PROPERTY IN DENMARK

Denmark had a property boom during the noughties. Prices, particularly in Copenhagen, rose spectacularly; though they would still seem low by (say) U.K. standards. And when the financial crisis hit, the property market nosedived. Particularly out here in the countryside, there are lots of For Sale signs, as I saw on my recent pilgrimage.

New data released this week show just how depressed the property market is. One in ten of all house sales at the moment is due to a repossession; and on Zealand outside of Copenhagen, the figure is a staggering 27%.

The overhang of properties trying to be sold will take a long time to work its way through the system. This financial crisis still has a long way to go.

Walter Blotscher