The latest Q2 2021 house price index from Global Property Guide has revealed that the countries in northern Europe continue to see annual real estate appreciation that is far above the historical average. 

In Sweden, the housing market has strengthened further, with the nationwide house price index rising by 15.1% during the year to Q2 2021 – almost triple the previous year’s 5.5% y-o-y increase. 

Quarter-on-quarter, house prices in Sweden increased by 5.4% in Q2 alone, compared to Q1 2021. The Swedish economy is projected to grow by 4.6% this year, fully offsetting its modest contraction of 2.8% last year, according to the European Commission. 

Neighbouring countries to the west of Sweden have also seen rapid property price growth in the last 12 months, with Norway seeing a 9.4% rise and Denmark a 9.2% rise, compared to the end of Q2 2020. However, property price growth in Finland was far more subdued at just 3.5%.