Danish property bubble of 2000s
During the Danish
Some of the rise can be attributed to falling
However, many banks and analysts acknowledge that prices have increased more than can be explained by their models even when taking the economic factors into account and that homes have indeed become less affordable. In particular, it is becoming increasingly difficult for first-time buyers to enter the market, and they now make up a historically low fraction of all buyers.
This has led some observers to speculate that the Danish
However, there are signs that the market is softening and prices have fallen in some areas. In 2006, the number of homes for sale increased dramatically, tripling in some areas. It was estimated that 10% of all apartments in Copenhagen are for sale. The total inventory of homes for sale totaled more than one average year of home sales. In the statistics for the fourth quarter 2006, some areas experienced a quarter-to-quarter price fall around 4-5%, the first significant fall in over a decade.
Two of the major
References
- ^ "Denmark 2007" (PDF). Archived from the original (PDF) on 2011-07-11. Retrieved 2008-06-23.
- ^ Recent history of the Danish residential property market, Global Property Guide
External links
- Core Economics animated Real Estate Rollercoaster Ride