
February 2026 will be remembered in Finland’s real estate market as a month of paradoxes. Despite an overall decline in the number of transactions of nearly 10%, major cities unexpectedly posted price growth. The market seems to have found its bottom and started to push off from it, supported by rising wages and changes in the country’s social policy.
Overall buyer activity remains subdued. Consumers are still acting cautiously due to unemployment and electricity prices, preferring to save money rather than take on a mortgage.
|
Market segment |
Number of transactions |
Compared with February 2025 |
|
Total number of transactions |
4 039 |
–9,4% |
|
Secondary housing |
3 961 |
–8,2% |
|
New buildings |
78 |
–46,9% |
A nearly 50% drop in demand for new homes over the past year is the clearest warning signal for developers. Even so, experts point out that the market is still performing better than during the bleakest periods of 2023 and 2024.
Despite sluggish sales, the price per square meter in major urban areas started to rise compared with January. Helsinki, Turku, and Tampere posted positive momentum, while peripheral areas continued to decline in value.
Helsinki (Greater Helsinki area): up 1.7% month on month, though still 3% below the level of a year earlier.
Turku: the strongest performer of the month, up 2.2%.
Tampere: a modest gain of 0.7%.
Oulu: a sharp 6.2% drop, running counter to the broader trend.
Finland’s housing market is facing a fundamental change in the structure of demand, driven by two factors:
Benefits reform: Students were moved to a new support system, causing demand for tiny studio apartments to collapse. Young people are increasingly opting for shared living in larger apartments.
Immigration: Easier family reunification rules have led to an influx of migrants who need larger homes.
As a result, micro-apartments, which had been an investment favorite for years, are now seeing the steepest declines in both prices and rental rates.
Source: Helsinki Times