The growing prices for real estate force people around the world to abandon the hope of gaining their own housing. This phenomenon was distributed during the coronavirus pandemic. Increase both purchase prices and rental rates of square meters, writes Lenta.ru with reference to Bloomberg.
In the past 18 months, the pandemic pushed the world housing market for new records – ultra-low interest rates and a deficit of the proposal contributed to the cost of households. New conditions have become beneficial for housing owners, but not for those who only planned to acquire it.
The world housing market “broke”, states Bloomberg: the eternal problem of the high cost of real estate has become the problem of acute housing inequality, and the whole generation risks not to cope with it.
Policies offer different options for solving housing problems: from the introduction of marginal rent and special taxes for landlords to the nationalization of private property and transform empty offices in housing. But there is no obvious exit from the current situation, Bloomberg notes.