– Massively Loud – E24

Rent prices are crushing price growth, which is just a forecast, says Utleymcleran.

Eastern Norway got a taste of summer this weekend, and the rental market got a taste of what the market will be like when the high season hits late summer.

Rental prices are forecast to grow strongly, but April's figures beat forecasts.

Average price in Oslo, April 2024 NOK 17,627.

– It is very high. For comparison, we measured the cost of capital in the first quarter of 2024 NOK 15,468. Compared to April 2023, the rise is increasing 10.66 percentsays Marketing Manager at Husleie.no Andreas Sæle.

In comparison, the price increase was 3.6 percent in April SSP.

Husleie.no serves more than 20% of the Norwegian housing rental market. By 2023, more than 40,000 leases were created on the platform.

Sæle believes that a major reason for the rise in prices is that students have now entered the market in big cities. Hot market

Sæle says he spoke to a landlord who was letting a four-room apartment in Majorstuen in Oslo. An 80 square meter apartment is rented for NOK 28,000 per month. In no time, it was now being rented for NOK 32,000.

The letting agent has a portfolio of over 17,000 homes where they serve tenants.

– We already have well-attended screenings, especially in student towns. It's just the flavor we'll be stocking up on all summer long. There is an imbalance between supply and demand in the rental market. We will have a red-hot market until September, says Stien Karlsson, CEO of Utleiemegleren.

According to Eiendom Norge, rental prices are expected to rise by 7.7 percent in 2023. April figures showed rents in the four biggest cities rose by 2.3 per cent in the first quarter of the year.

At the same time, very few houses are being built in big cities. The brokerage industry now expects the rental market to become even tighter in the coming years.

Sæle at Husleie.no believes that the government's tax policy makes being a landlord unattractive, thus shifting the cost to tenants.

– With the valuation of secondary homes and the property tax on these, financial conditions may be very important here, meaning that it is no longer attractive for private individuals to engage in housing rental. He says this is due to political decisions, and with the number of rental properties falling at a record pace, it will be exciting to see what those same politicians come up with as a solution.