The Ivar Index of Variation of Residential Rents rose 186 in January 2022 higher than that recorded in December of 066 according to data released this Thursday 10 by FGV Fundação Getulio Vargas

With the new appreciation the index accumulates a variation of 123 in 12 months which also represents an acceleration in comparison with the interannual rate calculated in December.

From December to January the accumulated change in rental prices accelerated in all the cities that make up the index especially São Paulo from 183 to 04 Rio de Janeiro from 046 to 185 Belo Horizonte from 146 to 369 and Porto Alegre from 035 to 084

Unlike the IGPM General Price Index Market used in the adjustment of most contracts in force in Brazil the new indicator is calculated based on data collected from contracts signed by tenants and tenants in four capitals Rio de Janeiro São Paulo Porto Alegre and Belo Horizonte obtained from real estate management companies

The objective is to measure the evolution of prices and fill a gap in national statistics in this niche The index uses negotiated rental values rather than ad data as the basis of calculation Data such as the values of new contracts and readjustments of existing contracts are included in addition to the characteristics of each property highlights FGV.

In the researchers assessment the methodology adopted allows for robust measurement of the average variation of rents over time and better reflects the supply and demand scenario of the residential property rental market.

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