The case in summary Over 15,000 students are on the housing queue. At the same time, more and more people choose to rent out to tourists. Landlord Erik Finn Johnsen in Bergen has quadrupled his income by renting to tourists rather than students. The total rental income from Airbnb in Bergen has increased by 171 percent from 2022 to 2024. There has been a decrease of 1.8 percent in the number of secondary homes from 2019 to 2024. The Norwegian student organization and the Homeowners’ National Association express concern about the situation, and believe there is a need for more student housing. The summary is made by an AI service from OpenAi. The content is quality assured by news’s journalists before publication. – It was really bad. I couldn’t bear any more nagging and noise from the students. Erik Finn Johnsen is an experienced landlord, who for almost nine years has rented apartments in the center of Bergen to students. In May, he had enough. But it wasn’t just because of loud tenants. – At one point I had NOK 100,000 outstanding in unpaid rent, says Johnsen stated. The block of flats was sold, but he continued to rent out the lower floors of the building he himself has lived in for 30 years, through the home-sharing service Airbnb. The apartments at Nøstet are popular with tourists. Photo: Gerd Johanne Braadland / news With a twinkle in his eye, the man from Bergen admits that perhaps he shouldn’t reveal what he earns from this, for fear that even more people will find their way to the short-term market. But he doesn’t mind asking when news’s journalist asks. – Now I earn NOK 400,000 from an apartment I earned NOK 120,000 from when I rented it out to students. So I’ve probably quadrupled my income, he says slyly. More money to fetch Johnsen is far from alone in abandoning renting to students. Figures from the Swedish Tax Agency and analysis agency Capia AS show that tourists are running away with more and more homes that could, or have previously, gone to students. And that is perhaps not so strange. In Bergen, rental income from Airbnb has increased by 171 per cent from 2022 to 2024. In the capital, the increase is 135 per cent. In total, professional rental operators raked in NOK 11 billion last year from rental income through Airbnb or similar services. At the same time, there have been fewer secondary homes, including rental homes. From 2019 to 2024, there has been a decrease of 1.8 per cent, according to the Norwegian Association of Estate Agents. Over 15,000 students in the housing queue But the demand for private rental housing is high. Recent figures from the student associations show that 15,675 students are still in the housing queue before the start of their studies on 12 August. It is worst in Oslo and Bergen, where most students stand in queues. Kaja Hovdenak from the Norwegian Student Organization believes that too many students are queuing up to get accommodation just before the start of their studies. Photo: Skjalg Bøhmer Vold / Skjalg Bøhmer Vold Leader of the Norwegian Student Organization (NSO), Kaja Hovdenak, believes the figures prove that students are facing a housing crisis. – The students do not stand in the housing queue for fun. They badly need a good place to live. This is a serious crisis, says Hovdenak. She says that more students have to make do with apartments in poor condition. The student leader is concerned about developments in the housing market. – Cases like this show that we must have more student accommodation, she states. Unattractive to rent out The Landlords’ Association believes that the market is too unattractive for housing rentals. Photo: Moment Studio The students receive support from the House Owners’ National Association, which represents the landlords. – It’s a shame for the market, and it’s a shame for all those who need a good place to live. Secretary General Morten Andreas Meyer does not like it when people who have been involved in long-term rentals switch to short-term rentals. Still, he saw it coming. – Housing costs have doubled since 2017, at the same time politicians are significantly increasing wealth tax. This unfortunately leads to many rental properties disappearing from the market, explains Meyer. Wealth tax Tax on the economic value of the taxpayer’s assets With deductions for debts owed by the taxpayer “Wealth” includes cash, bank deposits, shares, movable property and immovable property In Norway, the wealth tax is passed annually by the Storting If you have a total wealth of more than NOK 750,000, you must tax 0.4% to the state and 0.7% to the municipality. ————————————— – I am both a maid, housekeeper, tourist guide and caretaker. But it’s worth it, he says with a laugh. This time it is a Spanish family who will occupy the charming Bergen apartment. The family from Valencia is looking forward to exploring Bergen. They like the flexibility of renting through Airbnb. Photo: Gerd Johanne Braadland / news The family says that they are well acquainted with the ins and outs of tourist rentals. In their home country, tourists have been shot at with water guns, and met with posters such as “tourists go home!” and “Barcelona is not for sale”. Thousands of protesters have this summer marked their dissatisfaction with tourist rentals in Barcelona. Photo: Emilio Morenatti / AP – It must be possible for a city to have space for both local residents and tourists, says Oscar Trull Dominguez. Landlord Johnsen is not afraid of Spanish conditions in Bergen, even though the two apartments are already fully booked for the rest of the year. – But that does not mean that the politicians should ignore what private landlords come up with. More student housing is the solution here, he concludes. Hi! Do you have any tips for this, or other relevant issues I should check out? Then I would like to hear from you! Published 07/08/2024, at 06.41
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More people choose short-term rentals for tourists on Airbnb over long-term rentals for students – news Vestland
