Building materials cost will increase by at least 35-40%
The cost of materials for residential constructions may have an average increase of at least 35-40 percent this year compared to last year, and may generate an increase in prices in the residential segment of about 12-13 percent compared to last year's average, is the new signal sent by analysts.
"It is likely that, in the current market context, developers will absorb some of the price of raw materials in their profit margins, but most likely not more than a third”, says Claudiu Cazacu, Strategic Consulting at XTB.
The price increases are also felt in Romania. Materials used for insulation, such as polystyrene or mineral wool, have doubled this year. As many of the materials have prices related to global quotations, the effects of the appreciations are felt, in the end, on the local market as well.