HusIQ · Technical Methodology

Affordability

HusIQ calculates an indicative income requirement from a property's price and compares that requirement with the historical income distribution for the market.

The concept

The property price is an input. HusIQ does not determine what the property is worth.

The calculation estimates the income level associated with financing the property under a defined set of assumptions.

Down payment 10%

Bank financing 90%

* Affordability multiple 4×

* We assume that the bank will lend a maximum of 4× the borrower’s annual income.

Data

The data used for income distribution comes from statbank.hagstova.fo .

Calculate

Adjust the property price to see the indicative income required.

Property price

5.495.000 DKK

250,000 DKK 7,500,000 DKK

Required income

—

Based on 90% financing and a 4× affordability multiple.

HusIQ segment

—

Historical income data

HusIQ uses income data from the year before the property was listed.

Listing year 2026

Income data year 2025

Example: A property listed in 2025 uses income data from 2024. This keeps the income distribution aligned with the market period in which the property was listed.

Income percentiles — 2025

The calculated required income is compared with the income distribution for the relevant year.

P25

313.179 DKK

25%

P50

445.464 DKK

50%

P75

590.623 DKK

75%

P90

743.565 DKK

90%

The percentile describes the income distribution, not property value. The result indicates where the calculated income requirement sits relative to the income distribution for the selected year.

Income segmentation

HusIQ assigns the calculated income requirement to an indicative income segment.

Above p90 × 1.5 1.115.348 DKK → 1%*

Above p90 743.565 DKK → 10%

Above p75 590.623 DKK → 25%

Above p50 445.464 DKK → 50%

Above p25 313.179 DKK → 75%

* Estimated 1% threshold. HusIQ does not use an actual p99 value for this segment. The current methodology estimates the threshold as p90 × 1.5.

Example

For a property priced at 5,495,000 DKK:

Property price 5.495.000 DKK

10% down payment 549.500 DKK

90% financing 4.945.500 DKK

Affordability multiple 4×

Required income 1.236.375 DKK

HusIQ segment 1%*

Calculation

5,495,000 × 0.90 ÷ 4 = 1,236,375 DKK

1.236.375 DKK is well above the 2025 p90 income of 743.565 DKK which places this example in the 1% segment.