POLITICS & INSTITUTIONS - ECONOMY

Housing prices increase at steady pace



51_3_1539151204.jpg

 

House prices in Luxembourg continue to grow at a steady rate of around 5% per year.

The Eurostat House Price Index showed a 5.1% progression from the second quarter of 2017 to the same period in 2018. In the first quarter it rose by a whopping 6.4% over the year.

A quarterly increase of 2.9%, from Q4 of 2017 to Q1 of 2018, pushed annual rates over 5% for the start of the year. In the third and fourth quarters of 2017, there was an annual increase of 4.9% and 4.2% respectively.

Among the EU member states for which data are available, the strongest annual house price increases were recorded in Slovenia (13.4%), followed by Ireland (12.6%), Portugal (11.2%) and Hungary (10.4%). Annual prices fell in Sweden (-1.7%) and Italy (-0.2%).

According to the most recent figures published by Luxembourg's Housing Observatory (Observatoire de l'Habitat), the biggest increase was observed among new-build apartments. Here the price rose 6.1% from Q3 2016 to Q3 2017, compared to 4.7% over the same period for existing apartments and 4.1% grow in house prices.