Buying Property in Oslo: Complete Guide
Oslo property market is expensive but stable with average apartment prices 60,000-90,000 NOK/m² (central areas). Foreigners can buy property but need Norwegian bank account and personal number for mortgage. Process involves bidding rounds, mortgage approval (15-20% down payment typical), and completion within 3-6 months. Popular areas: Frogner, Majorstuen (luxury), Grünerløkka (trendy), Grønland (affordable). Property taxes low but shared costs (felleskostnader) significant. Investment solid with steady appreciation and rental demand.
Current Market Prices
Average Prices by Neighborhood (2025)
Source: Statistics Norway housing price index 2025. Prices vary significantly by specific location, condition, view.
Example Prices
- 1-bedroom (45m²) Grünerløkka: 3,500,000-4,500,000 NOK
- 2-bedroom (70m²) Majorstuen: 6,000,000-8,000,000 NOK
- 3-bedroom (100m²) Frogner: 9,000,000-12,000,000 NOK
- House (150m²) suburbs: 7,000,000-10,000,000 NOK
Additional Costs
- Felleskostnader (shared costs): 2,000-8,000 NOK/month
- Property tax: 0-0.7% annually (varies by area)
- Transfer tax: 2.5% of purchase price
- Legal fees: 10,000-30,000 NOK
- Valuation: 5,000-10,000 NOK
Can Foreigners Buy Property?
Yes, But With Conditions
Good news: Norway allows foreign ownership of property. No restrictions on nationality.
Requirements:
- Personal number (personnummer): Essential for mortgage, utilities, contracts
- Norwegian bank account: Required for mortgage and payments
- Residence permit: Needed to get personal number (tourist visa insufficient)
- Norwegian credit history: Helps with mortgage approval
- Income documentation: Proof of ability to pay
Reality: Foreigners can buy, but getting mortgage without residence permit very difficult. Cash buyers have fewer barriers.
Financing Options
Norwegian Mortgage:
- Down payment: Minimum 15%, typically 20-25%
- Interest rate: 5-7% (2025), variable or fixed
- Term: 20-30 years typical
- Requirements: Personal number, income proof, credit check
- Debt-to-income ratio: Max 5x annual income
Major Banks:
- DNB, Nordea, Sparebank 1, Danske Bank
- Shop around for best rates (can differ significantly)
- Use mortgage broker (megler) for better deals
Buying Process
Step 1: Get Mortgage Pre-Approval
Before house hunting: Get mortgage approval letter from bank. Shows sellers you're serious buyer.
- Provides budget clarity
- Strengthens negotiating position
- Speeds up final purchase
- Free from most banks
Step 2: Find Property
Main platforms:
- Finn.no: Largest platform (Norwegian language)
- Real estate agents (eiendomsmegler): Most sales through agents
- Open houses (visning): Scheduled viewings, typically Sunday mornings
Tip: Attend multiple viewings. Competition fierce in Oslo market.
Step 3: Bidding Round
Unique Norwegian system: Open bidding rounds, all bids visible to other bidders.
- Bidding typically starts after viewings
- Multiple rounds common
- Bids incrementally increase
- Final price often 5-15% above asking
- Stressful but transparent
Advice: Set maximum price before bidding. Easy to get caught up in emotion.
Step 4: Offer Accepted
Once offer accepted, binding contract (kjøpekontrakt) signed within days.
- Contract legally binding immediately
- Cooling-off period: None (unlike some countries)
- Deposit: Typically 10% due immediately
- Withdrawal: Possible but expensive penalties
Step 5: Due Diligence
Before signing: Review all documents carefully.
- Technical inspection report (tilstandsrapport)
- Shared cost budget (felleskostnader)
- Building regulations compliance
- Energy rating
- Mortgage final approval
Step 6: Completion
Typical timeline: 6-12 weeks from accepted offer to keys.
- Final mortgage approval
- Transfer tax paid (2.5%)
- Ownership registered
- Keys handed over
- Utility transfers
Ongoing Costs
Felleskostnader (Shared Costs)
Definition: Monthly fee for apartment buildings covering shared expenses.
- Typical range: 2,000-8,000 NOK/month
- Covers: Building maintenance, insurance, utilities (sometimes), caretaker
- Important: Check what's included vs. what you pay separately
- Increases: Usually 2-5% annually
- Cannot avoid: Mandatory for apartment owners
Property Tax & Insurance
- Property tax: 0-0.7% annually (depends on municipality)
- Oslo rate: 0.2-0.4% typically
- Home insurance: 2,000-5,000 NOK/year
- Contents insurance: Additional 1,000-3,000 NOK/year
Utilities
- Electricity: 800-1,500 NOK/month (varies by season)
- Internet: 300-600 NOK/month
- Water (if separate): Often included in felleskostnader
- Heating: Usually electric, included in electricity
Total Ownership Cost Example
2-bedroom apartment (70m², 6M NOK purchase):
- Mortgage (4.8M, 6%): 30,000 NOK/month
- Felleskostnader: 4,000 NOK/month
- Electricity: 1,000 NOK/month
- Insurance: 300 NOK/month
- Property tax: 200 NOK/month
- Total: ~35,500 NOK/month
Investment Perspective
Pros
- Stable market with steady appreciation
- High rental demand (especially central areas)
- Quality construction standards
- Low crime, safe investment
- Strong economy, wealthy population
- Rental yields: 3-5% gross
- Mortgage interest tax deductible
Cons
- Very high entry prices
- High ongoing costs (felleskostnader)
- Property tax increasing trend
- Rental regulations favor tenants
- Capital gains tax: 22% on profits
- Market can be slow to sell
- Foreign ownership adds complexity
Tips for Foreign Buyers
Get Professional Help
Hire real estate lawyer, use mortgage broker, consider buyer's agent. Language barrier and unfamiliar system make professional guidance valuable.
Understand Felleskostnader
Low purchase price + high monthly fees can cost more long-term than expensive purchase + low fees. Calculate total cost of ownership.
Location Matters More
Oslo premium on location dramatic. Central 50m² often better investment than suburban 100m² at same price. Proximity to metro key.
Rental Income
If renting out, know regulations. Oslo has rent control in some cases. Declare rental income for tax. Professional management recommended if abroad.