Forget your house, people are yearning for flats, there is an outcry for a roof.

agency:AyraNews24x7hi

Last updated:January 27, 2025, 13:29

People in this country are not getting houses to live. Leave aside their own house, people are not getting a house on rent to live. People’s anger has erupted against the government, protests are taking place on the streets. Let us know…read more

People are yearning for homes in this country.

Every human being who is born has a dream to have his own house. For this, people spend every penny of their life’s earnings and go from city to city and do jobs. But it will not be possible to buy or build a house wherever we go to live, but in whatever city we live, we definitely look for a good house or flat on rent, or go on a trip somewhere. So you search for a house on rent, but what if you don’t find a house on rent? A European country is going through a similar crisis. In this country, local people and tourists are not getting houses even on rent. The situation is such that the cost of construction has increased so much that people have left their homes. But first it would be important to know what happened that houses are not available on rent or people are not able to build their own houses.

This crisis has come in Spain. The Spanish government plans to impose controls on real estate purchases by foreign citizens and limit short-term rentals in response to the growing housing crisis. Prime Minister Pedro Sanchez announced on Wednesday that his government will propose imposing a 100% tax on real estate purchases by buyers outside the European Union. His announcement was part of a broader plan announced last week to provide affordable housing to people. Also, the protests in the cities of Spain have to be calmed down. He talked about imposing a complete ban on foreign purchases of real estate in Spain, but later backed down.

Many countries are in crisis
Along with Spain, many big cities of Europe are also facing housing crisis at present. Rents in the EU have increased by an average of 20% over the past decade, while house prices have increased by almost 50%, twice as much as the average household income.

What are the causes of housing crisis?
The main causes of the housing crisis include the commercialization of housing, the increasing influence of short-term rental platforms (such as Airbnb), and the use of ‘golden visa’ programs in Spain and other countries. Under these visa programs, foreign buyers purchased large numbers of properties in order to obtain visas, affecting the availability and prices of homes for locals.

Crisis increased due to Ukraine war
In addition, housing construction across Europe declined due to a sharp increase in the prices of construction materials and energy following the Ukraine War. The real estate market was also affected by the European Central Bank increasing interest rates to control inflation. Spanish Prime Minister Sanchez said, ‘This is a serious problem, which is having major impacts from a social and economic point of view. To solve this, society and government institutions will have to work together.

New schemes for affordable housing
Prime Minister Sanchez has announced 12 new plans, including tax breaks for landlords who agree to reduce rents. Apart from this, a plan to build affordable housing on a large scale across the country has also been proposed. He said the percentage of affordable housing in Spain is the lowest in Europe because previous governments had sold these properties to private investors.

Solution initiative at European level
European Commission President Ursula von der Leyen recently appointed a ‘housing czar’ to find a solution to the housing crisis. From Spain to Sweden, housing shortages and slow wage growth have made access to affordable homes more difficult. Prime Minister Sanchez said, ‘Affordable housing should be a right and become an important pillar of the welfare state.’