Investment apartments|For the fourth year in a row, Tampere took first place in the ranking list measuring the attractiveness of housing investment by landlords.
The summary is made by artificial intelligence and checked by a human.
The attractiveness of investing in apartments in Helsinki has decreased due to difficulties in the rental market.
Helsinki was the biggest loser in the ranking list together with Kajaani.
Tampere kept the first place.
At the tail end of the city ranking are Kouvola and Pori.
Housing investment the attractiveness has decreased rapidly in Helsinki over the past few years due to the difficulties in the rental market, according to a recent study.
In the Finnish Landlords’ annual city ranking survey, Helsinki’s ranking sank to eleventh place from sixth place. Tampere took first place in the ranking list for the fourth year in a row. Turku was also second for the fourth year in a row. Rovaniemi took third place.
Helsinki was the biggest loser in the ranking list together with Kajaani. Kajaani’s ranking also dropped five places.
Landlords determine the attractiveness of the twenty-seven largest cities from the perspective of an apartment investor in a study conducted by Pellervo Taloustutkimus PTT using seven different metrics.
Finland Economist for Landlords Eemeli Karlsson says that Helsinki’s decline in the ranking list is mainly explained by the lengthening of the marketing times of rental apartments.
“There is oversupply in the capital region. Apartments can no longer be rented as quickly as before, and the extension of marketing times may cause empty months,” says Karlsson.
In addition to the lengthening of marketing times, Helsinki’s ranking is weighed down by the drop in apartment prices.
In Helsinki, apartment prices fell relatively the most last year, although according to the study it is still in second place when looking at the increase in value between 2019 and 2023. Turku has risen to first place in the value increase.
Capital region the cities of Helsinki, Espoo and Vantaa have fallen farther and farther from the top in recent years. Still in 2022, Helsinki was in fourth place and Vantaa in third place.
According to landlords Karsson, Tampere, Turku and Oulu stood out from the six big cities in a clearly more positive light in terms of rent development, marketing times and development prospects.
Tampere and Turku were very close to each other in the list. The difference in Tampere’s favor was made by its stronger population growth and the city’s more favorable development prospects.
Rovaniemi fared evenly on all indicators measuring the attractiveness of housing investment. The biggest risers were Kokkola, Hämeenlinna and Seinäjoki.
Like last year, Kouvola and Pori hold the tail end of the city ranking. Kouvola ranks last in terms of population growth, the proportion of people living in rent and the development prospects of the rental market.
Pori, on the other hand, is at the top of the tail in rent development and value growth.
Landlords the ranking list is based on PTT’s calculations of the development of housing investment returns and the marketing times of apartments on the Vuokraovi.com website, as well as the population forecast of cities, the share of people living in rent and development prospects based on the Landlords’ Barometer.
PTT has calculated the changes to the average annual value increase and rental income before taxes for the years 2019–2023 for the different types of apartments in each city.
#Investment #apartments #attractiveness #housing #investment #collapsed #Helsinki
