The big difference in cost of apartments in Finnish cities is slowly dividing the society into the rich and the poor. Investments in private housing are one of the most important forms of investment and money saving for the Finns. Analysts predict that the society will be divided into the rich and poor in the future, depending on the region or city where their property is located.
Here is one of the differences examples: the owner of cottage in Kotka decided to sell it in 2008, and to buy a house of the middle price category in Helsinki. Having sold his property, he got approx. €150,000 and he had to pay additional €250,000 to buy a house in Helsinki. Today the same exchange would require adding €310,000, not €250,000.
Lahti
Migration situation is such that families with children move to places with work opportunities and elderly family members stay in the apartments in multistoried buildings. This result to appearing of quite unpopular "pensioner" areas, and the less there are the youth, the slower is economic activity and the cheaper are such apartments, and in some cases its price falls significantly.
New class division
The difference in time of house price growth in Finland is not a problem of individual families, but of the whole society. The Finns, who are not lucky enough to be located in a promising city or area, will not be able to change their apartment for the money and move to places, where the jobs are.
Sonera Stadium in Helsinki
Many parents buy apartments for children in Helsinki or in the suburbs and still pay thousands of euro loans for them. But those who already live in the capital are the lucky ones. They are in a better position, especially if the family has housing assets of three or four generations. And get inherited an apartment in Helsinki, or the same in the Kotka or another small town, means to get a completely different amount of money.
The ordinary Finns still do not fully realize what a bomb is hidden in housing matter and how it will further affect the social stratification. Second hand housing in Helsinki now cost about €3,500 per sq.m and that is twice more expensive than in other cities of the country.
New houses and apartments in Finland cost even more and the gap between regions is increasing. According to estimations made by analysts from the Bulevardin Kotimeklarit Oy LKV, new housing in Helsinki has risen in price by 28%, in the South, East and West Finland - not more than by 20%, and in North – by only 12.5%, in period from 2008 to 2013.
Jyvaskyla
The situation with single-family private cottages, sold in the same period, from 2008 to 2013 is a bit different. According to the Land Committee (Maanmittauslaitos) and the Economy magazine (Talouselämä), house prices in different cities of the Finland have changed as follows:
| Grow frontrunners |
Fall leaders |
| Lapua |
+31% |
Valkeakoski |
-12% |
| Aanekoski |
+29% |
Kotka |
-8% |
| Kajani |
+28% |
Imatra |
-7% |
| Forssa |
+28% |
Hamina |
-7% |
| Kaarina |
+26% |
Hattula |
-7% |
| Seinajoki |
+23% |
Lappeenranta |
-6% |
| Rauma |
+21% |
Sastamala |
-6% |
| Parainen |
+21% |
Hollola |
-5% |
| Akaa |
+21% |
>Varkaus |
-5% |
| Turku |
+20% |
Savonlinna |
-5% |
Text: Аnna Khmilevskaya, Property Selection, especially for ee24.com