Swedish Households Turn Gloomier on Outlook for Home Prices
- Almost six in ten see more housing weakness in SEB survey
- Most local forecasters expect 20% price slide from peak level
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A growing majority of Swedish households expect the housing market to continue cooling as the economy weakens, borrowing costs rise and electricity prices spike.
Home prices in the Nordic region’s largest economy have fallen by about 14% from a peak earlier this year, reversing outsized gains posted during the Covid-19 pandemic as households are squeezed by rising costs. In a survey from SEB AB, the country’s largest bank, 58% expect the decline to persist, slightly more than the 55% that took a negative view on the market in last month’s reading.