is situated in the western part of the
Scandinavian peninsula. It extends about 1,100 mi (1,770 km) from the
North Sea along the Norwegian Sea to more than 300 mi (483 km) above the
Arctic Circle, the farthest north of any European country. It is
slightly larger than New Mexico. Nearly 70% of Norway is uninhabitable
and covered by mountains, glaciers, moors, and rivers. The hundreds of
deep fjords that cut into the coastline give Norway an overall
oceanfront of more than 12,000 mi (19,312 km). Galdhø Peak, at 8,100 ft
(2,469 m), is Norway's highest point and the Glåma (Glomma) is the
principal river, at 372 mi (598 km) long.
Norwegians, like the Danes and Swedes, are of
Teutonic origin. The Norsemen, also known as Vikings, ravaged the coasts
of northwest Europe from the 8th to the 11th century and were ruled by
local chieftains. Olaf II Haraldsson became the first effective king of
all Norway in 1015 and began converting the
Norwegians to Christianity.
After 1442, Norway was ruled by Danish kings until 1814, when it was
united with Sweden, although retaining a degree of independence and
receiving a new constitution in an uneasy partnership. In 1905, the
Norwegian parliament arranged a peaceful separation and invited a Danish
prince to the Norwegian throne,
King Haakon VII. A treaty with Sweden
provided that all disputes be settled by arbitration and that no
fortifications be erected on the common frontier.
Norwegian Government Information
Norway in Europe including links to Norwegian Government and Tourist
Housing is extremely
expensive in Norway, and prices are continuing to rise, with an average
increase of 10% between 2005 and 2006.
Oslo and the other main cities have the highest housing costs, while
the rural areas offer more inexpensive accommodation, built to a good
Although prices are
high, Norwegian houses are generally built to a very high standard of
construction and are well-insulated and heated. A high percentage of the
Norwegians live in detached houses, and it can be quite difficult to
find simple, inexpensive housing.
Individuals and entities of all types are legally entitled to own,
occupy, and invest in property.
Normally a property
is sold to the highest bidder after a round of bids which may take some
time. A closing date for a bid is rarely set and the seller may accept
an offer whenever it suits him.
Requirements: The buyer must have
identity in the form of a national ID number or a national organisation
number if the buyer is a firm.
individuals or firms therefore need to acquire a
Norwegian identity to
be registered as an owner. This can be done by acquiring a “D number”
from the Population Register in the municipality where the property is
located. Such a D number is given when the person or company in question
submits the necessary identification documents from their own countries.
agriculture land, or a large commercial property, it will also be
necessary to apply for a licence. The licence terms are the same for
Norwegian nationals and firms as for nationals of or firms with
registered office in the EU. The fee for applying for a licence varies
between NOK 750 and NOK 15,000, depending on the contract amount.
It is not a requirement to use a solicitor for property purchase in
Norway and estate agents usually attend to the process as part of their
service. However if you are a foreign resident it may be in your
interests to consult one especially if you do not speak the language.
agents are entitled to conclude the whole real estate transaction
without the assistance of a lawyer. In Norway, estate agents are also in
charge of the financial settlement and for registering the deed in a
central, state register. To run an estate agency in
Norway, the estate
agent must be insured for at least NOK 10 million to cover any
liabilities the buyer or seller may incur in the course of the
normally charge a percentage of the purchase price as their fee. If an
agent is not used when buying a house, the buyer is required to ask an
authorised independent valuer to assess the value of the property. It is
necessary to check with the land registry to ensure that there are no
encumbrances on the property you wish to buy, and legal assistance
should also be sought to help draw up the sales contract, if an estate
agent is not used.
Due to climatic
conditions in Norway, defects in a property will often have great
consequences. A defect could be that the property differs materially
from the description in the prospectus or that seller/estate agent has
withheld information. In both these cases, the buyer will normally be
entitled to claim a price reduction or compensation within five years
from the time of taking possession of the property. However, the
condition for this is that a complaint is made as soon as the buyer
becomes aware of the defect and files a claim form within 12 months if
the flaw or defect was discovered two years or later after taking
sales contract, the first step, is very important in the acquisition
process. It guides the whole procedure and also protects both parties in
case of breach of contract (remunerations in such cases are specified in
the contract). This document is drawn up and later kept by the agent.
During the signing of the contract the seller issues the deed to the
buyer. The deed will be kept by the agent until its registration (the
registration, a certified copy of the land register is issued by the
registration authorities. It shows the name of the title owner, and any
encumbrances attached to the property.
only takes an average of one day to complete the single procedure needed
to register property in Norway.
Taking possession is
a formal, legal act. What is noted down in the protocol signed by both
parties on take over which will be of great significance if any problem
should later arise in connection with the property. A non-Norwegian
buyer should always be assisted by a
Norwegian professional when taking
possession, so as to avoid risking the loss of rights.
Fees/Taxes: The fee
for registering a title deed is around NOK 2000 and for registering a
mortgage secured on the property around NOK 2200. In addition the
purchaser must pay a stamp duty of 2.5% of the property purchase price.
Holiday Homes: If
a private person owns a holiday home in
Norway, he will have to pay a
tax of 2.5% of the property’s assessed value. 2.5% of the assessed value
will be considered and taxed as income. For primary homes, there are no
If a holiday home is
exclusively used for letting, it will be considered a business activity,
which entails a tax of 28% of the profit. When a holiday home is sold,
the profit will be tax-free if you have owned the property for more than
five years and have used it during this period as your own holiday home.
If you have not owned it for five years or have not used it yourself, a
28% tax on the profit will be payable.
Yields for properties in Oslo range from 3.6% to 5%.
Properties in Bergen and Fjords areas have similar yields, at 3.9% -
Properties in Oslo can cost you around €5,000 to €6,700 per sq. m.,
depending on the size of the property; monthly rents are around €750 to
€2,400. Bergen and Fjords’ rental markets offer a cheaper alternative,
with properties costing €2,200 to €3,500 per sq. m. and monthly rents
ranging from €450 to €1,200.