Germany, Portugal, Sweden… The housing crisis is far from being an exception in France

Many European countries are also affected by the real estate crisis that is affecting France today. General view

The increase in interest rates that increase the cost of credit, the explosion in the prices of construction materials… the housing crisis that is affecting France is not saving other European countries. Here are some examples:

Germany

According to the Eduard Pestel Institute, 700,000 homes were missing in Germany in 2023. Or even more than a million, according to other assessments. Prioritizing the issue, the government of Olaf Scholzen, in power since the end of 2021, has committed to building 400,000 new homes per year, but the goal is far from being met. The situation worsens crisis in the construction sector since the year

In a country where 49% of the population is renting, rents have risen significantly in big cities: +40% in Berlin, 32% in Leipzig, 21% in Cologne between 2018 and 2023, according to real estate portal Immoscout24.

In autumn, the government announced an 18 billion euro plan to build social housing, tax benefits for builders, the suspension of strict energy standards and a 500 million euro budget to convert office and commercial buildings into housing.

Benaouda Abdeddaïm: The demographic trap and the real estate depression in Canada - 01/18
Benaouda Abdeddaïm: The demographic trap and the real estate depression in Canada – 01/18

Ireland

Between rising land prices and building costs, and the supply of social housing neglected by successive governments, the country is reeling. Chronic lack of affordable housing. Average rents have doubled since 2010. In Dublin, they now exceed €2,000 a month, which is the net salary of many civil servants, and property purchase prices are ten times higher than the national average annual salary.

The added pressure from the growing influx of refugees fueled the far-right narrative, which in November sparked Dublin’s worst riots in decades. The number of people in emergency accommodation has increased so much that the government announced in December that due to lack of space, tents would be offered to some asylum seekers. The executive aims for 33,000 new homes per year by 2030, well below estimated needs.

United Kingdom

Inflation and increase in interest rates because exacerbated the housing crisis in the UK in recent months. In England alone, more than 157,000 households were homeless, an increase of almost 9% in the 12 months to March 2023. An increase of 10%, 104,510, the number of households living in temporary housing has reached an unprecedented level since official statistics began in 1998.

Although the National Housing Federation estimates that 340,000 new homes are needed a year in England, the government is struggling to meet its commitment to build 300,000 homes a year from 2025. However, he assures that he will achieve the goal of having a million new homes. units during the legislative period (2019-2024).

Among the measures announced for England – housing is a devolved authority in the UK’s four nations – are support for first-time buyers, a reform to better protect tenants and also strengthening state control over building planning by local authorities.

Portugal

In Portugal, where the number of homeless people increased significantly, the housing crisis worsened after 2011, when the country, then threatened with bankruptcy, opened up to foreign investment. this caused a huge increase in real estate prices.

To compensate for the lack of housing and to prevent property speculation, the government introduced measures in October to encourage landlords to rent regularly, With the suspension of new licenses for furnished tourist accommodation (Airbnb type) in tension areas. Likewise, the State plans to build 32,000 new homes.

THE the “golden visa” regime The granting of residence permits to wealthy investors has also been reviewed. However, the country experienced its third major day of demonstrations in less than a year on Saturday, demanding solutions to the issue.

the netherlands

They have been immigration, the cost of living and a housing crisis that particularly affects young Dutch people the main issues of the legislative elections in November, the extreme right won. It is difficult to find cheap accommodation, both for students and asylum seekers. The average price of a house there is 430,000 euros, according to a report published in November.

“This crisis has developed over the last two decades as a result of a policy aimed at encouraging the market to replace the government in the provision of housing,” a senior UN official said in December, referring to the number of homes that have disappeared. Netherlands about 390,000.

Sweden

The Swedish Housing Agency estimates that by 2030 an average of 67,300 new homes are needed per year. However, around 70,000 homes have already been built in the capital since 2010, equivalent to 20% of Stockholm’s housing stock. But “newly built homes are not sold” because they are too expensive, explains Oscar Lavelide, the city’s construction projects manager. Rents are also very high and it is very difficult to get a low rent contract.

According to him, this situation is largely explained by the lack of a national housing policy since the 1990s.

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