In Norway, a heated debate is unfolding over the current housing equity requirements.

Both the Norwegian Confederation of Trade Unions (LO) and Norges Bank have expressed skepticism towards the Financial Supervisory Authority's proposal to maintain the 15% equity requirement for homebuyers.

This rule, which allows buyers to borrow up to 85% of a property's value, is seen as socially inequitable by LO, as it disproportionately affects those without parental financial support.

Norges Bank has suggested reducing the equity requirement to 10%, allowing for a 90% loan-to-value ratio, to ease access to the housing market, especially for young buyers.

The backdrop of this discussion is the historically high housing prices in Norwegian cities, which have made it increasingly difficult for many to enter the market.

The final decision on these regulations will be made by the Ministry of Finance, amid concerns about maintaining financial stability in the face of high household debt levels.