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Buy a house in Norway as a foreigner: Requirements & tips
You'll find all the requirements, tips, payment options, and costs associated with buying a house in Norway in this guide.
Norway is widely regarded as one of Europe’s best countries for quality of life, so if you get the chance to buy a house and move there, don’t miss out.
In this guide, we’ll explain the requirements for foreign buyers, current home prices, the taxes you’ll need to pay, and the steps to buy a property safely and successfully.
We’ll also provide practical tips to help you avoid common mistakes that can cost you time and money when buying property in Norway.
1. Requirements for foreigners looking to buy a house in Norway
Foreigners can generally buy property in Norway without permanent residency, as the country imposes few restrictions on foreign buyers.
That said, foreign buyers should still be aware of several requirements before making a purchase. Here are the main requirements to be aware of.
1. Required documents
As a foreigner, you can generally buy urban or rural property in Norway without permanent residency. To complete a property purchase legally, you’ll need the following documents:
- A valid passport.
- Proof of income.
- Bank statements proving sufficient funds.
- Proof of the source of the funds you will use to pay for the property.
- A current employment contract or documents certifying that you are self-employed.
2. When is a visa required?
You must have a temporary or permanent residence visa in order for some banks to finance a portion of the property’s purchase price.
To apply for a mortgage, you’ll need a Norwegian identification number, a local bank account, and current documentation of your employment and income, regardless of whether you’re a salaried employee or self-employed.
3. Restrictions for foreign buyers
For foreign buyers, the Norwegian government has established legal restrictions on the purchase of certain types of properties.
Strict regulations apply to the purchase of agricultural land, cabins in protected natural areas, and properties with certain exploitation or resource-use rights.
You should also be aware that Norway has two primary property ownership models. One of them, called Selveier, grants full ownership rights to both local and foreign buyers.
The other type, Borettslag, is a cooperative system where you buy the right to live in a home and become part of the housing cooperative. The Selveier model is usually better for foreigners because it gives more freedom to rent or sell the property.
4. Do I need a lawyer, a real estate agent, or a notary to represent me during the purchase?
In Norway the role of a notary or a lawyer is not as essential when purchasing real estate.
Most buyers rely on licensed real estate agents to guide them through the process. You can also get help from local banks with the paperwork for Norway’s property registry.
5. Risks when buying a house in Norway
When buying a house in Norway, there are several common risks for foreigners. These include:
- Lack of familiarity with the Borettslag cooperative system: Make sure you understand whether the property is a Selveier or Borettslag home.
- Buying property in rural areas: These properties can be risky to buy if you’re not fully aware of the restrictions Norway places on foreign buyers.
- Denials of mortgage loans due to a lack of financial history in Norway: The Norwegian government has also gradually tightened lending rules to help prevent people from getting into too much debt.
2. How much does a house cost in Norway?
Norway has one of the most expensive housing markets in Europe, and prices vary a lot between regions and cities. To give you an idea of the cost per square meter in a big city, a smaller city, and a rural area, we’ve included the table below.
Price per square meter in different cities in Norway
| City in Norway | Approximate price per square meter in USD |
| Trondheim | Between $4,600 and $21,000, with the outskirts being the most affordable areas. Meanwhile, the city center and other areas have higher prices due to their strategic location and access to various services. Some of these areas are even considered exclusive. |
| Bergen | On average, the cost per square meter ranges from $3,500 to $9,500, depending on the area and access to major roads, schools, hospitals, and tourist areas. |
| Stavanger | The average price per square meter in this city is $5,500. However, it has risen over the past year due to the revival of the energy industry. |
| Trondheim | Prices can range from $4,400 to $6,300 per square meter in a city where the real estate market is dynamic, thanks to its several universities that constantly attract foreign students and workers. |
Factors affecting the price of a house in Norway
Location is one of the biggest factors affecting property prices in Norway. Access to schools, public transport, healthcare, universities, and other services can have a significant impact on value.
Other factors like mountain views, limited city land, and proximity to employment hubs also influence prices. In general, properties farther from city centers are usually cheaper.
Annual expenses to consider when buying a house in Norway
Owning a home in Norway also comes with yearly maintenance costs, which are often high because of the climate and expensive basic services.
It is estimated that, on average, you can expect to pay between 1% and 2% of the property’s total value per year. Here is a detailed explanation:
- Condominium fees: If you buy a property in a Borettslag, you’ll have to pay monthly fees for things like cleaning, maintenance, water, heating, elevator service, and snow removal in winter. These costs can add up to around $4,300 per year.
- Home insurance: Home insurance is widely considered essential in Norway, covering risks such as fire, water damage, storms, and liability.
- Electricity and heating: This is almost a necessary cost in Norway, because winter temperatures can drop below -10°C, so homes need to stay heated all day. If the property is old, electricity costs will likely be higher.
- General home maintenance: Due to Norway’s extreme climate, home exteriors wear out quickly, so owners often need to replace roofs, pipes, windows, and other parts regularly to keep the house in good shape.
The ratio of housing prices to the average wage in Norway
Average salaries in Norway are among the highest in Europe, at around $5,200 to $5,700 per month.
Despite high incomes, affordability remains a challenge in many Norwegian cities because housing demand continues to outpace supply.
However, despite the high costs and limited supply, local buyers have better access to mortgages because of their stable jobs and credit history in Norway. Foreign buyers may face stricter lending requirements and, in some cases, need to rely on larger deposits or financing arranged outside Norway.
3. Taxes on a house in Norway
Buying a home in Norway means paying several taxes for both buyers and sellers. There are also important differences between residents and non-residents, which we’ll explain below.
1. Taxes when buying a house in Norway
As a buyer, you must pay a property transfer tax, which is approximately 2.5% of the purchase price.
There are also fees of about $50–185 for property registration, $50–300 for registering a mortgage, and around $430 in bank fees.
For example:
A $480,000 home with a 2.5% transfer tax means you’ll pay $12,000. This is paid to Kartverket, the Norwegian land registry authority.
2. Municipal property tax in Norway
Each municipality decides whether to charge property tax. For example, Bergen and Trondheim only apply it in certain areas, while Oslo only taxes homes worth over about $770,000.
3. Taxes on the sale of a house in Norway
When selling property in Norway, capital gains taxes may apply depending on each owner’s specific circumstances.
In other words, if it’s your main residence and you’ve lived there for at least a year in the past two years, you may pay less tax or none at all.
But if you are selling a second property that is considered more of an investment, a 22% tax is levied on the profit.
4. Tax differences between residents and non-resident foreigners
Some tax benefits are available to both residents and non-residents, although residents generally have access to a wider range of deductions.
Norwegian tax residents are generally taxed on their worldwide income, while non-residents are usually taxed only on income connected to Norway. Foreign owners may also find it more difficult to qualify for certain exemptions when selling a property.
Foreign buyers should also expect additional checks regarding the source of their funds, particularly when transferring money from abroad.
4. Steps to buying a house in Norway
In this section, we’ve put together a step-by-step guide to help you understand the process of buying a house in Norway in a clear and organized way.
1. Find the right property
First, find a home in Norway that matches your needs and budget. You can search on sites like Finn.no, DNB Eiendom, OBOS, or Krogsveen. If you’re already in Norway, you can also attend viewings in person.
2. Verify the legal status of the property you’re interested in
Review all available property documents carefully and seek legal advice if anything is unclear. Also make sure there are no outstanding debts, disputes, or legal issues attached to the property.
3. Negotiation process and initial offer
When you make an offer, do it formally and respect the deadlines, since sellers often get several offers at once and the sale can become a private bidding process.
4. Sign the purchase agreement
If the seller accepts your offer, you sign a preliminary contract and pay an agreed deposit. A real estate agent usually holds the money to secure the deal.
5. Legal review of the contract
At this stage, a lawyer is important to check for hidden clauses in the contract and the responsibilities both sides are taking on.
They also verify whether the property has any usage restrictions that could delay or even cancel the deal
6. Sign the final contract and register the property in your name
The closing process usually takes 1 to 3 months. You pay the full price, the property is registered with Kartverket, and then you get the keys to your new home.
7. Avoid the following mistakes when buying a home in Norway
- Make sure you’re not caught off guard by buying a property through the Borettslag system: Understand whether the property is a Selveier or Borettslag home before making an offer.
- Failing to take into account annual winter maintenance costs: Many buyers underestimate the long-term maintenance costs associated with Norway’s climate. You also need to plan for yearly maintenance costs, because winter weather can damage the house in unexpected ways.
- Failing to accurately calculate the exchange rate: This mistake can lead to unexpected extra costs that throw off your budget or even cause the home purchase deal to fall through.
5. How to pay for a house in Norway
You can pay for a home in Norway in different ways, including international bank transfers, local transfers, or payments managed by a real estate agent.
Cash transactions are extremely uncommon in Norway, as banks and property professionals must comply with strict anti-money-laundering regulations.
Mortgages for foreigners
Foreign nationals can obtain mortgages as long as they meet the banks’ requirements.
In most cases, banks prefer applicants who have Norwegian residency, a stable income, local banking history, and documented employment in the country.
Financing options for buying a house in Norway
Some buyers use financing from banks in their home country, while others purchase through a company or use their own funds.
Buyers transferring money from abroad should also consider exchange-rate fluctuations and international transfer fees, as both can increase the overall cost of the purchase.
6. Tips before buying a house in Norway
These tips can help you avoid common mistakes when buying property in Norway.
1. Thorough review of the property documents
Before signing anything to close the deal, make sure the property is properly registered, has no debts, and meets all legal requirements for sale.
2. Seek advice from professionals
A real estate agent or a lawyer will guide you through the home-buying process in Norway, checking all the important details before you close any deal. Professional advice can help you avoid costly mistakes and unexpected legal issues.
3. You need to be connected to the internet
Buying a home in Norway means you need internet access wherever you are, so you can stay in contact with your lawyer or agent throughout the process.
Holafly’s monthly plans help you stay reliably connected, offering 25 GB or unlimited data coverage in over 160 countries. They also let you share the connection with other devices, like your laptop or tablet.
All plans include the Always On feature, which gives you 1 GB of free data each month and emergency coverage in over 70 countries.
4. Watch out for scams
In Norway, scams can still happen, so be careful if someone offers unregistered properties, asks for upfront payments outside the bank, or presents deals that look unusually cheap.
Frequently asked questions about buying a house in Norway
Generally, buying a home in Norway can take between 1 and 3 months, depending on how quickly the property’s legal status is verified.
Yes, as a foreigner, you can get a mortgage in Norway. However, banks usually require more collateral and have stricter requirements.
No. With freehold ownership you fully own the home, while Borettslag only gives you a share in a housing cooperative.
Yes, some investors buy property in Norway through companies to rent it out. You can also buy with your partner, as long as they are Norwegian or a legal resident.
If the home is fully yours, you can rent it freely. But if it’s part of a housing cooperative, there are usually more restrictions, even for temporary rentals.
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