Housing Affordability Index for Baltics - June 2016
The housing affordability index (HAI) increased to 132.3 in Vilnius, 166.5 in Riga, and 153.7 in Tallinn

• In Tallinn, affordability rose by 10.1 points in the first quarter this year compared with the same period in 2015 due to an 8.5% rise in net wages and almost stable apartment prices.

• In Riga, the HAI increased by 15.1 points, due to a 4.6% drop in apartment prices.

• In Vilnius, the HAI rose a bit (by 0.5 point) because of 7.1% higher wages.

• The time needed to save for a down payment decreased by 2 months and 1 week in Tallinn, to 28.5 months, by 2 months and 2 weeks in Riga, to 23.5 months, and almost did not change in Vilnius (35.8).

The housing affordability index (HAI) is calculated for a family whose income is equal to 1.5 of average net wages with an average-sized apartment of 55 square meters. The HAI is 100 when households use 30% of their net wages for mortgage costs. When the HAI is at least 100, households can afford their housing, according to the established norm. The higher the number, the greater the affordability.

PDF Housing Affordability Index for Baltics - June 2016

For more information about this report, please contact Ms. Vaiva Šečkutė, +370 610 08360, Vaiva.Seckute@swedbank.lt

This email is sent through the Research Department’s web-based distribution system. As a subscriber you can change your settings regarding what publications you will receive by clicking “Change your settings” you can also unsubscribe by clicking "Unsubscribe".

This letter is distributed by Swedbank in cooperation with Brightly. The letter is personal.
You need Adobe Acrobat Reader to show PDF documents. (download here)