Construction cost growth beats the previous record of 1975

In the second half of 2022, construction prices have increased by 6.8%. The growth has slowed down a little for the last six months. However, the total yearly growth summed up to 15.9%. The country hasn't seen such numbers since 1975. The main expenses, as expected, turned out to be raw materials and energy.

Frame construction works, which account for around 37% of the total construction cost, have already risen in price by 14.9%. Prices for masonry construction materials have noticeably grown, for example, for cement and its substitutes.

However, the biggest hop happened for the finishing stage materials prices. Glazing, cladding, and gates and fence construction became 18.6% more expensive.

Such changes are almost guaranteed to affect the future value of housing, therefore, rents will also go up. It is hard to presume the results of such changes now. Houses that will be affected by the price increase will only be rented in the future.