Economics

Europe’s Frothiest Housing Market Is Making Politicians Edgy

Swedish political consensus favors removing tax incentive
Concerns linger at debt ‘volcano’ lurking beneath surface

Housing And Construction as 'Red Hot' Home Prices Cool — Photographer: Mikael Sjoberg/Bloomberg

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By Niclas Rolander and Rafaela Lindeberg

July 21, 2021 at 4:00 AM UTC

Updated on

July 21, 2021 at 11:48 AM UTC

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A rally in Swedish home prices that made its housing market one of the world’s frothiest is reigniting political calls to remove a controversial tax perk seen as part of the problem.