Spain’s rental homes fall short as demand grows

Spain’s rental homes are not keeping up with demand: former European Central Bank vice-president Luis de Guindos calls for the government, regional authorities and councils to work together. He makes the case at a family business congress in Madrid, Spain, on 6 October. His aim is to make housing easier to access for most people in Spain.

More people seek rental homes

Population growth has pushed up demand for homes, particularly rentals, de Guindos says. The supply of rental homes has not grown at the same pace. They account for 20% of Spain’s housing stock, compared with 30% across the eurozone.

De Guindos links the population increase to immigration, which he says Spain and Europe need because of their demographic situation. He says immigration has clearly helped the economy and employment, while also putting pressure on housing and public services such as health and education.

A different route to growth

According to de Guindos, two thirds of Spain’s economic growth comes from the population increase linked to immigration. The rest comes from higher productivity. Although Spain’s economy is growing faster than the eurozone average, he wants future growth to rely more on productivity.

That shift will take policies sustained over the medium term and agreed across the country, he says. He also calls for dependable rules for people and businesses, stable institutions, checks on political power and public finances that can be sustained.

Topics: Migration · Housing · Health · Politics · Economy

Source: Europa Press / Mallorca.com