Housing shortage

Housing is a fundamental human need. Just think of the growing number of homeless people. Decent, affordable housing should be a basic right for everybody. 

The reason is simple. Without stable shelter, everything else falls apart.

There are myriads of factors that affect our housing market, such as credit market conditions, population density, characteristics of the local economy, socio-economic factors, demographics, physical constraints, the market power of developers, and many more.

Housing is no longer simply a concern for low-income households but an issue for everyone. Photo: Matthew Mirabelli

Maltese housing costs, meanwhile, have risen to among the highest levels ever for both buyers and renters. There is a net social cost to all this, and it is gigantic.

The housing shortage depresses living standards, especially among the least well-off. Non-homeowners have to reserve a good part of their household budget for housing costs, and many more rely on housing benefits. And those are just the visible effects.

Do not politicians of all stripes now agree on the need to expand the housing supply? Is it not time to come to grips with the bare, albeit unpleasant, facts?

The problem is that, as soon as somebody actually puts a shovel to the ground, there will be resistance from some local ‘pressure’ group, and, as soon as the issue becomes tangible, politicians always side with the group. This is politically rational.

The opponents of housebuilding are far more politically active and infinitely better organised than those who stand to gain from new housing. You will not hear the voices of low-income renters or young adults who cannot afford to move out of their parents’ home, let alone people lingering on a social housing waiting list. Planning is a tug-of-war of sorts but one in which one team is not even grabbing their end of the rope.

We need a more honest housing debate. We need to stop wasting our time with all those sideshows and red herrings that explain at best a tiny fraction of the housing cost explosion and focus instead on the real causes.

Quality, affordable housing helps create a stable environment for children, contributing to improved educational outcomes. Housing is no longer simply a concern for low-income households but an issue for everyone. If nothing is done, it could mean we sleepwalk into an even bigger housing crisis, affecting generations to come.

All political parties must recognise that solving our housing crisis is as fundamental as health and education.

The situation is unacceptable, and we need to act now.

Mark Said – Msida