"The sale of vacation homes typically picks up when the snow melts and the bright evenings and picturesque sunsets arrive. This year, the general increase in costs and interest rates has also affected cottage sales, resulting in a quieter market compared to previous years," says Tuomas Viljamaa, CEO of the Real Estate Agents' Association.
Sales volumes of vacation homes in South Savo and Lapland have remained at a similar level to last year during the early months of the year.
Nature and the Lake Finland region remain popular choices for vacation home buyers, and they continue to seek these locations at present.
"Based on data from the Real Estate Agents' Association's Price Monitoring Service, the average price of vacation homes has increased from approximately €110,000 in 2019 to around €129,000 after the pandemic. The price level in the vacation home market has remained stable for now, but the number of transactions has been relatively lower," notes Viljamaa.
"Cottage sales will likely increase during May and June as the future outlook becomes clearer. It is essential for those seeking a significant cottage or vacation home to make offers if they want to engage in negotiations for purchasing the property," Viljamaa reminds.
Average Price of Vacation Homes on the Rise since the Pandemic
In the past couple of years, the cottage market season has truly commenced in May, extending well into the autumn, until September or October. During the summer season, the average prices of cottage transactions also increase significantly.
The average prices of vacation homes have risen since the pandemic, with last year's average price reaching €126,000. When comparing the long-term period from 2012 to 2023, the average prices of cottages have remained relatively stable, fluctuating between €106,000 and €129,000.
For cottage transactions conducted in January to April of this year, the average price was €128,000. In the same period last year, the total value of cottage sales was highest in Lapland (€13,074,450), where ski resorts attract buyers. The next highest regions were Uusimaa, Northern Ostrobothnia, Southwest Finland, and Pirkanmaa. By April of this year, the total value of transactions remained highest in Lapland (€10,013,839), followed by Northern Ostrobothnia, Southwest Finland, Uusimaa, and South Savo.