Global inflation will impact the cost of construction materials, which have been on the rise since 2019.
The conflict between Russia and Ukraine has brought economic consequences throughout the world. The inflationary phenomenon in commodities and energy has caused price increases in the production of almost all inputs. Housing in Mexico does not escape this situation.
Although in previous years there had already been a rise in the value of construction products, which as a consequence brought about higher real estate prices, this 202 the increase will be greater and more untimely.
The National Chamber of the Housing Development and Promotion Industry (Canadevi) estimates that the cost of housing will grow between 13% and 17% this year.
“There was a very strong impact on aluminum production and the increases came. It had not risen so strongly, it had been carried in a staggered manner. But immediately with the problem of Russia and Ukraine, the prices of international commodities have increased”, says Luis Alberto Moreno Gómez Monroy, president of the organization.
Added to this position is Jorge Carbonel, general director of the Keller Williams real estate company, who believes that in Mexico the increase in housing prices will show the effects of the confrontation, as well as the demographic bonus.
The expert explained, in the presentation of the Citi cluster, that the new housing developments already show the impact on the price that will continue to adjust for the rest of the year. Expert estimates indicate that the approximate adjusted value will have an increase of between 18 and 20%.
Experts comment that there is no turning back in the cost, but they will try to make the price grow gradually. Canadevi works with real estate agents and producers so that the properties do not leave the market due to the increase. The strategy is to contain the cost and release the increase bimonthly.
The previous year, the price of housing acquired with a mortgage loan increased 7.6% from January to September, according to the Federal Mortgage Society (SHF). From 2019 to 2021, the indicator showed an accumulated increase of 24%, with 262,000 pesos more in price.