Finding housing in Sweden can be a lengthy process that involves wait lists and years of planning. House prices are high and a number of banks and analysts have warned that Sweden's housing market is overheating, perhaps headed to a bubble not unlike the one the U.S. saw in 2008. Prices have continued to rise in part because Sweden's lending policies have traditionally been quite generous.

As prices rose, banks responded by extending mortgage terms without a limit — a not uncommon term was reportedly 140 years. The practice developed as a strategy to cope with the high property prices since a longer term means monthly payments are lower. Nearly one-third of mortgages issued in 2014 allowed borrowers to repay only interest. But inheritors are left with repaying the balance of the mortgage and are often forced to sell the home. Sweden now appears to be reining in mortgage availability and restrictions with terms requiring homebuyers to clear the debt — according to a new law mortgages will have a 105-year repayment limit and borrowers will be required to reimburse a minimum amount of the loan capital each year, after a five-year grace period on loans for new homes.