Housing Index in Iceland increased to 795.81 points in May from 791.63 points in April of 2025. This dataset provides - Iceland House Price Index - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Graph and download economic data for Residential Property Prices for Reykjavik, Iceland (QISN368BIS) from Q1 1982 to Q1 2025 about Reykjavik, Iceland, residential, housing, and price.

The Direct Real Estate Activities industry have come up against numerous headwinds in recent years, ranging from the COVID-19 outbreak in 2020 to the high base rate environment in the years since, which has inflated borrowing costs for potential buyers. This is a sharp contrast to the ultra-low interest environment seen over the decade following the 2008 financial crisis. Still, revenue is forecast to edge upwards at a compound annual rate of 0.6% over the five years through 2025 to €622.9 billion, including an anticipated rise of 0.8% in 2025. Despite weak revenue growth, profitability remains strong, with the average industry profit margin standing at an estimated 18.9% in 2025. Central banks across Europe adopted aggressive monetary policy in the two years through 2023 in an effort to curb spiralling inflation. This ratcheted up borrowing costs and hit the real estate sector. In the residential property market, mortgage rates picked up and hit housing transaction levels. However, the level of mortgage rate hikes has varied across Europe, with the UK experiencing the largest rise, meaning the dent to UK real estate demand was more pronounced. Commercial real estate has also struggled due to inflationary pressures, supply chain disruptions and rising rates. Alongside this, the market’s stock of office space isn’t able to satisfy business demand, with companies placing a greater emphasis on high-quality space and environmental impact. Properties in many areas haven't been suitable due to their lack of green credentials. Nevertheless, things are looking up, as interest rates have been falling across Europe over the two years through 2025, reducing borrowing costs and boosting the number of property transactions, which is aiding revenue growth for estate agents. Revenue is slated to grow at a compound annual rate of 4.5% over the five years through 2030 to €777.6 billion. Economic conditions are set to improve in the short term, which will boost consumer and business confidence, ramping up the number of property transactions in both the residential and commercial real estate markets. However, estate agents may look to adjust their offerings to align with the data centre boom to soak up the demand from this market, while also adhering to sustainability commitments.

The Scandinavian real estate market, encompassing countries like Sweden, Norway, Denmark, Finland, and Iceland, exhibits robust growth potential, fueled by a combination of factors. A consistently strong CAGR exceeding 5% indicates a healthy and expanding market. Key drivers include increasing urbanization, a growing population, particularly in major cities like Oslo, Stockholm, and Copenhagen, and a sustained demand for both residential and commercial properties. Furthermore, government policies supporting sustainable development and infrastructure projects contribute to the market's positive trajectory. The market is segmented into villas and landed houses, which often command higher prices due to limited supply and desirable locations, and apartments and condominiums, catering to a broader range of buyers and representing a larger portion of the market. The dominance of established players like Riksbyggen, OBOS BBL, and Balder highlights the market's maturity, yet the presence of smaller, more agile companies signifies ongoing competition and innovation. While data on exact market size is unavailable, a conservative estimation placing the 2025 market value at approximately €150 Billion ( based on general European real estate market values and applying the provided CAGR) seems plausible. Further growth is expected, driven by continued economic stability and ongoing investment in the region's infrastructure. Looking forward, the Scandinavian real estate market is expected to face some challenges, including rising interest rates impacting affordability, and potential fluctuations in the global economy. However, the strong underlying fundamentals of population growth, limited land availability in desirable urban areas, and continued investment in infrastructure suggest resilience and continued expansion. The market's diversity, with a mix of large established companies and smaller players, ensures a competitive landscape and capacity for adaptation. Trends toward sustainable construction and smart homes will likely play an increasingly significant role in shaping the future of the market, with companies prioritizing environmentally friendly practices and technologically advanced properties. Segmentation within the market will continue to be relevant, with the demand for specific property types varying across regions and based on changing demographic needs. Key drivers for this market are: 4., Increasing manufacturing sites4.; The increasing middle-income group and access to mortgage finance. Potential restraints include: 4., Rising cost of construction materials.. Notable trends are: Growing Housing Market in Norway to Drive the Market.

Key information about House Prices Growth

• Iceland house prices grew 7.9% YoY in Feb 2025, following an increase of 8.2% YoY in the previous month.
• YoY growth data is updated monthly, available from Mar 2001 to Feb 2025, with an average growth rate of 7.8%.
• House price data reached an all-time high of 33.4% in Sep 2005 and a record low of -13.2% in Jul 2009.

Iceland Market Capitalization: Equity: ICEX: Real Estate data was reported at 122,329.006 ISK mn in Oct 2018. This records a decrease from the previous number of 127,114.483 ISK mn for Sep 2018. Iceland Market Capitalization: Equity: ICEX: Real Estate data is updated monthly, averaging 105,601.879 ISK mn from Jul 2012 (Median) to Oct 2018, with 76 observations. The data reached an all-time high of 163,903.700 ISK mn in May 2017 and a record low of 10,725.000 ISK mn in Jul 2012. Iceland Market Capitalization: Equity: ICEX: Real Estate data remains active status in CEIC and is reported by Iceland Stock Exchange. The data is categorized under Global Database’s Iceland – Table IS.Z002: Iceland Stock Exchange: Market Capitalization: Equity.

Companies operating in the third-party real estate industry have had to navigate numerous economic headwinds in recent years, ranging from rising interest rates, spiralling inflation and muted economic growth. Typically, estate agents can earn income via fees and commissions charged to clients, which allows them to protect their operating profit margin from property price fluctuations. Revenue is projected to sink at a compound annual rate of 0.6% over the five years through 2025, including an estimated rise of 1.2% in 2025 to €207.6billion, while the average industry profit margin is forecast to reach 35.1%. Amid spiralling inflation, central banks across Europe ratcheted up interest rates, resulting in borrowing costs skyrocketing in the two years through 2023. In residential markets, elevated mortgage rates combined with tightening credit conditions eventually ate into demand, inciting a drop in house prices. Rental markets performed well when house prices were elevated, being the cheaper alternative for cash-strapped buyers. However, even lessors felt the pinch of rising mortgage rates, forcing them to hoist rent to cover costs and pricing out potential buyers. This led to a slowdown in rental markets in 2023, weighing on revenue growth. However, this have started to turn around in 2025 as interest rates have been falling across Europe in the two years through 2025, reducing borrowing costs for buyers and boosting property transactions. This has helped revenue to rebound slightly in 2025 as estate agents earn commission from property transactions. Revenue is forecast to swell at a compound annual rate of 3.7% over the five years through 2030 to €249.5 billion. Housing prices are recovering in 2025 as fixed-rate mortgages begin to drop and economic uncertainty subsides, aiding revenue growth in the short term. Over the coming years, Proptech, which has been heavily invested in, will force estate agents to adapt, shaking up the traditional real estate industry. A notable application of Proptech is the use of AI and data analytics to predict a home’s future value and speed up the process of retrofitting properties to become more sustainable.

In 2024, Turkey had the highest inflation-adjusted house price index out of the ** European countries under observation, making it the country where house prices have increased the most since 2010. In Turkey, the house price index exceeded *** index points in the fourth quarter of 2024, showing an increase in real terms of *** percent since 2010, the baseline year for the index. Iceland and Estonia completed the top three, with an index value of *** and *** index points. In the past year, however, many European countries saw house prices decline in real terms. Where can I find other metrics on different housing markets in Europe? To assess the valuation in different housing markets, one can compare the house-price-to-income ratios of different countries worldwide. These ratios are calculated by dividing nominal house prices by nominal disposable income per head. There are also ratios that look at how residential property prices relate to domestic rents, such as the house-price-to-rent ratio for the United Kingdom. Unfortunately, these numbers are not available in a European overview. An overview of the price per square meter of an apartment in the EU-28 countries is available, however. One region, different markets An important trait of the European housing market is that there is not one market, but multiple. Property policy in Europe lies with the domestic governments, not with the European Union. This leads to significant differences between European countries, which shows in, for example, the homeownership rate (the share of owner-occupied dwellings of all homes). These differences also lead to another problem: the availability of data. Non-Europeans might be surprised to see that house price statistics vary in depth, as every country has their own methodology and no European body exists that tracks this data for the whole continent.

Technical information The house price index measures the price evolution of real estate prices on the market of private property. The index follows price changes of new or existing residential real estate purchased by households, irrespective of their purpose (letting or owner-occupying). Only market prices are taken into account. Houses built by their owners are therefore not included. The price of the building plot is included in the house price. The house price index is based on real estate transaction data from the General Administration of the Patrimonial Documentation of the FPS Finances. The prices used are those included in the deeds of sale. Given the time between the date on which the preliminary sales agreement is signed and the date on which the deed is executed (between three and four months), this index measures the price evolution with a delay compared to the actual date on which the sales price is set. This delay is inherent to the data source. The house price index is calculated by the European Union Member States, Norway and Iceland. Eurostat calculates the index for the Euro area (as well as for the European Union as a whole) using the harmonised indices of the Member States. Given the role of the housing market in the economic and financial crisis of 2008, the house price index was included in the indicators used in the procedure for macroeconomic imbalances procedure of the European Union. The house price index is calculated under the European Regulation 2016/792 on harmonised indices of consumer prices and the house price index and 2023/1470 laying down the methodological and technical specifications as regards the house price index and the owner-occupied housing price index. Data are available from 2005 onward for Belgium as well as for the European Union and the majority of European countries. The house price index can be broken down by new houses and existing houses. The weights of these two items in the overall index are determined by the gross fixed capital formation in houses (for the new houses) and the total value of transactions of the previous year (for the existing houses). Until 2013, the house price index of new houses was roughly estimated based on the output price index in the construction sector. Since 2014, it is also based on real estate transaction data. House price index for existing houses is available per region since 2010. Therefore, data were completely reviewed for the publication of results in the 4th quarter of 2023 in 2024. Since the houses that are put up for sale differ from one quarter to another, the changes in characteristics are processed with hedonic regression models to eliminate price fluctuations due to changes in characteristics of the properties sold. These models aim to estimate the theoretical price based on the characteristics and location of the houses sold. This theoretical price is then compared to the actual price. Two indices are calculated, one with the actually observed transaction prices and the other with the prices estimated by the regression models. The final index is obtained by calculating the ratio of the index obtained with the actual transaction prices compared to the index obtained with the estimated prices. Therefore, the house price index may be evolving differently from the observed average prices.

Building contractors and developers depend on various socio-economic factors, including property values, underlying sentiment in the housing market, the degree of optimism among downstream businesses and credit conditions. All of these drivers typically track in line with economic sentiment, with recent economic shocks spurring a difficult period for building contractors and developers. Nonetheless, the enduring need for building services, particularly to tackle housing shortages across the continent, ensures a strong foundation of work. Revenue is forecast to grow at a compound annual rate of 2.3% to reach €1.3 trillion over the five years through 2025. Operational and supply chain disruption caused by the pandemic reversed the fortunes of building contractors and developers in 2020, as on-site activity tumbled and downstream clients either cancelled, froze or scaled back investment plans. Aided by the release of pent-up demand and supportive government policy, building construction output rebounded in 2021. Excess demand for key raw materials led to extended lead times during this period, while input costs recorded a further surge as a result of the effects of rapidly climbing energy prices following Russia’s invasion of Ukraine. Soaring construction costs and the impact of interest rate hikes on both the housing market and investor sentiment led to a renewed slowdown in building construction activity across the continent. However, falling inflation and the start of an interest rate cutting cycle have spurred signs of a recovery in new work volumes, supporting anticipated revenue growth of 2.3% in 2025. Revenue is forecast to increase at a compound annual rate of 6.7% to €1.7 trillion over the five years through 2030. Activity is set to remain sluggish in the medium term, as weak economic growth and uncertainty surrounding the impact of the volatile global tariff environment on inflation and borrowing costs continue to weigh on investor sentiment. Contractors and developers will increasingly rely on public sector support, including measures to boost the supply of new housing, as countries seek to tackle severe housing shortages. Meanwhile, the introduction of more stringent sustainability requirements will drive demand for energy retrofits.

The Iceland Facility Management (FM) market, valued at an estimated $XX million in 2025, is projected to experience robust growth with a Compound Annual Growth Rate (CAGR) exceeding 2.20% from 2025 to 2033. This expansion is fueled by several key factors. Firstly, the increasing complexity of modern infrastructure and the growing need for efficient building operations are driving demand for professional FM services. Secondly, a burgeoning commercial sector in Iceland, coupled with a rising focus on sustainability and operational efficiency within both public and private institutions, is fostering the adoption of outsourced FM solutions. The market segmentation reveals a healthy mix of in-house and outsourced models, with outsourced services encompassing single, bundled, and integrated FM offerings. Hard FM (maintenance, repairs) and Soft FM (cleaning, security) are both essential components of the market, catering to diverse end-user sectors including commercial, institutional, public/infrastructure, and industrial clients. Leading players like Diversey Holdings Ltd, BG Cleaning, and MainManager are actively shaping the competitive landscape. However, potential restraints may include economic fluctuations impacting capital expenditure on FM services and a relatively small domestic market size compared to larger European counterparts. The forecast period of 2025-2033 is expected to see continued growth driven by increased awareness of the value proposition of outsourced FM, leading to higher adoption rates amongst smaller businesses. The integrated FM segment is anticipated to witness significant growth as businesses seek holistic solutions for facility management. Further development in green building technologies and sustainability initiatives in Iceland will continue to influence the demand for specialized FM services focused on environmental performance. Given Iceland's focus on innovation and technological advancements, the integration of smart building technologies and data-driven FM solutions will likely influence market growth in the coming years. Competitive intensity is likely to remain moderate, with existing players potentially consolidating market share through acquisitions or expanded service offerings. Recent developments include: Dec 2021 - Diversey completed the acquisition of Birko Corporation and Chad Equioment LLC. This acquisition will provide the customers with an advanced range of solutions that protects food safety, improve operational efficiency and increase the sustainability of their operations., Sep 2021 - Diversey announced the opening of its Innovation Zone Research and Development Center. The facility has numerous labs where specialists develop the industry's next generation of cleaning and hygiene solutions.. Key drivers for this market are: Growing Trend of Smart Buildings, Steady Growth in Commercial Real Estate Sector; Increasing Demand of Energy Management Services. Potential restraints include: Growing Trend of Smart Buildings, Steady Growth in Commercial Real Estate Sector; Increasing Demand of Energy Management Services. Notable trends are: Integrated Facility Management to have a significant share.

In 2024, Turkey was the country with the highest increase in house prices since 2010 in Europe. In the fourth quarter of the year, the nominal house price index in Turkey reached ******** index points. House prices in Turkey have soared since 2021, fueled by hyperinflation in the country. According to the index, which amounted to *** in 2010, house prices in Turkey increased by almost ***** percent (** times) since 2010, the baseline year when the index value was set to ***. Iceland had the second-highest increase, at ****** index points (*** percent). It is important to note that the nominal index does not account for the effects of inflation, meaning that price growth in real terms was slower.

Iceland Foreign Direct Investment Position: Inward: % of Total (FDI) Foreign Direct Investment: Total: Real Estate Activities data was reported at 9.016 % in 2023. This records an increase from the previous number of 7.819 % for 2022. Iceland Foreign Direct Investment Position: Inward: % of Total (FDI) Foreign Direct Investment: Total: Real Estate Activities data is updated yearly, averaging 3.585 % from Dec 2013 (Median) to 2023, with 10 observations. The data reached an all-time high of 9.016 % in 2023 and a record low of 3.013 % in 2013. Iceland Foreign Direct Investment Position: Inward: % of Total (FDI) Foreign Direct Investment: Total: Real Estate Activities data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s Iceland – Table IS.OECD.FDI: Foreign Direct Investment: % of Total FDI: by Industry: OECD Member: Annual. Reverse investment: Netting of reverse investment in equity (when a direct investment enterprise acquires less than 10% equity ownership in its parent) and reverse investment in debt (when a direct investment enterprise extends a loan to its parent) is applied in the recording of total inward and outward FDI transactions and positions. Treatment of debt transactions and positions between fellow enterprises: directional basis according to the residency of the ultimate controlling parent (extended directional principle). FDI transactions and positions by partner country and/or by industry are available excluding and including resident Special Purpose Entities (SPEs). The dataset 'FDI statistics by parner country and by industry - Summary' contains series excluding resident SPEs only. Valuation method used for listed inward and outward equity positions: Own funds at book value. Valuation method used for unlisted inward and outward equity positions: Own funds at book value. Valuation method used for inward and outward debt positions: Market value, Nominal value.; FDI statistics are available by geographic allocation, vis-à-vis single partner countries worldwide and geographical and economic zones aggregates. Partner country allocation can be subject to confidentiality restrictions. Geographic allocation of inward and outward FDI transactions and positions is according to the immediate counterparty. Inward FDI positions according to the ultimate counterparty (the ultimate investing country) are also available and publishable. In the dataset 'FDI statistics by parner country and by industry - Summary', inward FDI positions are showed according to the UIC. Intercompany debt between related financial intermediaries, including permanent debt, are excluded from FDI transactions and positions. Direct investment relationships are identified according to the criteria of the Framework for Direct Investment Relationships (FDIR) method. Debt between fellow enterprises are completely covered. Collective investment institutions are covered as direct investment enterprises. Non-profit institutions serving households are covered as direct investors. FDI statistics are available by industry sectors according to ISIC4 classification. Industry sector allocation can be subject to confidentiality restrictions. Inward FDI transactions and positions are allocated to the activity of the resident direct investment enterprise. Outward FDI transactions are allocated according to the activity of the non resident direct investment enterprise. Outward FDI positions are allocated according to the activity of the non resident direct investment enterprise. Statistical unit: Enterprise.

Revenue is forecast to contract at a compound annual rate of 2.8% over the five years through 2024 to €239.9 billion. Since the inception of the COVID-19 pandemic, weak economic conditions have restricted the number of new projects coming to fruition, hindering the number of big-ticket tender opportunities available for electricians to bid for and obtain. Businesses have remained cautious amid an uncertain economic outlook, opting to preserve cash and postpone or cancel significant construction projects. Over the two years through 2024, inflationary pressures have persisted and retaliatory increases to the base rate have ballooned the cost of borrowing. Despite public funding and support for new residential properties, a cooling housing market has limited demand from property developers. Revenue is expected to dip by 2.5% in 2024. As inflationary pressures subside and business and consumer sentiment rebound, revenue prospects will grow and more large tender opportunities will come to fruition. Businesses will increase spending budgets in line with recovering economic conditions and recovering house prices will spur new opportunities in the residential market, contributing to a recovery in income. Revenue is forecast to expand at a compound annual rate of 3.3% over the five years through 2029 to €281.8 billion.

Amsterdam is set to maintain its position as Europe's most expensive city for apartment rentals in 2025, with median costs reaching 2,500 euros per month for a furnished one-bedroom unit. This figure is double the rent in Prague and significantly higher than other major European capitals like Paris, Berlin, and Madrid. The stark difference in rental costs across European cities reflects broader economic trends, housing policies, and the complex interplay between supply and demand in urban centers. Factors driving rental costs across Europe The disparity in rental prices across European cities can be attributed to various factors. In countries like Switzerland, Germany, and Austria, a higher proportion of the population lives in rental housing. This trend contributes to increased demand and potentially higher living costs in these nations. Conversely, many Eastern and Southern European countries have homeownership rates exceeding 90 percent, which may help keep rental prices lower in those regions. Housing affordability and market dynamics The relationship between housing prices and rental rates varies significantly across Europe. As of 2024, countries like Turkey, Iceland, Portugal, and Hungary had the highest house price to rent ratio indices. This indicates a widening gap between property values and rental costs since 2015. The affordability of homeownership versus renting differs greatly among European nations, with some countries experiencing rapid increases in property values that outpace rental growth. These market dynamics influence rental costs and contribute to the diverse rental landscape observed across European cities.

Plumbing, heating and air conditioning installation revenue is forecast to dip at a compound annual rate of 2.7% over the five years through 2024 to €219.1 billion. Weak economic conditions since the COVID-19 outbreak and restrictions at the height of the pandemic resulted in the cancellation and postponement of many projects, especially in the commercial market, as customers sought to conserve cash. Despite the easing of lockdown restrictions, significant inflationary pressures have continued to plague revenue opportunities, as retaliatory hikes to the base rate by central banks have caused the cost of borrowing to soar, restricting new investment into construction. In 2024, inflated interest rates are expected to continue to weigh on the housing market, contributing to weaker house prices and hindering demand from residential property developers. Nonetheless, demand from infrastructure construction and utility companies will remain resilient due to the essential nature of plumbing and HVAC systems. This will also keep demand for repair and maintenance services from the commercial market fairly strong, especially where these systems are business-critical. Still, revenue is forecast to decline by 3.8% in 2024. Over the five years through 2029, revenue is forecast to expand at a compound annual rate of 1.5% to €236.2 billion. Easing inflationary pressures will translate into recovering economic sentiment, supporting renewed demand from commercial and residential clients alike. Continue public investment into infrastructure projects and public buildings, like schools and hospitals, will also support demand for plumbing and HVAC installation services. The provision of repair and maintenance services is also slated to remain healthy.

市值：股票：ICEX：房地产在10-01-2018达122,329.006百万冰岛克朗，相较于09-01-2018的127,114.483百万冰岛克朗有所下降。市值：股票：ICEX：房地产数据按月更新，07-01-2012至10-01-2018期间平均值为105,601.879百万冰岛克朗，共76份观测结果。该数据的历史最高值出现于05-01-2017，达163,903.700百万冰岛克朗，而历史最低值则出现于07-01-2012，为10,725.000百万冰岛克朗。CEIC提供的市值：股票：ICEX：房地产数据处于定期更新的状态，数据来源于Iceland Stock Exchange，数据归类于Global Database的冰岛 – 表 IS.Z002：冰岛证券交易所：市值：股票。