Concepts and Glossary

Basic concepts

Dwelling
A separate and independent place, consisting of a division or set of divisions and their additions, in a permanent building or in a distinct part of the building (from a structural point of view), which, considering how it was built, rebuilt, enlarged or converted is intended to be used as private accommodation, usually only for a private family / household. It should have a separate access to a street (direct or via a garden or grounds) or to a common space within the building (staircase, passage, gallery and so on). Detached rooms for habitation which are clearly built, rebuilt, converted, etc., to be used as part of a dwelling should be counted as part of the dwelling (source:: INE).
New dwelling
dwelling transacted in the first hand by the developer that, as a resale, does not have more than five years from the completion of the construction work or reconstruction / renewal. It also includes sales of dwellings still in sketch or under construction.
Apartment
family dwelling in a permanent construction with more than one home whose main entrance normally gives onto a staircase, corridor or courtyard. (source: INE).
Villa
accommodation in an isolated, twinned or rowed building, which corresponds to only one family accommodation unit and whose main entrance generally giving onto a street or the land surrounding the building. (source: INE).
Private gross area (PGA)
is the total surface area measured along the exterior perimeter or back of the outside walls and along the axes of the walls between dwellings, including private balconies, accessory areas and the dwellings share of the building’s communal areas. (source: IMI Code).
Dependent gross area
corresponds to areas covered for exclusive use, even if they are common areas, even if located outside the building or fraction, whose uses are incidental to the use of the building or fraction, considering, for this purpose, accessory locations such as garages and parking lots, storage rooms, animal facilities, accessible attics or cellars, provided that they are not included in the private gross area, and other private premises with a different function from the previous ones (source: IMI Code).
Works completion date
applies only in case of finished works, the year and month in which the owner / contractor understands that the accommodation is ready to be inhabited. In the case of houses with housing / habitability (?) license, corresponds to the year and month of license application. In the case of buildings subject to reconstruction works, it is presumed that the date of reconstruction overrides the date of original construction (source: adapted from INE)
Date of offer
year and month in which the accommodation was placed on offer or raised (in the case of real estate brokerage firms).
Transaction date
year and month in which the accommodation has been under promissory contract of purchase and sale or deed, in case of absence of promissory contract.
Reconstruction / renewal work:
Full building work, through a real estate development operation, covering all fractions and common parts.
Type of dwelling
The type of house/dwelling is defined by the number of bedrooms (source: RGEU).

Statistical indicators

Offer
count of the number of dwellings on offer during the period under review (quarter or year), including houses/dwellings sold (or leased, in the case of the offer for rental) in that period.
Offer value/m²
ratio between the offer value and the private gross area of the dwellings
Requested rent/m²
ratio between the offer rent and the private gross area.
Price/m²
ratio between the transaction price and the private gross area.
Rent/m²
ratio between contract rent and the private gross area.
Absorption time
average number of months between the placement in offer and the transaction (or lease, in the case of the rental market).
Price adjustment level
measures the level of price adjustment (or rents) between real demand and the offer in the market. It is calculated by the percentage difference between the average price of the traded dwellings and the average value of supply of all the dwellings available for sale. It differs from the discount by having in the denominator the value of all dwellings on offer (and not just the dwellings transacted).
Percentage of revised dwellings
represents to the percentage of dwellings with price revision, being calculated by the ratio between the number of dwellings with price revision and the number of dwellings on offer in the quarter under analysis.
Accumulated discount and revision rate
reflects the percentage difference between the initial offer value and the final sale price of the properties, thus reflecting the combined effect of eventual price revisions and final discounts. In the case of the rental market, are used the contract rent and the initial rent requested
Discount rate
measures the difference between the final sale price and the last offer value of the traded dwellings. The property is calculated by the average percentage difference between the transaction price and the offer value that prevailed in the period in which the sale of the dwellings took place. It is calculated quarterly and annually, by reference to all the dwellings transacted in the reference period.
Revision rate
It measures the revision in the value of the offer introduced by the owners in the value of the respective properties on offer (variation in the price lists). It is calculated by the average of the percentage change of the offer values in two consecutive quarters, regardless of whether there are transactions or not. Only the dwellings with a change in the offer value compete for this clearance.
Values per range (low, medium low, medium, medium high and high)
correspond respectively to the 5 percentile, 25 percentile, mean, 75 percentile and 95 percentile of prices (or values) in the market segment under analysis.
Transaction Price
Amount borne by the purchaser in the purchase of accommodation, not including taxes. In the case of transactions resulting from the action of a real estate agent, the price corresponds to the amount on which the mediation commission is calculated.