A recent Statistics Norway report sheds light on housing conditions in Norway, revealing both improvements and economic disparities in the housing sector. While the majority of Norwegians enjoy favourable housing conditions, a significant disparity exists in homeownership rates among different demographic groups. The report highlights the manifestation of economic inequality in the housing market and the challenges faced by individuals with limited education and low income. In response to these findings, the government has announced a new housing policy set to be implemented in 2024 to address the growing disparities.
According to housing researcher Jardar Sørvoll, the recent Statistics Norway report reveals that the majority of Norwegians enjoy favourable housing conditions, with many demographic groups experiencing improvements over time. However, the report also highlights the manifestation of economic inequality in Norway, particularly in the housing sector.
Sørvoll emphasizes that in response to these findings, the government has announced a new housing policy set to be implemented in 2024. He expresses hope that this policy will address the growing disparities within the housing sector. The report indicates that a significant disparity exists in homeownership rates between individuals with limited education and low income compared to others in Norway.
In recent years, the disparity between affluent individuals in the housing market and those facing difficulties in finding satisfactory homes has widened. This trend corresponds to the continuous increase in housing prices.
Among those facing challenges in the housing market, a notable increase has been observed in the number of people living in cramped conditions, dealing with issues like dampness and noise. These unfavourable living conditions have a negative impact on their well-being and overall quality of life.
Currently, the average household in Norway enjoys approximately 70 square meters of living space per person. However, those living in crowded conditions have an average of only around 30 square meters per person, while those with ample space have nearly 110 square meters per person.
Unlike neighbouring countries such as Sweden and Denmark, Norway has not extensively developed a large public rental sector for housing. As a result, close to 80 percent of individuals in Norway reside in homes owned by someone within their household. In comparison, Denmark’s homeownership rate stands at 60 percent, while in Germany, it is only 50 percent.
Tax regulations play a crucial role in influencing different living arrangements. Notably, Norway and Germany have entirely different approaches to property taxation. The Statistics Norway report indicates a remarkably consistent trend in the living patterns of most Norwegians over the past four decades.
Within the age group of 30 to 66 years, the proportion of homeowners among Norwegians ranges between 80 and 90 percent. However, there are notable variations in homeownership rates among different demographic groups. Couples living together exhibit significantly higher homeownership rates compared to individuals living alone and single parents.
More than 90 percent of couples in Norway are homeowners, whereas only 58 percent of individuals living alone and 68 percent of single parents own their homes. The age group experiencing the most significant surge in homeownership is the elderly. Back in 1987, only about 50 percent of individuals over the age of 80 lived in their own homes. However, as per the latest data, this proportion has significantly increased.
On another note, Statistics Norway’s research indicates a growing trend of Norwegians moving into apartments. Over the past four decades, the percentage of Norwegians living in apartments has risen from approximately 18 percent to around 35 percent. Consequently, there is a decrease in the proportion of people living in detached houses. However, the percentage of the population residing in terraced houses and multifamily residential/multi-apartment buildings has remained stable.
At present, 36 percent of the Norwegian populace resides in what is considered “very spacious” living conditions, representing a growth of 7 percentage points compared to the statistics recorded in 2003.
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