September 28, 2022

  • The observed annual inflation rate for house prices amounts to 5.9 % in the second quarter of 2022 compared to 6.5 % in the previous quarter.
  • The average inflation rate for the last four quarters amounts to 6.7 %.
  • The house price index went up by 1.3 % in the second quarter of 2022 compared to the previous quarter.

Each quarter, STATBEL, the Belgian statistical office, calculates a house price index according to European regulations.

The annual inflation rate for house prices amounts to 5.9 % in the second quarter of 2022 compared to 6.5 % in the previous quarter. The average inflation rate for the last four quarters amounts to 6.7 %. The house price index stands at 133.18 points (2015=100) against 131.47 points in the previous quarter: it has increased by 1.3 % compared to the first quarter of 2022.

The European Union Member States calculate the house price index according to a harmonised methodology which makes it possible to compare the evolution of house prices across the different Member States. The house price index measures the price evolution of private real estate. The index follows price changes of new or existing residential real estate purchased by households, irrespective of their purpose (letting or owner-occupying). The house price index measures the price evolution with the assumption that the characteristics of the property sold remain unchanged.
The index thus measures the actual price evolution without interference of qualitative changes. If the size of the property sold increases, the average price of houses sold will also increase, which does not necessarily mean that the house price index will have increased. Therefore, this index does not measure the evolution of the average sales price of real estate.

The house price index is based on real estate transaction data from the General Administration of the Patrimonial Documentation of the FPS Finances. The results for the latest quarters are considered provisional and may be reviewed during the following quarter when additional data become available.

The house price index can be broken down by new houses and existing houses. In the second quarter of 2022, annual inflation amounted to 7.0 % for new houses and 5.5 % for existing houses. The weights of these two items in the overall index amount to 23.9 % and 76.1 % respectively for the year 2022.

Comparison with neighbouring countries

Since Eurostat will only publish the neighbouring countries’ house price index for the second quarter of 2022 on the 07th of October 2022, the first quarter 2022 is the most recent quarter to use as a basis for comparison. In Belgium, inflation stood at 6.5 % in the first quarter of 2022 compared to 6.0 % in the fourth quarter of 2021. The Netherlands experienced an inflation rate of 19.5 % in the first quarter of 2022, compared to 18.8 % in the fourth quarter of 2021. France experienced an inflation rate of 7.1 %, a small increase compared to the 6.9 % inflation rate registered in the fourth quarter of 2021. In Germany, inflation stood at 12.0 % in the first quarter of 2022, a small decrease compared to the rate of 12.2 % registered in the previous quarter. Inflation for the euro area as a whole increased from 10.1 % to 10.5 %.

Source: STATBEL
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