Even with the increase in November, the accumulated result for one year went from inflation (in October it amounted to 0.92%) to deflation
The so-called rent inflation was negative in the 12-month period for the first time since May 2024. The General Price Index – Market () records -0.11% in the period from December 2024 to November 2025. The data was released this Thursday (27) by Fundação Getulio Vargas (FGV). The behavior of the IGP-M over 12 months is closely observed by tenants, whether commercial or residential, because the indicator is often used to calculate annual adjustments to rental contracts. In May 2024, the accumulated figure was -0.34%. Since then, all rates were positive, reaching 8.58% in March 2025.
Components
FGV takes into account three components to calculate the IGP-M. The biggest weight is the Broad Producer Price Index (IPA), which measures the inflation felt by producers and accounts for 60% of the full IGP-M. Another component is the Consumer Price Index (CPI), which accounts for 30% of the indicator. The third element is the National Construction Cost Index (INCC).
Ibre economist Matheus Dias points out that the accumulated deflation is explained by wholesale prices, which fell 2.06%. “In much of 2025, significant price drops prevailed, both for industrial and agricultural products.”
The IPC advanced 3.95%; and INCC, 6.41%.
Current month
Specifically in the month of November, the IGP-M marked 0.27%, reversing the October drop (-0.36%).
Even with the increase in the month, the accumulated result for one year went from inflation (in October it amounted to 0.92%) to deflation. This is explained why the data for November 2024 was left out of the account, when rent inflation had risen by 1.30%.
Drop in rent
Despite being known as rent inflation, the negative IGP-M is not a guarantee that rents will be adjusted downwards. This happens because some contracts include the expression “adjustment according to positive variation in the IGP-M”, which means, in practice, that there is only an adjustment if the index is positive.
Understand the different inflation indices
The indexer is also used to adjust some public tariffs and essential services. FGV collects prices in Belo Horizonte, Brasília, Porto Alegre, Recife, Rio de Janeiro, São Paulo and Salvador. The IGP-M survey period was October 21st to November 20th.
*With information from Agência Brasil
