Cost Of Living in Faroe Islands 2024
Average monthly spending for singles, couples, students, and families in Faroe Islands
Whether you're living in Faroe Islands or planning to move there, it is very important to know the cost of living and the prices of things. Here we list the average spending for the four main population groups.
Average Monthly Expenditure25,000 DKK
per month$3,6001,900 DKK $280
$36,000 250,000 DKK
Single17,000 DKK
per month$2,5005,800 DKK $840
$17,000 120,000 DKK
Couple29,000 DKK
per month$4,2009,600 DKK $1,400
$22,000 150,000 DKK
Family38,000 DKK
per month$5,60013,000 DKK $2,000
$31,000 210,000 DKK
Student12,000 DKK
per month$1,8004,800 DKK $700
$3,200 22,000 DKK
The figures displayed here are inclusive of everything: housing, travel, groceries, healthcare, etc.
Singles
The average monthly expense for a single person living in Faroe Islands is 17,000 DKK. Expenses can range from 5,800 DKK at the minimum level to 120,000 DKK at the highest end.
Couples
The average monthly spending of couples in Faroe Islands is 29,000 DKK. Expenditure can range from 9,600 DKK to 150,000 DKK per month.
Families
The average cost of living for families in Faroe Islands is 38,000 DKK per month. Families spend anywhere from 13,000 DKK to 210,000 DKK.
Students
The average monthly expenditure for students in Faroe Islands is 12,000 DKK. Students spend from 4,800 DKK to 22,000 DKK per month.
Spending behavior can change drastically from one person to another. It is best to consider the minimum, average, and maximum spending together.
Prices and cost of goods and services in Faroe Islands
Dining, food, and beverages costs
Large bottle of water
Fast food combo meal
Restaurant meal for one
Fine dining meal for one | 180 DKK | 270 DKK | 1,100 DKK |
Soda or Soft Drink
Cappuccino or latte Grocery and market costs
Milk large bottle
Loaf of bread
12 eggs
Fresh whole chicken
Beef 1 kg or 1 lb
Rice 1 kg or 1 lb
Tomato 1 kg or 1 lb
Apples 1 kg or 1 lb Commute, travel, and transportation costs
20 minutes taxi ride
Average car full tank
Average car 1-day rental
Average car price | 67,000 DKK | 130,000 DKK | 180,000 DKK |
Bus ticket one way
Car Service Utility cost (monthly)
Utility Bill - Individual | 350 DKK | 1,000 DKK | 6,900 DKK |
Utility Bill - Couple | 480 DKK | 1,400 DKK | 7,700 DKK |
Utility Bill - Family | 400 DKK | 1,200 DKK | 6,300 DKK |
Internet and cable
Mobile phone charges Leisure and activities costs
Movie ticket
One month gym membership Cloths and accessories costs
Pair of jeans or pants
Woman dress
Woman shoes
Men's shoes
Men suit
Regular t-shirt Housing costs / monthly rent
Studio apartment | 2,200 DKK | 3,400 DKK | 9,000 DKK |
1-bedroom apartment | 3,400 DKK | 5,400 DKK | 13,000 DKK |
2-bedroom apartment | 4,500 DKK | 6,700 DKK | 18,000 DKK |
Housing costs / Buying
Studio apartment | 450,000 DKK | 670,000 DKK | 1.3M DKK |
1-bedroom apartment | 540,000 DKK | 900,000 DKK | 3.4M DKK |
| $78,000 | $130,000 | $490,000 |
2-bedroom apartment | 900,000 DKK | 2.7M DKK | 5.4M DKK |
| $130,000 | $390,000 | $780,000 |
Furniture Costs
King Size Bed | 2,700 DKK | 3,400 DKK | 4,500 DKK |
Double Bed | 1,800 DKK | 2,700 DKK | 3,400 DKK |
Single Bed | 1,600 DKK | 2,100 DKK | 2,700 DKK |
Living Room | 3,000 DKK | 3,800 DKK | 13,000 DKK |
Dining Table | 1,300 DKK | 1,800 DKK | 3,400 DKK |
Sofa or Couch | 1,800 DKK | 2,400 DKK | 5,400 DKK |
Electronics and House Appliance Costs
TV Set | 1,800 DKK | 2,700 DKK | 5,400 DKK |
Fridge or Freezer | 1,600 DKK | 2,400 DKK | 3,400 DKK |
Washing Machine | 2,100 DKK | 3,000 DKK | 5,400 DKK |
Stove or Cooker | 1,900 DKK | 2,400 DKK | 3,400 DKK |
Mobile Phone | 2,200 DKK | 2,700 DKK | 3,800 DKK |
Laptop or Computer | 2,400 DKK | 3,000 DKK | 5,400 DKK |
Expenditure to Income Ratio in Faroe Islands
One of the most definite ways to determine how affordable a place is measuring the ratio of expenses to salary. A high expense-to-income to ratio indicates a high cost-of-living index while a low expenditure-to-salary ratio means the place is affordable to live in.
Spending to Income Ratio
81%
72% to 91%
( expenditure / income ) x 100
Expense to income distribution levels
| Spending To Income Ratio | % People |
|---|
| < 50% | 7% |
| 50% - 60% | 13% |
| 60% - 70% | 20% |
| 70% - 80% | 27% |
| 80% - 90% | 13% |
| 90% - 100% | 8% |
| 100% - 110% | 4% |
| 110% - 120% | 3% |
| 120% - 130% | 2% |
| 130% - 140% | 1% |
| > 140% | 1% |
Interpretation and Analysis
The average spending-to-salary ratio in Faroe Islands is 81%
This means that on average, people spend around 81% of their income for living.
According to the distribution table, 20% of the population spend approximately 60% to 70% of their income every month.
How can spending be more than income?
A value higher than 100% means that the expenditure of those people is higher than their income. They are spending more than what they earn. This is possible in two scenarios. They are either borrowing from their savings to survive or they are borrowing from other sources (relatives, friends, banks, etc.). More about this in the debt section.
Individual
73%
Spending-Income-Ratio
65%
82%
Couple
77%
Spending-Income-Ratio
68%
87%
Family
85%
Spending-Income-Ratio
76%
96%
How do people spend their money in Faroe Islands?
We asked thousands of people about their spending habits and expenditure breaks. Below are their answers.
The percentage figures in this section are percentages of total spending not income. If you would like to see the percentage of expenses as related to income or salary, see other sections.
Housing Expenditure29%
29% of total expenses on average (18% to 37%)
| LOW | $84 580 DKK |
| AVERAGE | $1,100 7,500 DKK |
| HIGH | $11,000 75,000 DKK |
| Per Month |
People living in Faroe Islands typically spend from 18% to 37% of their total monthly expenditure on housing with 29% being the average. The average spend on housing is 7,500 DKK with expenditure ranging from 580 DKK to 75,000 DKK. This cost mainly goes for rent but it also includes other accommodation-related expenses. Housing costs are highest for families and lowest for students as expected.
Utilities, Electricity, Water6%
6% of total expenses on average (3% to 10%)
| LOW | $14 96 DKK |
| AVERAGE | $180 1,200 DKK |
| HIGH | $1,800 12,000 DKK |
| Per Month |
Utility expenditure like electricity, water, and gas in Faroe Islands ranges from 3% to 10% of total expenses with 6% being the average. The average monthly cost of utilities is 1,200 DKK with 96 DKK and 12,000 DKK being the upper and lower limits.
Transport, Fuel, Commute9%
9% of total expenses on average (5% to 13%)
| LOW | $28 190 DKK |
| AVERAGE | $360 2,500 DKK |
| HIGH | $3,600 25,000 DKK |
| Per Month |
Fuel consumption and cost of transport depend heavily on whether you live near your work or school, but roughly speaking you would expect to spend from 190 DKK to 25,000 DKK on commuting with 2,500 DKK being the norm for most people in one month. This means that money spent on transport constitutes about 9% of total spending on average but can go as low as 5% or as high as 13%.
Food and Groceries Cost26%
26% of total expenses on average (18% to 32%)
| LOW | $70 480 DKK |
| AVERAGE | $910 6,200 DKK |
| HIGH | $9,100 62,000 DKK |
| Per Month |
The average outlay on groceries in a month in Faroe Islands is 6,200 DKK. The cost of groceries can range between 480 DKK to 62,000 DKK. People spend on average about 26% on food and groceries with upper and lower bounds of 18% and 32% respectively.
Healthcare and Medical Services8%
8% of total expenses on average (3% to 11%)
| LOW | $20 130 DKK |
| AVERAGE | $250 1,700 DKK |
| HIGH | $2,500 17,000 DKK |
| Per Month |
People in Faroe Islands allocate 3% to 11% of their total monthly expenditure to healthcare including health insurance and out-of-pocket medical expenses. The average spending is around 8%. The range of medical expenses range from 130 DKK to 17,000 DKK with 1,700 DKK being the norm.
Leisure and Shopping6%
6% of total expenses on average (3% to 10%)
| LOW | $11 77 DKK |
| AVERAGE | $150 1,000 DKK |
| HIGH | $1,500 10,000 DKK |
| Per Month |
This category mostly contains discretionary or non-essential expenses but also some non-discretionary spending like furniture for example. The monthly expenses range from 77 DKK to 10,000 DKK with 1,000 DKK being the average. Speaking of percentages, that equates to 3% to 10% of total expenses with an average of 6% for most residents.
Education and Schooling6%
6% of total expenses on average (4% to 12%)
| LOW | $17 120 DKK |
| AVERAGE | $220 1,500 DKK |
| HIGH | $2,200 15,000 DKK |
| Per Month |
Spending on education can vary drastically between different people. While working singles can spend 0% on education, families and students' expenditure can reach up to 22%. On average, education constitutes 6% of the monthly expenditure with 4% and 12% being the lower and upper bounds respectively. The average reported education cost is 1,500 DKK per month with 120 DKK being the minimum spent amount and 15,000 DKK being the maximum.
Other Expenses11%
11% of total expenses on average (6% to 18%)
| LOW | $36 250 DKK |
| AVERAGE | $470 3,200 DKK |
| HIGH | $4,700 32,000 DKK |
| Per Month |
How much money can you save in Faroe Islands every month?
We asked thousands of people what percentage of their income can they save in a month. Below are the answers.
What percentage of people in Faroe Islands manage to save money from their income every month?
Almost 67% of the surveyed people in Faroe Islands said that they can save some money at the end of each month while 33% said that aren't saving anything.
Percentage of people saving money by population group in Faroe Islands
| Group | Savers | Non Savers |
|---|
| Singles | 71% | 29% |
| Couples | 66% | 34% |
| Families | 61% | 39% |
Savings-to-Income Ratio
The savings-to-income ratio is measured as the percentage of income that people save over a specific period and it is simply calculated by dividing the saved money by total income and then multiplying the result by 100. (Savings / Income) x 100.
Saving to Income Ratio
Average Monthly Saved Amount
770 DKK
$110 | 10,000 DKK
$1,500 | 100,000 DKK
$15,000 |
For most people, 14% to 34% of their monthly income is what they can allocate to their savings, with 23% being the average. The amount of money that people can save is approximately 10,000 DKK on average with savings ranging from 770 DKK to 100,000 DKK.
71% of surveyed singles reported some of their income going to savings while 66% of couples said the same. 61% of families confirmed their ability to save money.
How much money do people actually save in Faroe Islands?
The amount of money that people can afford to save depends hugely on their income. It is better to focus on the percentage when trying to understand saving patterns.
Singles
Saving to Income Ratio
Average Monthly Saved Amount
2,300 DKK
$330 | 6,900 DKK
$1,000 | 46,000 DKK
$6,700 |
Savings to income distribution levels for singles
| Saving To Income Ratio | % Singles |
|---|
| 0% - 10% | 27% |
| 10% - 20% | 21% |
| 20% - 30% | 15% |
| 30% - 40% | 18% |
| 40% - 50% | 14% |
| > 50% | 5% |
Interpretation and Analysis
Singles who can afford to save reported that they allocate from 17% to 36% of their monthly income to savings, with 27% being the average for most singles. The average amount of money that singles are able to save is 6,900 DKK with 2,300 DKK and 46,000 DKK being the minimum and maximum respectively.
Couples
Saving to Income Ratio
Average Monthly Saved Amount
3,800 DKK
$560 | 12,000 DKK
$1,700 | 61,000 DKK
$8,900 |
Savings to income distribution levels for couples
| Saving To Income Ratio | % Couples |
|---|
| 0% - 10% | 31% |
| 10% - 20% | 23% |
| 20% - 30% | 18% |
| 30% - 40% | 13% |
| 40% - 50% | 11% |
| > 50% | 4% |
Interpretation and Analysis
Couples who confirmed their ability to save reported saving equivalent to 15% to 35% of their monthly income, with 25% being the average for most couples. The average amount of money that couples can save is 12,000 DKK with 3,800 DKK and 61,000 DKK being the minimum and maximum respectively.
Families
Saving to Income Ratio
Average Monthly Saved Amount
5,400 DKK
$780 | 15,000 DKK
$2,200 | 84,000 DKK
$12,000 |
Savings to income distribution levels for families
| Saving To Income Ratio | % Families |
|---|
| 0% - 10% | 34% |
| 10% - 20% | 26% |
| 20% - 30% | 19% |
| 30% - 40% | 10% |
| 40% - 50% | 8% |
| > 50% | 3% |
Interpretation and Analysis
Families in Faroe Islands can save anywhere between 13% to 31% of their monthly income, with 21% being the average for most families. The average amount of money that families can put aside is 15,000 DKK with 5,400 DKK and 84,000 DKK being the minimum and maximum respectively.
A typical and healthy budgeting structure
The 50/30/20 rule
Spending among different people can vary significantly based on factors such as their income, lifestyle,
location, and personal preferences. A commonly used guideline for budgeting is the 50/30/20 rule,
which suggests allocating your income into three main categories in the following percentages.
50% for needs and financial obligations
This category includes essential expenses like housing, utilities, groceries, transportation, and healthcare.
30% for wants and discretionary spending
This category covers discretionary spending on non-essential items, such as dining out, entertainment, travel, and other lifestyle choices.
20% for savings and emergency fund
This is the percentage that must be allocated to savings, emergency funds, and retirement accounts.
About financial planning, money management, and household budgeting
The 50/30/20 rule is used as a general guideline but may not be the best choice for all people. There are in fact many budgeting plans out there like the 70/20/10 and the 60/20/20 rules, all claiming to be the best. More important than all of this is to establish financial discipline by creating a budget tailored to your specific financial goals and situation. It is very important that your financial outflow be less than your income to maintain a healthy cash flow.
Affordable living in Faroe Islands
Income and cost of living compatibility
We asked residents one simple question and recorded their answers.
Is it affordable or economical to live in Faroe Islands?
Around 76% of surveyed residents think that living in Faroe Islands is affordable with proper budgeting while 24% reported that it is just too expensive and not affordable even with frugality and thriftness.
Low-cost alternatives in Faroe Islands
People are always looking for ways to cut down expenses and reduce expenditures. The hallmark of any affordable place is the availability of discount stores, bargain deals, smart or secondhand shopping, refurbished items, and couponing. We asked residents how easily cost-cutting is and the answers were distributed as follows:
Plenty of low-cost options61%
Few low-cost options39%
Based on the survey, 61% of the people living in Faroe Islands have no problem finding low-cost alternatives to support a frugal lifestyle while 39% think that thriftness is difficult due to scarcity in discount markets and secondhand outlets.
Emergency Funds
An emergency fund is a financial safety net comprised of easily accessible savings set aside to cover unexpected expenses or financial emergencies, typically amounting to three to six months' worth of living expenses. We asked residents of Faroe Islands whether they have an emergency fund and the answers were as follows.
Yes74%
No26%
Based on the survey, 26% of the people living in Faroe Islands said that they don't have an emergency fund while 74% said that they do.
Financial Literacy in Faroe Islands
Financial literacy is the knowledge of concepts and principles related to personal finance that allow individuals to make informed decisions regarding their money such as budgeting, saving, investing, borrowing, managing debt, financial risk management, and planning.
Financial Leteracy71%
We asked residents of Faroe Islands whether they acquired any adequate personal financial training in their lives. Approximately 29% of the people who participated in the survey said that they are not well informed about the topics of budgeting, saving, etc., and just manage things based on their own experience, while 71% said that they know about the general principles of personal finance from sources other than their own experience.
Difficulty in Budgeting and Financial Planning
We wanted to understand whether residents of Faroe Islands have problems or difficulties in managing their expenditures and savings so asked the people one simple question: do you struggle with your personal finances? 25% of the participants reported that they indeed struggle in creating budgets and in organizing their finances while 75% said that they have everything under control.
Struggles with finance25%
Easily manages finances75%
Financial goals of people in Faroe Islands
In an attempt to understand the economic situation in Faroe Islands, we asked participants about their financial targets. By knowing what the population in general is trying to achieve, we can shed light on the economic outlook, cost of living, and quality of life in general.
| Financial Goal | % People |
|---|
| Emergency Fund | 6% |
| Debt Reduction | 27% |
| Retirement Savings | 6% |
| Education Funding | 9% |
| Homeownership | 16% |
| Investing | 10% |
| Travel or Lifestyle | 13% |
| Healthcare Expenses | 6% |
| Financial Independence | 11% |
Around 6% of those who participated in the survey said that their main goal is to establish an emergency fund to cover unexpected expenses while 27% said their number one priority is to pay off high-interest debt or loans and improve credit. 6% of surveyed people confirmed that saving for retirement to ensure a comfortable lifestyle in the final years is their main target. Around 9% reported that their priority is saving for the tuition fees and education costs of their children while 16% choose to buy a home or pay off existing mortgage before other things. 10% of the population would like to build wealth through investments such as stocks, bonds, mutual funds, or real estate. For 13% of people, saving for vacations or upgrading their lifestyle is the number one concern. Approximately 6% of the residents said that saving for healthcare expenses including insurance premiums is their main goal.
Saving Challenges in Faroe Islands
Reasons that make it difficult for people to save money
We wanted to understand what is stopping people from maximizing their savings in Faroe Islands. Listed below are the answers given by the survey participants.
| Reason | % People |
|---|
| Low Income | 7% |
| High Expenses | 10% |
| Debt and Loans | 21% |
| Lack of Budgeting Skills | 10% |
| Impulsive Spending | 8% |
| Financial Emergencies | 5% |
| Living the moment | 7% |
| Will do it later | 15% |
| Inflation | 9% |
| Social Pressure | 4% |
| Market Instability | 4% |
Around 7% of the people said that their salary is too low to accommodate a portion for savings while 10% said that the high cost of living leaves little room for savings. 21% of the residents said that they are burdened with debt and find it challenging to save money. 10% reported that they just don't have the knowledge or discipline to create and stick to a budget, leading to overspending and an inability to save. 8% blamed impulsive spending as the reason for saving inability. Around 5% said that unexpected expenses like medical bills or car repairs are derailing their savings goals. 7% bluntly said that they don't see the purpose of it and prefer to live each day to the fullest. 15% reported that they understand the value of saving but are putting off saving for the future, thinking they have plenty of time to start later. 9% blamed inflation, saying that every time they save some money they end up using it immediately. A surprising 4% said that social pressure and keeping up with peers or societal expectations makes them overspend. Lastly, 4% blamed market instability and price fluctuations.
Typical saving choices for people in Faroe Islands
Where do people choose to put their savings?
| Saving Type | % People |
|---|
| Emergency Funds | 10% |
| Gold | 8% |
| Savings Accounts | 18% |
| Retirement Accounts | 12% |
| Cash Savings | 13% |
| Real Estate | 11% |
| Investment | 7% |
| Stocks | 7% |
| Bonds | 7% |
| Mutual Funds | 4% |
| Certificates of Deposit | 4% |
Retirement, pension plans, and life after work in Faroe Islands
What does the retirement lifestyle look like in Faroe Islands and how much retirement savings are required?
Retirement age
The retirement age for most employees in Faroe Islands is 65 years. Specific retirement ages can vary based on factors like occupation, gender, years of contribution, and location. It is not entirely unlikely for people to retire either before or after this age.
Retirement planning and savings
There are many retirement saving options, some are personally initiated and others are government-sponsered. Regardless of the source of savings, the minimum amount of money that needs to be put aside to ensure a peaceful and comfortable retirement at each age can be found in the table below. This data is largely approximated and can vary drastically based on individual needs and situations. Treat these figures as a general guideline.
The typical saved amount of money you should have at every age as multiples of monthly salary:| Age | Amount |
|---|
| 25 | 5x monthly salary at age 25 |
| 30 | 10x monthly salary at age 30 |
| 35 | 15x monthly salary at age 35 |
| 40 | 25x monthly salary at age 40 |
| 45 | 32x monthly salary at age 45 |
| 50 | 48x monthly salary at age 50 |
| 55 | 56x monthly salary at age 55 |
| 60 | 64x monthly salary at age 60 |
| 65 | 78x monthly salary at age 65 |
The typical average saved amount of money you should have at every age in Faroe Islands:| Age | Amount |
|---|
| 25 | 70,000 DKK |
| 30 | 140,000 DKK |
| 35 | 240,000 DKK |
| 40 | 350,000 DKK |
| 45 | 520,000 DKK |
| 50 | 730,000 DKK |
| 55 | 870,000 DKK |
| 60 | 1.1M DKK |
| 65 | 1.3M DKK |
Retirement Income Distribution
We asked residents of Faroe Islands about their retirement income sources and below are the results.
| Source | % People |
|---|
| Pensions | 14% |
| Savings | 21% |
| Investments | 14% |
| Social Security | 9% |
| Annuities | 9% |
| Part-time Job | 7% |
| Real Estate | 16% |
| Dividends and Interest | 9% |
Retirement Monthly Expenses in Faroe Islands 4,100 DKK
$600 | 12,000 DKK
$1,800 | 83,000 DKK
$12,000 |
Debt, loans, and mortgages in Faroe Islands
Percentage of people who are in debt
According to the survey, 26% of the people in Faroe Islands have some kind of debt, loan, mortgage, or credit card payments while 74% reported that they don't have financial obligations to banks.
Debt-to-income ratio in Faroe Islands
Debt to income ratio
26%
17% to 36%
( monthly debt payment / monthly income ) x 100
Interpretation
The debt-to-income ratio measures the percentage of income being paid as debt settlement across the population. It is calculated by dividing the monthly debt settlement payment of an individual by their monthly income. Based on collected data, approximately 26% of the people's monthly income in Faroe Islands goes to debt settlement.
Debt levelsMonthly debt settlement payment as percentage of monthly income
| Debt-to-income ratio | % People |
|---|
| > 60% | 2% |
| 50% - 60% | 8% |
| 40% - 50% | 9% |
| 30% - 40% | 11% |
| 20% - 30% | 18% |
| 10% - 20% | 22% |
| 0% - 10% | 29% |
According to our data, 2% of the debtors in Faroe Islands pay 60%+ of their income as debt settlement while 8% of the people pay 50% to 60% of their income for the same, which is quite an alarming financial situation for those individuals. 9% of people in debt dedicate 40% to 50% of their income to loan and mortgage payments while 11% dedicated 30% to 40% of income for same. Things are looking brighter for 18% of individuals as they only pay 20% to 30% of their income for loan and credit card repayment.
Distribution by type of debt in Faroe Islands
| Debt | % People |
|---|
| Real Estate Mortgage | 16% |
| Auto Loan | 27% |
| Student Loan | 2% |
| Credit Card | 22% |
| Personal Loan | 33% |
16% of debtors in Faroe Islands confirm that real estate mortgages constitutes the main part of their outstanding debt while 22% say that credit card payments are the reason they are in debt. Auto loans were the main type of debt for 27% of people and personal loans rose at 33%. Lastly, student loans are the main source of debt for 2% of debtors in Faroe Islands.
About credit score and debt managementManaging debt is a critical aspect of maintaining a favorable credit score. Debt reduction is the first thing you should do improve your financial situation. Getting rid of debt takes precedence over saving money because of interest rates.
Good debt vs. Bad debt
Not all debt is bad. Good debt typically refers to borrowing money for investments that can increase in value or generate income over time like purchasing a home or acquiring student loans. On the other hand, bad debt involves borrowing for things that fail to generate lasting value like high-interest credit card debt used for non-essential expenses like luxury items or vacations.
Loan Affordability Index in Faroe Islands
Besides measuring the loan-to-income ratio, we asked residents of Faroe Islands how many times in a year they defaulted or were unable to pay their due credit card or loan payments on time. Understanding how often people default on their due payments is one of the indicators of the cost of living and economic situation.
Frequency and percentage of people who failed to pay their monthly credit card or loan payments on time last year.
| Frequency | % People |
|---|
| Never | 58% |
| Once a year | 21% |
| Twice a year | 11% |
| Three times a year | 7% |
| Four times a year | 3% |
Housing costs, accommodation, and housing affordability in Faroe Islands
Rental costs and house/apartment prices can vary drastically between different areas and locations.
Rent Cost in Faroe Islands
Monthly Rent Prices
Studio apartment | 2,200 DKK | 3,400 DKK | 9,000 DKK |
1-bedroom apartment | 3,400 DKK | 5,400 DKK | 13,000 DKK |
2-bedroom apartment | 4,500 DKK | 6,700 DKK | 18,000 DKK |
3-bedroom apartment | 5,400 DKK | 9,000 DKK | 24,000 DKK |
Furnished apartment | 11,000 DKK | 27,000 DKK | 54,000 DKK |
Townhouse | 9,000 DKK | 13,000 DKK | 38,000 DKK |
House | 11,000 DKK | 27,000 DKK | 54,000 DKK |
Villa | 13,000 DKK | 34,000 DKK | 54,000 DKK |
The monthly rental cost of a studio apartment in Faroe Islands ranges between 2,200 DKK and 9,000 DKK, meanwhile the cost of monthly rental of a one-bedroom apartment can be anywhere from 3,400 DKK to 13,000 DKK. Two-bedroom rentals rate ranges between 4,500 DKK and 18,000 DKK per month. The monthly rental for a three-bedroom apartment ranges from 5,400 DKK to 24,000 DKK. The average rent of a townhouse in Faroe Islands is around 13,000 DKK while house rental costs can be as high as 27,000 DKK per month. Finally, if you want to rent a villa, expect to pay anywhere from 13,000 DKK to 54,000 DKK per month.
Apartment and house prices in Faroe Islands
Cost of buying a property
Studio apartment | 450,000 DKK | 670,000 DKK | 1.3M DKK |
1-bedroom apartment | 540,000 DKK | 900,000 DKK | 3.4M DKK |
| $78,000 | $130,000 | $490,000 |
2-bedroom apartment | 900,000 DKK | 2.7M DKK | 5.4M DKK |
| $130,000 | $390,000 | $780,000 |
3-bedroom apartment
Townhouse
House
Villa The average price of a studio apartment in Faroe Islands can range from 450,000 DKK to 1.3M DKK depending on location. One bedroom cost can be anywhere from 540,000 DKK to 3.4M DKK. A villa can cost you 30M DKK on average with prices ranging from 5.4M DKK to 45M DKK.
If you're leasing or purchasing, housing costs in Faroe Islands will probably constitute your biggest expenditure, yet it's an area where you wield considerable influence. This is due to the substantial variance in housing prices across communities. Keep in mind the location of your workplace and the accessibility of essential amenities to prevent negating the savings from lower rental rates with increased transportation expenses.
House / apartment prices to income ratio
Property price to income ratio( average property price / average monthly income ) x 100
| 46 | x136 monthly income | 222 |
Property prices in Faroe Islands can be x136 to x222 multiples of the monthly income depending on the property and the income of the person. On average, property prices are approximately x136 multiples of the average monthly salary in Faroe Islands.
Rent to income ratio
Rent to income ratio( monthly rental / monthly income ) x 100
The average rent-to-income ratio in Faroe Islands is around 34%. This means that people pay 34% of their income for rent. Those figures can range from 24% to 44% depending on the salary, location, and type of property.
The housing-to-income ratio is a very important metric to evaluate and measure how affordable living is in a particular area, city, or country since housing comprises the biggest chunk of expenditure. A higher housing to income ratio means that the place is relatively expensive. The figure by itself does tell much. It only starts to make sense when comparing the housing to income ratio across different locations.
Housing affordability index
The housing affordability index measures how affordable accommodation is in a particular place. This can measured in multiple ways, the most common being housing expenditure to total expenditure ratio and the rent to income ratio. The housing expenditure ratio is a figure reported by individuals on the percentage they allocate for housing. Rent to income ratio is calculated by dividing the average monthly rent by the average income. Because these values are both percentages, we can find their average and get the best of the two worlds.
Housing Affordability Index
32% Property Taxes
Real estate owners pay property taxes to local tax authorities, which are determined by the assessed value of their property. Typically, these taxes are paid once a year. Property tax funds contribute to community development, financing infrastructure improvements, public services, and local education initiatives.
Home Maintenance Costs
Home maintenance costs encompass various expenses associated with the upkeep and repair of a residence. These expenditures include regular tasks such as lawn care, pest control, and HVAC system servicing, as well as occasional repairs and renovations like fixing leaks, painting, or replacing appliances.
Urban vs. rural living costs
Urban living typically entails higher housing and transportation costs due to demand and limited space, while rural areas generally offer lower housing expenses but may have higher prices for goods and services. The differnce in rental rates between urban areas and rural areas can be as high as 300% in some cases.
SingleSpending habits, consumption analysis, and expenditure patterns for a single person living in Faroe Islands
Housing35%
35% of total expenses on average (23% to 47%)
| LOW | $300 2,100 DKK |
| AVERAGE | $900 6,200 DKK |
| HIGH | $6,000 41,000 DKK |
| Per Month |
Utilities, Electricity, Water7%
7% of total expenses on average (3% to 12%)
| LOW | $50 350 DKK |
| AVERAGE | $150 1,000 DKK |
| HIGH | $1,000 6,900 DKK |
| Per Month |
Transport, Fuel7%
7% of total expenses on average (5% to 13%)
| LOW | $67 460 DKK |
| AVERAGE | $200 1,400 DKK |
| HIGH | $1,300 9,200 DKK |
| Per Month |
Food and Groceries17%
17% of total expenses on average (11% to 22%)
| LOW | $130 920 DKK |
| AVERAGE | $400 2,800 DKK |
| HIGH | $2,700 18,000 DKK |
| Per Month |
Healthcare10%
10% of total expenses on average (4% to 14%)
| LOW | $75 520 DKK |
| AVERAGE | $230 1,600 DKK |
| HIGH | $1,500 10,000 DKK |
| Per Month |
Leisure, Shopping4%
4% of total expenses on average (4% to 7%)
| LOW | $42 290 DKK |
| AVERAGE | $130 860 DKK |
| HIGH | $840 5,800 DKK |
| Per Month |
Education2%
2% of total expenses on average (1% to 4%)
| LOW | $17 120 DKK |
| AVERAGE | $50 350 DKK |
| HIGH | $340 2,300 DKK |
| Per Month |
Other Expenses19%
19% of total expenses on average (11% to 23%)
| LOW | $150 1,000 DKK |
| AVERAGE | $450 3,100 DKK |
| HIGH | $3,000 21,000 DKK |
| Per Month |
CoupleAverage monthly living expenditure breaks and spending patterns for couples in Faroe Islands
Housing32%
32% of total expenses on average (25% to 42%)
| LOW | $460 3,200 DKK |
| AVERAGE | $1,400 9,500 DKK |
| HIGH | $7,400 51,000 DKK |
| Per Month |
Utilities, Electricity, Water6%
6% of total expenses on average (4% to 10%)
| LOW | $70 480 DKK |
| AVERAGE | $210 1,400 DKK |
| HIGH | $1,100 7,700 DKK |
| Per Month |
Transport, Fuel11%
11% of total expenses on average (5% to 16%)
| LOW | $170 1,200 DKK |
| AVERAGE | $500 3,500 DKK |
| HIGH | $2,700 18,000 DKK |
| Per Month |
Food and Groceries15%
15% of total expenses on average (10% to 20%)
| LOW | $200 1,300 DKK |
| AVERAGE | $590 4,000 DKK |
| HIGH | $3,100 21,000 DKK |
| Per Month |
Healthcare12%
12% of total expenses on average (6% to 16%)
| LOW | $150 1,100 DKK |
| AVERAGE | $460 3,200 DKK |
| HIGH | $2,500 17,000 DKK |
| Per Month |
Leisure, Shopping5%
5% of total expenses on average (3% to 8%)
| LOW | $84 580 DKK |
| AVERAGE | $250 1,700 DKK |
| HIGH | $1,300 9,200 DKK |
| Per Month |
Education2%
2% of total expenses on average (1% to 4%)
| LOW | $28 190 DKK |
| AVERAGE | $84 580 DKK |
| HIGH | $450 3,100 DKK |
| Per Month |
Other Expenses18%
18% of total expenses on average (12% to 24%)
| LOW | $240 1,600 DKK |
| AVERAGE | $710 4,900 DKK |
| HIGH | $3,800 26,000 DKK |
| Per Month |
FamilyAverage monthly expenses and break out of spending for families living in Faroe Islands
Housing31%
31% of total expenses on average (26% to 41%)
| LOW | $630 4,300 DKK |
| AVERAGE | $1,800 12,000 DKK |
| HIGH | $9,800 68,000 DKK |
| Per Month |
Transport, Fuel7%
7% of total expenses on average (5% to 9%)
| LOW | $160 1,100 DKK |
| AVERAGE | $450 3,100 DKK |
| HIGH | $2,500 17,000 DKK |
| Per Month |
Food and Groceries19%
19% of total expenses on average (12% to 25%)
| LOW | $350 2,400 DKK |
| AVERAGE | $1,000 6,900 DKK |
| HIGH | $5,500 38,000 DKK |
| Per Month |
Healthcare9%
9% of total expenses on average (5% to 14%)
| LOW | $160 1,100 DKK |
| AVERAGE | $450 3,100 DKK |
| HIGH | $2,500 17,000 DKK |
| Per Month |
Leisure, Shopping4%
4% of total expenses on average (3% to 8%)
| LOW | $98 670 DKK |
| AVERAGE | $280 1,900 DKK |
| HIGH | $1,500 11,000 DKK |
| Per Month |
Education14%
14% of total expenses on average (7% to 22%)
| LOW | $270 1,900 DKK |
| AVERAGE | $780 5,400 DKK |
| HIGH | $4,300 30,000 DKK |
| Per Month |
Other Expenses13%
13% of total expenses on average (6% to 18%)
| LOW | $230 1,600 DKK |
| AVERAGE | $670 4,600 DKK |
| HIGH | $3,700 25,000 DKK |
| Per Month |
StudentCost of living and expenses break down for students living in Faroe Islands
Housing23%
23% of total expenses on average (18% to 29%)
| LOW | $170 1,200 DKK |
| AVERAGE | $420 2,900 DKK |
| HIGH | $760 5,200 DKK |
| Per Month |
Utilities, Electricity, Water5%
5% of total expenses on average (3% to 9%)
| LOW | $28 190 DKK |
| AVERAGE | $70 480 DKK |
| HIGH | $130 870 DKK |
| Per Month |
Transport, Fuel6%
6% of total expenses on average (6% to 12%)
| LOW | $49 340 DKK |
| AVERAGE | $120 850 DKK |
| HIGH | $220 1,500 DKK |
| Per Month |
Food and Groceries21%
21% of total expenses on average (15% to 25%)
| LOW | $140 970 DKK |
| AVERAGE | $350 2,400 DKK |
| HIGH | $630 4,400 DKK |
| Per Month |
Healthcare7%
7% of total expenses on average (4% to 10%)
| LOW | $42 290 DKK |
| AVERAGE | $110 730 DKK |
| HIGH | $190 1,300 DKK |
| Per Month |
Leisure, Shopping4%
4% of total expenses on average (3% to 8%)
| LOW | $35 240 DKK |
| AVERAGE | $88 600 DKK |
| HIGH | $160 1,100 DKK |
| Per Month |
Education19%
19% of total expenses on average (12% to 24%)
| LOW | $130 920 DKK |
| AVERAGE | $330 2,300 DKK |
| HIGH | $600 4,100 DKK |
| Per Month |
Other Expenses16%
16% of total expenses on average (10% to 22%)
| LOW | $110 730 DKK |
| AVERAGE | $260 1,800 DKK |
| HIGH | $470 3,300 DKK |
| Per Month |
