Bucking a general trend across Europe, no where else on the continent are real estate prices proportionately higher than in Iceland.
While Europe’s economic situation remains shaky and the effects of a global recession three years ago are still being felt, real estate prices almost everywhere across the continent have been decreasing. Almost everywhere, that is, except in Iceland, Eyjan reports.
A report from the Royal Institution of Chartered Surveyors noted that real estate prices have increased slightly in Germany, France, Switzerland and Norway, but for most of Europe, real estate prices have been dropping, noting that “since mid-2007, overall house prices in the UK have fallen by almost a third. This is more significant a drop than seen in Spain (-27 per cent), Italy (-14 per cent), Germany (-11 per cent) and France (-8 per cent), while Sweden and Switzerland have actually seen prices increase in the last five years.”
In Iceland, by contrast, property value has increased. Even as the forecast for real estate prices across Europe remain dim, Iceland’s property values have increased by about 10%, despite a devastating economic collapse in 2008.