Housing is as personal as it gets. Homes are where we take refuge from the outside world, express ourselves, build relationships and families. To buy or rent can also be a deeply frustrating process – can we afford that house? For more and more people across Europe, the answer is no.
It’s easy to think that unaffordable homes are particular to your community, city or country. But high prices and rents are continent-wide issues. Between 2015 and 2023, average house prices in the EU rose by nearly 50%. Between 2010 and 2022, rents rose by 18% on average.
I wanted to know some of the stories behind these alarming statistics, and to hear some solutions. You can read about them over the coming weeks, as experts describe what the crisis looks like in some of Europe’s most expensive cities, for our series The housing crisis in Europe.
From Portugal, Agustín Cócola Gant writes about how policy changes after the 2008 financial crisis encouraged wealthy foreigners to buy second homes or short term rentals pricing people out of their city. Now, some Lisbon families rent rooms not flats.
In a reversal of roles, it’s the newcomers who have it worse in Amsterdam. Older, long-time residents live in secure and affordable social housing, while younger people and recent arrivals, often on lower incomes, are left to the costly and insecure private housing sector.
In Budapest, meanwhile, much social housing was sold off after the end of the cold war. This has meant that older Hungarians have invested in housing and driven up prices and rents for younger generations.
One city not facing an affordability crisis is Vienna. Since the 1920s, the city has had a stable stock of social housing for tenants of all incomes.
You don’t need to be a housing expert to see the dynamics playing out. Over more than 40 years, housing policy in most of Europe has favoured those who invest in homes at the expense of those who live in them.
Across Europe – and much of the rest of the world – property has become a driving force of inequality. In turn, inequality is a driving force of resentment. Far-right politicians tap into this anger for their own gain. As the European commissioner for jobs and social rights, Nicolas Schmit, commented, “the housing problem divides our societies, and it may be a risk for our democracies”.
Housing policies are set at the national level, but the EU can create frameworks and support access to finance. In 2024, all housing ministers from member states signed a declaration calling for a “new deal” on affordable and social housing.
There are solutions, and there is political will. In the meantime, let’s hope this series will go someway to helping those facing unaffordable housing across Europe realise they’re not alone. – Kirsty Major