Inflation, rising interest rates and inputs putting pressure on real estate prices, have generated a drop in interest in home purchases. Despite this, prices have found no brake.

(Read: The draft decree for the changes in Mi Casa Ya is ready).

According to the Dane New Home Price Index, in The fourth quarter saw an 8.78% rise in the commercialization value of real estate. In apartments, the increase already reaches 8.58% per year, and in houses the rise is much more pronounced and already accumulates growth of 12.68% in their prices. It is worth clarifying that these historical figures are the highest since 2014, the year in which new home prices exceeded 12.32% on a weighted average.

In the panorama by cities, the figures seem to be more worrying. For example, in Ibagué the price of the apartments already reaches an increase of 18.94%after registering a fall of 2.21% the previous year.

After the capital of Tolima Villavicencio follows, with increases of 16.86% in apartment pricesa much higher increase than the previous year, which was 4.3%.

Regarding houses, the most representative increase was found in Armenia where the rise was 30.9%, followed by Pereira where prices grew 20.3%, Barranquilla 18.5% and Popayán 17.8%. This trend, along with other factors, has reduced the appetite to buy a home.

(Also: Despite lower appetite for home buying, prices continue to rise.)

«MYIt is important to remember that we are going through an inflationary period and, in general terms, the prices of different goods are going up. Housing is also included within these assets. It is clear that housing prices increased in 2022, but below inflation, which was 13.1%”, said Guillermo Herrera, president of Camacol. Among the reasons, Herrera comments that although we are in a context of clear economic slowdown, the potential demand for housing exceeds the existing supply.

“The Colombian financial sector is highly responsible in the origination of mortgage loans. This good practice avoids real estate and macroeconomic risks, while maintaining price stability in the sector, ”he said.

The middle stratum is the one that has suffered the most increases

In Armenia, the sharper rise in housing prices, especially in the middle class, which registers an annual rise of 39%, a figure that is even double compared to the figures presented in the cities with the highest data. In the upper stratum, the increase in prices was 16%.

(Read: Lower purchase intention, a tough outlook for construction).

Medellín continues on the list with a 17% rise in middle-income housing prices. Pereira, which is the city with the most increases in its housing unit prices (11%), increased the highest growth in this line in the upper stratum, where the increase was 12.98%.

Finally, Cali registers the figures with the highest rise in the middle class, with a 12.6% rise in its prices.

Portfolio Journalist