The costs of constructing new housing in Portugal increased by 6.8% in July, year-on-year, according to data from the National Statistics Institute. This variation results from a 6.3% rise in construction materials and 7.3% in labor costs. The rate recorded is 0.6 percentage points lower than that observed in the previous month of June.
The materials that contributed most to this variation were bare and coated copper wire, with a 25% increase, PVC pipes, which rose by 20%, and bitumens, with a 15% appreciation. No year-on-year reduction was recorded in any of the materials analyzed for the formulation of the index.
In terms of contributions to the formation of the year-on-year rate, both labor and materials contributed 3.4 percentage points each. However, labor saw its contribution drop from the 4.0 percentage points recorded in June.
Regarding the monthly variation, the Construction Costs Index for New Housing recorded a zero rate in July, 0.8 percentage points lower than the previous month and 0.6 percentage points lower compared to the same period in 2025.
