In January, the HSBC said: “The pace of acceleration in the housing market [in Sweden] points to a bubble.”
Sweden is now dealing with its overheated housing market by cutting mortgage availability. Historically, there has been no time limit on mortgage duration in Sweden. The average mortgage term was 140 years.
Regulators introduced these restrictions on mortgage terms – the time homebuyers have to clear the debt – reducing it to 105 years.