We recently created one Comparison, In which we only looked at how house prices changed in EU countries between 2015 and 2020. As we have said many times before, Hungary tops the list of changes in house prices in Europe in recent years, where prices have risen by almost 80 percent between 2015 and 2020. However, to get a more accurate picture, it is useful to look at what changes have taken place in terms of household income, how they relate to house prices, where we can talk about overvalued and unvalued markets.
Changes in income and house prices
Between 2015 and 2020, house prices were highest in the European Union, the Czech Republic, Luxembourg and Portugal (more than 50 per cent each), while the smallest increase was in Italy, Cyprus and Finland at 10 per cent. How has income changed during this time?
The picture above shows that the changes in house prices and incomes are only partially interrelated. For example, although Hungary topped the list in terms of price increase, the increase in revenues was only enough for the fourth place, but this is not the ranking, but mainly the difference of 30 percentage points in the increase in oyster prices and revenues in five years. What this means is that we rightly realize that housing is more expensive today than it was 5-6 years ago, compared to our monthly salary.
The article shows:
- What prices categorized the housing markets of EU countries by 2020 per square meter?
- What are the most undervalued and overvalued markets in terms of revenue in 2015?
- What are the most undervalued and overvalued markets in terms of revenue by 2020?
- In which EU countries is there room for further increase in house prices?