New housing construction costs rose 5.7% in 2021

Building new housing was 5.7% more expensive in 2021 compared to the previous year, a year-on-year change that accelerated 3.6% compared to 2020.

According to INE, the material and labor indexes rose by 6.2% and 5.1% last year.

In December alone, new housing construction costs will have risen by 6.8% compared to December 2020, 1.5% less than the variation recorded in the previous month.

The price of materials and the cost of labor showed year-on-year variations of 8% and 5.1%, new slowdowns compared to the rates of 9.4% and 6.8% recorded in the previous month, respectively.

In December, the cost of materials contributed with 4.6% to the formation of the ICCHN's year-on-year rate of change, and labor with 2.2%.

In the chain variation, construction costs fell -1.4%, with the cost of materials slowing down -0.7% and labor -2.3%.

Source: Real Estate