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Productivity can mitigate housing price increases

It is not new that the real estate market faces short- and medium-term risks, such as inflation in materials, rising interest rates and more restrictive access to credit, all of which ultimately leads to higher housing prices.


This is an impact not only for customers but also for companies, due to the higher associated costs, against which they must act, focusing on capturing value and increasing productivity, because this is a good mitigator of the increase in construction prices. , which goes through a look from standardization at the time of construction, and not necessarily from the side of industrialization.


There is evidence that productivity can be a good tool to deal with a price adjustment. It is a challenge and an opportunity that real estate and construction companies should consider, because there is a gap in that area.


Productivity in the construction industry is lagging behind in relation to the rest of the economy, and reaches a third of the average of OECD countries, according to a study presented by CChC and CNP 2020 and by previous studies presented in various instances.


It is a good time to advance in productivity and performance, to the direct benefit of clients, workers, shareholders, and for the economic activation of the country, in which the construction industry plays a relevant role.

Francisco Ortuzar

Orca Business Consulting Partner

Original Text in Cooperative

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