Housing construction - 4. quarter of 2007

In Q4 2007, construction of 11 978 dwellings was started, i.e. up by 1.1% in comparison to Q4 2006. A total of 17 824 dwellings were completed, which was by 48.2% more than in Q4 2006. There were 170 971 dwellings under construction, i.e. up by 1.3% year-on-year. In the year 2007, 43 796 dwellings (+0.1%) were started and 41 650 dwellings (+38.0%) were completed.
The volume of work on housing construction kept growing in Q4 2007, which was due to the following long-term factors:
- a favourable situation in the mortgage market; according to data of the Ministry for Regional Development, 77 915 mortgage loans were signed in the year 2007 and the contractual principal stood at CZK 147 630 million (as against the total of 62 953 mortgage loans and contractual principal CZK 115 119 million in 2006),
- developed building savings market; according to data of the Association of Czech Building Savings Banks, nearly 164 thousand people applied for housing loans totalling CZK 74 billion (+40% year-on-year) in 2007, outstanding loans at the end of 2007 amounted to CZK 181 billion).

Dwellings started
In Q4 2007, 11 978 dwellings were started, which was by 1.1% more (+136dwellings) year-on-year. Increases were recorded for dwellings in multi-dwelling buildings (+10.9%, i.e. 462 dwellings) and for dwellings in converted non-residential spaces (+51.8%, i.e. 315 dwellings). Decreases were observed in all of the other categories. Dwellings started in family houses decreased (-7.8%, i.e. 426 dwellings).
In the year 2007, 43 796 dwellings were started, which was a 0.1% increase (+49 dwellings) in comparison to 2006.

Dwellings completed
In Q4 2007, 17 824 dwellings were completed, i.e. a year-on-year growth of 48.2% (+5 800 dwellings). The number of dwellings completed in multi-dwelling buildings was twice as high (+4 609 dwellings) and dwellings completed in family houses grew by 19.2% (+1 002 dwellings).
In the year 2007, 41 650 dwellings were completed, which is the highest number since 1991. The increase was 38.0% (+11 460 dwellings) year-on-year.

Dwellings under construction
The total of 170 971 dwellings under construction as at 31 December 2007 was by 1.3% (+2 146 dwellings) higher year-on-year. The highest share in dwellings under construction was recorded for family houses (50.3%), the lowest for dwellings in community care service homes and boarding houses and for dwellings in converted non-residential spaces (1.4%).
Dwellings under construction are on the increase in the long term because the numbers of dwellings started grow more rapidly than the numbers of dwellings completed; dwellings whose construction has been suspended are also included.

Dwelling modernisations (upon building permit)
In Q4 2007, modernisation of 5 300 dwellings was completed, which was by 28.5% less year-on-year. In the year 2007, 18 758 dwellings were modernised, i.e. by 11.3% less (-2 386 dwellings).

---

Note
Contact: Vladimír Zikmund, phone (+420) 274 054 252, e-mail: vladimir.zikmund@csu.gov.cz
Data source: CZSO direct survey in planning and building control authorities
End of data collection: 1 February 2008
End of data processing: 12 February 2008
The data published are preliminary and the final data will be in the News Release for Q1 2008.
Related publications: /1-ep-8
8205-07 Housing Construction, Q4 2007