Finland housing and infrastructure market trends

The Finnish housing market is characterized by significant regional divergence. In the third quarter of 2026, non-subsidized rental prices rose by 0.1 percent nationwide, driven by increases in cities like Rovaniemi and Vaasa, while the Helsinki metropolitan area saw average rent declines of 0.3 percent.

Growth in state-subsidized housing has slowed for seven consecutive quarters, with a national average increase of 1.5 percent compared to the previous year. While growth remains faster in major urban centers such as Turku and Espoo, it has decelerated in cities including Lahti and Tampere. Eetu Kauria, chief economist at KOVA ry, noted that slowing growth in subsidized rents reflects broader interest rate and cost developments.

While residential construction remains sluggish and Hypo Bank predicts a 3 percent nationwide decrease in housing prices for the year, the infrastructure sector is experiencing growth. Large-scale data center projects and green transition investments are stimulating markets outside traditional growth centers, potentially increasing demand for rental housing and temporary accommodations in smaller municipalities. Major infrastructure companies, such as GRK Infra and Destia Group, continue to report significant revenues despite the residential slowdown.