The housing crisis in Spain will only be resolved with true political will. Some believe that the Partido Popular and the PSOE are not interested in lowering prices because many families have invested all their savings in a property, hoping to make a profit in the future by selling or renting it out. This mindset is common among the baby boomer generation, but ignoring the younger generation could lead to serious long-term consequences for democracy due to the inequality caused by the housing market. The effectiveness of current measures, such as the 2023 Housing Law or rent control in Catalonia, is questionable. While prices have slightly decreased in regulated areas, the overall housing shortage remains a pressing issue. Even if more interventionist measures were taken, such as forcing landlords to rent out their property, the scarcity of housing would likely persist, given the projected deficit of 600,000 homes by 2025.
The key to resolving the housing crisis lies in increasing housing supply. Experts agree that more available housing is necessary to lower prices, and it is primarily the responsibility of communities and municipalities to build public housing. Despite recent promises from politicians, such as President Salvador Illa or former President José Montilla, to build thousands of new homes, concrete actions are yet to materialize. Both the PP and the PSOE need to work together on this issue, as no single party can claim credit for solving a crisis that affects multiple levels of government. Collaboration between the two major parties is crucial in addressing the housing crisis in Spain and preventing long-term repercussions on democracy.
The current situation may cause distress, especially for future generations who are unlikely to inherit property or receive financial assistance from their families. As the gap between property owners and those reliant solely on their incomes widens, social fractures are likely to deepen. The concentration of wealth in the hands of a few while others struggle to access housing could further polarize society and exacerbate democratic risks. The experience of the 2008 financial crisis, which led to the rise of populism and extremism in Europe, serves as a warning of the dangers of entrenched inequality and its impact on political stability. The inability of young people to access affordable housing could have similarly profound consequences.
The housing crisis poses a direct threat to democracy in Spain by excluding a significant portion of the population from stable housing and perpetuating social injustices. The inability of young people to afford homes may not seem as urgent as other crises, but it has the potential to erode the foundations of democracy over time. Addressing the housing shortage requires collaboration between political parties, a focus on increasing supply, and a commitment to ensuring housing affordability for all. Failure to act decisively on this issue could have far-reaching consequences for social cohesion and democratic stability in the long run. The time to address the housing crisis in Spain is now, before its impact on society becomes irreversible.
