Residential

The residential segment demonstrated strong activity throughout 2025, ending as the second largest in the transaction market with approximately 22 percent of total volume. Development projects and rental properties attracted significant attention, driven by limited housing supply and robust demand in central locations – a clear indication that the residential segment continues to offer attractive investment opportunities.

Transaction Market

Residential was the second-largest segment in the Norwegian investment market in 2025, including development projects. Total residential transaction volume amounted to NOK 19 billion, of which approximately NOK 9 billion related to land transactions. Centrally located residential development sites in the largest cities were particularly attractive in the transaction market. Activity was primarily driven by large portfolio transactions, including KLP’s acquisition of Quality Living at Ulven and the purchase of Selvaag Bolig’s residential rental portfolio. In addition, a significant number of apartment buildings were acquired with the intention of unit-by-unit sales to end-users for tax-related reasons, contributing to increased transaction volumes in 2025.

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Rental Market

The residential rental market experienced strong rental growth in 2025. According to Eiendom Norge’s Storbyindeks, rents in the largest cities increased by 5.4 percent over the year. Stavanger recorded the strongest growth at 9.7 percent, followed by Oslo and Bergen. High demand combined with limited new supply of rental housing continued to support rental levels across the major urban markets.

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New housing prices, regions

Price Development

National house price growth was moderate, estimated at approximately 5–6 percent, though with pronounced regional variations. Oil-driven markets in Western Norway recorded the strongest price growth, while Oslo—being more sensitive to interest rate developments—experienced more subdued growth.

Resale property

Outlook

Eiendom Norge forecasts house price growth of around 6 percent in 2026. We expect continued strong investor interest in centrally located residential development sites and housing projects in the larger cities, where prospects for house price growth remain favourable. Persistently high construction costs continue to challenge the viability of new projects, particularly in regional markets, while centrally located projects in the major cities remain comparatively more feasible.