The number of building permits in Belgium has been almost continuously declining since 2022, yet the construction sector's economic activity remains relatively solid. This apparent contradiction is explained by a broader view of the sector, where construction is not limited to building new homes. With nearly 33 billion euros in gross value added in 2025, construction accounts for 5.5% of Belgium's total economic value added, encompassing over 174,000 companies and nearly 292,000 jobs.
The sector's weight in the Belgian economy has strengthened in recent years. Despite a fluctuating path, the sharp rise in energy and raw material prices since 2022 slowed real activity, but a recovery began in 2024, with real growth in construction now exceeding that of the economy as a whole.
Building permit statistics, while useful for anticipating real estate trends, tell only part of the story. Several months can pass between permit approval and work completion. The decline in permits since 2022 is reflected in new housing creation, but not in the overall activity of the construction sector. This is because renovations, transformations of existing buildings, and investments by companies and public authorities in non-residential buildings and public infrastructure have grown more than those for new housing.
The composition of real estate investment has shifted: household investment's share fell from 48.9% in 2022 to 42.4% in 2025. Households continued to invest in renovations and transformations, particularly to reduce energy consumption amid rising prices. Concurrently, companies and public authorities increased their investments, responding to energy and strategic challenges, including in the defense sector.
Out of every 100 euros invested in real estate, approximately 26 euros correspond to other goods, services, or taxes. The remaining 74 euros constitute the value added directly linked to real estate production. Less than half of this investment (44.1% in 2022, 47.1% in 2025) is captured by construction companies, mainly those involved in electrical and plumbing installation, as well as developers and general contractors. The rest fuels other economic sectors.
Uncertainty, as demonstrated by the pandemic and the 2022 energy crisis, can also stimulate investment. Households turned to real estate to reduce energy consumption, while strategic issues bolstered public investments, particularly in defense, driven by a search for security and resilience. Building permits remain a valuable indicator for new housing construction, but a complete picture requires considering all forms of real estate investment and the multiple economic actors who benefit.
