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The Danish Advantage: Mountain Cabin Market in Norway

BEITOSTØLEN (Nettavisen): “It’s nice to be Danish in Norway”, also 900 meters above sea level at the entrance to Jotunheimen.

Anders Lysholm at Dyve & Partnere has close to 30 years’ experience as a broker in Beitostølen.

Now he will sell the most expensive cabin for sale here, at a price tag of 20 million.

– Who can afford to buy such a cabin?

– There are people who can afford to buy such a cabin at all times. Those who buy here do not have loan financing. Then it’s more about finding the right object and thinking that “we’ll have this for three generations, so we’ll buy it now”, he explains.

The “Beitos sprint” put the town on the map last weekend, true to tradition.

Super deal for the Danes

– Do you notice increased interest from foreigners or from Norwegians who have moved out of the country?

– Yes, actually, not on this one, but I have foreigners who are looking for an apartment because of the favorable currency, he says.

Now you have to deal with 11.74 Norwegian kroner for one euro. Denmark is knocking out both Norway and Sweden by joining the euro, and several people are now advocating that we should follow suit.

– The Danes are starting to stir. It could be a nice thing to see now over the winter, says Lysholm, who also sells apartments in the new building right next to the alpine slope, “The Knight’s Garden”.

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– Discount on top of the discount

– Yes, what do you think about it – can the Danes conquer Beitostølen?

– I’m not too afraid of that, he laughs – and warmly welcomes them to the Norwegian mountain home.

Watch the video interview here:

Lysholm says that several people rent out the apartment when they are not here themselves. He thinks it is only positive with “increased activity and more warm beds in the city centre”.

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– A completely different calculation

– You notice a direct effect of the weak krone in favor of the Danes?

– Yes, it will be a completely different calculation for them! They get a discount on top of the discount they otherwise get now. Because the market is somewhat down now compared to the peak during the pandemic. It is a fact. Of course this is getting interesting, says Lysholm to Nettavisen.

He says in this video interview that he does not fear a “building boom” in the mountain home:

– The Danes are surely aware of this advantage they have?

– Yes, most people who want to buy an apartment in the city center for NOK 100,000 per square metre, which is relatively expensive, are able to calculate this themselves, yes.

– Not affected by high interest rates

According to senior analyst Carl Christian Mathiesen at the Prognosesenteret, 1,347 mountain huts have been sold so far this year.

– That is 18 percent fewer than the same period last year. The square meter price is two percent lower than the same period last year, says Mathiesen to Nettavisen.

He notices one group that is unaffected by the “animal age” that many people are experiencing this autumn:

– 28 per cent more mountain huts have been sold for 10 million or more, compared to the same period last year. This is a tendency we have seen in the past, where buyers of expensive objects are not influenced by high interest rates, rising electricity bills and general price increases.

– Sitting on the cottage fence

According to Mathiesen, the mountain cabin market is not particularly different from the rest of the market.

– But high interest rates, increasing electricity bills and general price increases mean that people are sitting on the fence. Right now there are other priorities for many households. Our surveys show that there are many people who are interested, but many of them are waiting.

He believes we can expect the same for “large parts of next year”, right up until Norges Bank gives the first signal that the interest rate peak has been reached.

– Then I think many people will find their wallets again – it is possible that this will happen at the end of the second half of next year, even if the uncertainty is great and the opinions are many.

Chairman of the Norwegian Cabin Association, Trond Hagen, informs Nettavisen that they have registered that the sale of land and the construction of new cabins “has decreased significantly”.

2023-11-26 11:56:08


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