Swedish home price sentiment gauge rises in August - SEB

STOCKHOLM (Reuters) - Sweden’s home price sentiment indicator continued a sharp recovery in August from the lows seen in June due to the pandemic, rising to +40 points following a record monthly increase to +24 points in July.

The survey, published monthly by Nordic bank SEB, showed the share of households expecting rising home prices increasing 10 percentage points to 52 percent in August while the group predicting falling prices in the coming year fell to 12 percent from 18 percent.

“For the second month in a row household home price expectations rose considerably,” SEB economist Jens Magnusson said in a statement.

“A lower spread of infection together with hopes of an economic recovery and a long-lasting low rate environment are probably impacting in a positive direction.”

Reporting by Johannes Hellstrom; Editing by Jacqueline Wong