New build barometer shows significant local differences in price evolution over the past legislative term, with extremes ranging from -9% to +80%
Over the past quarter, prices for new-build houses stabilized, while new-build apartments saw a slight increase. For the first time, the New Construction Barometer also analyzed price trends at the municipal level over the past five years, revealing significant local differences.
The prices of new-build apartments and houses in Belgium increased by an average of 3.05% and 2.92%, respectively, over the past year. This is according to the latest edition of the New Construction Barometer, an initiative by real estate data platform Realo and neighborhood developer Matexi.
In short
Over the past quarter, prices for new-build houses stabilized, while new-build apartments saw a slight increase.Over the last five years, the New Construction Barometer has identified notable differences in price trends for new-build properties, with extremes ranging from -9% to +80% at the municipal level."A possible explanation for the differences in regional price trends could be the variation in local government housing policies," said Market Economist Roel Helgers of Matexi.
Recent price trends
Over the past year, prices for new-build apartments increased the most in the Brussels-Capital Region (+4.14%), followed by Flanders (+3.04%) and Wallonia (+2.53%). For new-build houses, Wallonia recorded the highest increase (+4.47%), while price increases in Flanders remained more limited (+2.64%). Notably, over the past quarter, prices for new-build houses mostly stabilized (-0.01%), while new-build apartments still saw a slight increase of 0.69%.
Price trends over the past legislative term
Further analysis reveals that the prices of new-build apartments in Belgium have risen by 28.2% since the first quarter of 2019, while prices for new-build houses have increased by 32.5%. These price increases outpace general inflation (+22.2% according to the consumer price index) but are below the rise in construction costs (+33.8% according to the producer price index in the construction sector). The New Construction Barometer shows that these price increases occurred relatively gradually over time.
Fabrice Luyckx, Data Analyst at Realo: "The reasons behind the price increases in the new-build market have changed significantly in recent years. After the COVID-19 period, a sudden surge in demand pushed prices up, and construction costs rose, while since 2022, higher interest rates have had a dampening effect on demand. At the same time, a decline in building permits has led to tighter supply, further increasing price pressure."
Most expensive versus least expensive municipalities
The latest edition of the New Construction Barometer highlights the large price differences between Belgian municipalities. The analysis shows that the most expensive municipalities for a new-build apartment are Knokke-Heist (€635,202), Sint-Pieters-Woluwe (€583,661), and Kraainem (€522,556). The most affordable new-build apartments are located in Wallonia, with Paliseul (€189,330), Dison (€199,888), and Bernissart (€205,495) being the least expensive municipalities.
Price trends per municipality
In addition to prices, the price trends for new-build houses and apartments over the past five years were also analyzed by municipality. For new-build apartments, the largest price increases were seen in tourist municipalities like Durbuy (+78.4%) and Knokke-Heist (+68.5%), where luxury and aesthetics play a major role.
The central cities with the strongest increases for new-build apartments were Etterbeek (+40.7%), Ostend (+38.2%), Kortrijk (+37.5%), Liège (+37.0%), and Uccle (+36.4%). The central cities of Sint-Jans-Molenbeek (+18.8%), Dendermonde (+19.5%), Aalst (+20.5%), Roeselare (+21.9%), and Brussels (+22.9%) recorded relatively modest increases.
Roel Helgers, Market Economist at Matexi: "Locally, an imbalance between supply and demand, as well as investments in public spaces—such as parks, meeting places, infrastructure, and amenities—play an important role. This affects price trends in municipalities. For example, within the Brussels-Capital Region, we see large differences in price trends, suggesting a significant role for local governments."