Housing prices in the European Union fell by 1.5% in the fourth quarter of 2022, writes the Financial Times citing the EU statistical service Eurostat.
Housing became cheaper during the quarter for the first time since 2015. Prices fell in 15 of the 27 EU countries amid tightening standards and rising lending costs.
Denmark (6.5 percent) and Germany (5 percent) recorded the largest price declines.
“In the coming quarters, we expect further deterioration in the price dynamics in the housing market,” the newspaper quotes the words of economist Ani Heimann of S&P Global Market Intelligence.
Over time, a lack of investment by construction companies will limit supply and stabilize prices, Heimann believes.
Data on the state of the market in some countries suggest that in early 2023, housing continues to get cheaper, said FT. For example, in the Netherlands, its value decreased by 1.5% in January-February.
