According to the National Statistics Institute (INE), in 2025, the average annual variation in the New Housing Construction Cost Index (ICCHN) was 4.0%, after an average variation of 3.4% in the previous year, with the materials index increasing by an average of 0.9% (-0.3% in 2024) and the labour index by 7.7% (8.2% in the previous year).

Considering only December 2025, new housing construction costs are estimated to have increased by 4.0% year-on-year, 0.9 percentage points below the previous month.

Material prices changed by 0.8% (1.2% in the previous month), and labour costs increased by 7.7% (1.5 percentage points lower than in November).

According to INE, labour costs contributed 3.6 percentage points (4.3 in the previous month) to the year-on-year change in the ICCHN, while materials contributed 0.4 percentage points (0.6 in November).

Among the materials that most positively influenced the aggregate price variation, the statistical institute highlights glass and mirrors, with increases of around 25%, and sanitary ware, with increases of around 15% compared with the same period last year.

On the other hand, it points to bitumen, with a decrease of around 20%, and coating, insulation and waterproofing materials, with a decrease of around 10%.

In December 2025, the monthly rate of change in the ICCHN was -0.7%, 1.3 percentage points lower than the previous month, with the cost of materials falling by 0.4% and labour costs by 1.0%.

For this chain variation, labour contributed -0.5 percentage points to the monthly ICCHN variation rate, while the contribution of material prices was -0.2 percentage points (0.6 and 0.0 points in November, respectively).