Highest rents in Oslo
The rental market survey 2016 shows that tenants living in Oslo pay the most for rented dwellings. Contrary to previous surveys, rents in Stavanger show a lower level than the centre of Bergen and Trondheim.
For dwellings with two and three rooms in Oslo including Bærum, the monthly rents are on average approximately NOK 10 200 and NOK 12 880 as per the 4th quarter of 2016 according to the Rental market survey (RMS). A dwelling with two rooms in Grunerløkka, Gamle Oslo, Sagene or Nordre- and Vestre Aker (price zone 2) is estimated to be NOK 11 000. Equivalent dwellings in the centre of Bergen and Trondheim are priced at NOK 9 700 and NOK 9 600 respectively.
Wide geographical variations in rents
Predicted monthly rents for urban settlements with between 200 and 20 000 inhabitants and sparsely populated areas are NOK 5 500, which is a lower level than last year. Urban settlements with more than 20 000 inhabitants remain approximately unchanged, while the remaining price zones show positive growth.
The main variations in rents are found between town and country. The RMS however also shows that the variations in rents within the town differ depending on location of the dwelling. In the centre of Bergen, a 70 sqm three-room dwelling is about NOK 11 800. An equivalent dwelling in more peripheral areas of Bergen sees a lower rent level at NOK 10 500.
Short-term tenancies dominate
More than 50 per cent of the tenancy agreements in the RMS started in 2015 or 2016. This needs to be seen in conjunction with the fact that a large share of tenants are below 45 years of age and may choose to buy a dwelling in the longer term.
The length of the tenancy has a considerable effect on rent. The average rent level for tenancies from 2016 and 2015 was 9 per cent higher than the average rent level between 2010 and 2014. This indicates that greater changes in rents are more likely to occur when establishing new tenancy contracts.