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Spain Faces Acute Housing Problem Compared To European Neighbours

Spain Faces Acute Housing Problem Compared To European Neighbours

BY Realty Plus
Published - Thursday, 25 Jul, 2024
Spain Faces Acute Housing Problem Compared To European Neighbours

Spain is facing a particularly acute housing problem compared to its European neighbours, with prices continuously rising and the supply still reeling from the "burst of the real estate bubble." This issue is underscored by recent statistics, highlighting the persistent challenges in the Spanish housing market.

Ursula von der Leyen, who has been re-elected as President of the European Commission, has recognized that the housing problem has become a cross-border issue. In response, she has pledged to address it within the framework of the new European legislature. In her speech for re-election, von der Leyen emphasized the gravity of the situation by stating, “Europe is facing a housing crisis that affects people of all ages and families of all sizes.” This acknowledgment marks a significant step, as it highlights the widespread nature of the housing crisis across Europe.

For the first time, a housing commissioner has been appointed, and an affordable housing scheme has been implemented. This initiative is particularly noteworthy given that the European Union traditionally does not have jurisdiction in this area, a point von der Leyen herself admitted. This development suggests a new approach and a significant shift in the EU’s strategy to tackle housing issues.

Over the past three years, from the first quarter of 2021 to the same period in 2024, property prices across the European Union have grown on average by about 13%, according to data from Eurostat. This statistic underscores the broader trend of rising property prices throughout Europe, although the situation in Spain appears to be more severe.


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