average price of local houses for sale in 2004, it had never been as high as it is now, Finans Danmark said. The body estimates that as at the end of October, Danish properties for sale were priced at an average DKK 17,438 per sqm (€2,342 per sqm), up 4.3% year-on-year. Meanwhile, Finans Danmark also stressed that the number of houses for sale was 21% down yoy and that the properties stayed on the market an average 12 days less than last year (232 days in total).

Another finding from Finans Danmark is that one in three houses put on sale saw its price dropping by an average DKK 160,500 (€21,554). The total drop in prices of the 27,207 Danish properties for sale at the end of October 2020 is estimated at DKK 1.4bn (€188m). Besides, Finans Danmark's calculations suggest local houses that have been for sale for about 100 days cost approximatively 5% less than their initial price set. As for the Danish properties that have been on the market for more than a year, their price is almost 10% lower than when they were first put for sale.

Ane Arnth Jensen, deputy CEO of Finans Danmark, commented :Even though the whole country is in an uncertain financial situation due to the coronavirus outbreak, house prices have set a new record. The higher prices must be seen in the light of the fact that relatively several new houses are put up for sale, but that even more houses are taken off the market. This indicates a high demand for houses, which is helping to push up prices and shorten supply times.