"In Stockholm, the capital, the house price rally is already slowing. One reason is that people simply can’t afford them anymore. Ihrfelt says that the share of income spent on mortgage costs in Stockholm is at “critical levels.”Bloomberg
“Even at this interest rate level, we can't really see prices going up,” Ihrfelt said.
If rates rise and people start paying back more on their loans after stricter amortization rules come into force on June 1, the calculation won’t “add up,” he said. “The only thing that can make this right is if prices go down.”"
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