Young Swedes Face Lengthy Wait for Home Ownership Amid Inflation Pressures

High inflation and economic conditions are severely impacting young workers in Sweden, making home ownership an increasingly distant goal. According to a recent report from LO economists, a 28-year-old shop worker in Järfälla needs about 14 years of saving to afford a down payment on a modest two-room apartment in Greater Stockholm. Meanwhile, a young couple in Södertälje would require five years to save for a townhouse, a period that extends to 21 years when factoring in the costs of raising a child. Despite expected slight improvements in 2025 owing to collective agreements that bring significant wage increases, many young Swedes find it difficult to plan for families or secure stable housing.

The report emphasizes the financial strain small households endure, with a single shop worker struggling even with available government support like child allowances and housing benefits, while couples face challenges saving for improved living conditions. LO’s youth secretary Elsa Alm notes many young workers wish to have children but hesitate due to financial insecurity, attributing this dilemma to political and employment factors rather than personal lifestyle choices. LO chairman Johan Lindholm criticizes the political inaction in creating quality jobs, pointing out that high unemployment further dampens young people’s financial stability and future prospects. This economic pressure shapes both their housing ambitions and family planning, revealing deep social and economic concerns within young Swedish households.