Holiday home loan applications mark 61% rise in Q1

The number of loan applications for holiday homes in the first quarter of this year increased by 61 per cent year on year, according to the statistics of Pohjola Insurance (OP).

The loan amounts applied for have also grown, with the median loan application increasing from 60,000 euros to 70,000 euros.

The total number of loan applications for holiday homes in 2020 was 42 per cent higher than that in the previous year.

The holiday cabin boom is also reflected in Pohjola Insurance’s statistics last year when up to 30 per cent more holiday home insurance policies were taken out than in 2019 – especially by young families with children.

“The construction of new holiday homes, in particular, seems to have become much more popular than in the first quarter of 2020. The number of loan applications has increased by 79 per cent, and the loan amount applied for by 32 per cent,” said OP Mortgages, Retail Loans and Real Estate Business Senior Vice-PresidentKaisu Christie.

The lively market for holiday homes is also reflected in real estate agency services. The number of holiday homes brokered by OP Koti in the first quarter was 46 per cent higher than that one year ago, and the average sales price increased from 99,000 euros to 137,000 euros.