Pursuits
Norway Regulator Raises Warning Housing Market Is Out of Control
Small residential homes stand on a hill in the old town district of Stavanger, Norway
Photographer: Kristian Helgesen/BloombergThis article is for subscribers only.
A combination of plunging oil prices and falling interest rates risks pushing Norway’s housing market beyond its breaking point, the financial regulator said.
The economy of western Europe’s biggest oil exporter is now struggling to expand amid a slump in crude. The central bank cut rates in December and said there’s a 50-50 chance for another reduction, triggering a mortgage war as banks such as DNB ASA and Nordea Bank AB lowered rates to lure customers.