Why have apartment prices dropped so much in Espoo Keskus
Hi everyone,
My wife and I bought a 45m² apartment in Espoo Keskus in 2023 for around 170k€. At the time it seemed like a solid purchase: the apartment had been renovated recently, the housing company was in good condition, and the maintenance fee was reasonable. The building itself is from 1984, but compared to many nearby apartments it required much less renovation work.
Now our family situation has changed and, with a baby, we will soon need a bigger place. The difficult part is that apartment prices in the area seem to have dropped significantly since we bought. Recent evaluations for our apartment have been much lower than expected, which has made us reconsider our plans.
We are currently thinking about renting out the apartment instead of selling immediately, especially since there are several ongoing development projects in the area (new train line, Prisma, K-Citymarket, etc.). Some of these improvements may still take a few years to affect the area.
I wanted to ask if anyone here has insight into why prices in Espoo Keskus have fallen so much compared to the broader European trend. Is it mainly due to interest rates and the Finnish market overall, or is there something more specific to this area?
Would also appreciate hearing from others who have faced similar situations and how you approached the decision.
Thanks!