(a) Production cost
- Ratio between the average housing price and the average construction cost: if the ratio is (x), it means houses are being sold (x) times the price of production.
- Cost of production (in %): year over year evolution of construction costs.
- Distribution of new houses build per type (in %): Single-Family or Condominiums.
Interpretation and observations
About the ratio between the housing price and the construction cost. A higher ratio means the construction sector has higher profit margins (note that a big part of these profit margins are in fact tax payments). In this regard, the year 2006 had the highest margins and 1997 the lowest ones.
(b) Oil price
- Spain gasoline prices, in US dollars per litre. As means of comparison, the price of US gasoline is represented also in the chart. Since oil is traded worldwide in dollars, representing the price in $US is more suitable than using local currencies.
Interpretation and observations
Housing is directly related to energy, since its construction requires large amounts of it. Oil accounts for ≈29% of all the primary energy consumed worldwide (1, 2). It is the current key resource for maintaining and improving the human standard of living, and its price also determines the future of the real-estate market.
Data sources
- Number of units per type and m², Single Family (unifamiliar) and Condominiums (en bloque) (6.Visados de dirección de obra: Obra nueva, ampliación y/o reforma. Nº de viviendas y superficie media según tipo de obra y destino principal): Link
- Material execution budget (3. Visados de dirección de obra: Obra nueva. Presupuesto de ejecución material según destino principal): Link
- Cost of materials, from 1992 to 2005, calculated using the change in the Material execution budget: Link
- Cost of materials, from 2006 onwards (Indice de costes del sector de la construcción, Base Enero 2015=100, Total Edificación, ponderado mano de obra y consumo materiales): Link
- Housing prices, from 1985 to 2006, according to Sociedad de Tasación (Access to data is under request, but can be seen in the linked publication): Publication, Link
- Housing prices, from 2007 onwards, according to the notaries (Grupo 5 > Acto 501 - Compraventa inmuebles > Inmuebles en fincas urbanas, viviendas): Link
- U.S. regular gasoline prices, Energy Information Administration (Weekly U.S. Regular Conventional Retail Gasoline Prices, Dollars per Gallon): Link
- Spain gasoline prices, International Energy Agency (Transport > Motor gasoline, USD): Link 1, Link 2