Affordable homes — idealista/news

Today the residential market is experiencing great challenges in Portugal. The war in Ukraine has exacerbated the inflationaccelerating the rise in construction costs and Euribor rates – which impact Mortgages. You real estate prices skyrocketed in recent years, families are losing purchasing power and the “great concern” of the central state and the entire real estate sector is “to ensure that there is housing at reasonable prices for all”, guarantees the Secretary of State for Housing (SEH). To make this possible, the Government is liaising with the private sector and Marina Gonçalves says she is now “looking forward” to them “presenting her plans for affordable rent“, he revealed in statements to idealista/news.

“Our greatest challenge is to take this desire to be partners in the promotion of public policies and to create responses that are effectively accessible to families”, Marina Gonçalves, SEH

“My great concern, which is obviously the concern of the sector, but also of all the families and the most Young, in particular, is to be able to ensure that there is accommodation at reasonable prices for all and adequate housing. It is the basis of all the public policies that we build and it is also the basis of the relationships that we weave”, Marina Gonçalves admitted this Thursday, May 12 to idealista/news in statements on the sidelines of the inauguration of the Portugal Real Estate Fair (SIL).

Private actors have a “fundamental role in the development of public policies” in the field of housing

To solve the equation of create affordable homesMarina Gonçalves recognizes the importance of the private sector and, therefore, guarantees that she has built a close relationship with builders and real estate agents in order to articulate a joint public-private response.

“It’s always very important and very interesting to live with the sector, but above all to work with the sector so that we can achieve this kind of balance between public policy and the work that companies have at our disposal. That’s the job and our biggest challenge is getting that desire to be partners in the promotion of public policies and create responses that are effectively affordable housing for families,” he explained after taking a tour of the construction and real estate fair.

“May the next time we meet to present projects, now real affordable rental projects”, Marina Gonçalves, SEH

The Secretary of State for Housing considers that private promoters to play a key role in the creation public policyand, therefore, hopes “that we can bring them together to create new affordable rental responses and that the next time we will be together it will be to present projects, now real in affordable rent”.

This work of public-private articulation in the promotion of affordable housing is already underway and, according to the official’s assessment, “it is completely settled”, in particular because “we have already taken very important measures, namely with the 6% VAT in the construction of affordable rent”. And given these advances, Marina Gonçalves reinforces in the conversation with idealista/news: “Now I look forward to seeing projects in this area. And I’m sure it will. There are good expectations. »

Marina Gonçalves, Secretary of State for Housing (in pink/beige) / Credits: Diogo Coelho for idealista/news

The State does not have its “back turned” to the private sector in housing

“The central state has a very high priority in what is its direct role, which is the promotion of social housing stock, to be a direct investor in housing responses. And that is our investment priority and it will continue to be, but we know and are aware of the importance of private sector and the role they can also play in strengthen this public response», Specifies the Secretary of State for Housing.

“And that’s why this work is fruitful, we don’t have our backs turned, on the contrary we have to work together so that the response that can be created is also accessible and for that we have to understand what the sector in terms of needs and how and in this balance we can promote this type of affordable rental projects, he also reinforces on occasion.

Build houses for rent
Photo by SHVETS production on Pexels

There is coordination with the Ministry of Labor

The need to increase affordable housing offer in the market is also related to the gap between house prices and family income. According to the most recent OECD data, in Portugal, real estate prices outpaced wages by almost 40% in the third quarter of 2021.

“There is a set of improvements in the labor market and this work is ongoing and will continue to be done, as is also being done in housing”, Marina Gonçalves, SEH

increase family income is another step to take to balance the scales and make the more affordable housing, especially to the most vulnerable. But there will be joint work with the Ministry of Labor to increase families’ incomes so that they can pay for houses? “There is always a work of articulation between all areas, namely also work. And this work that the government has tried to do, in its different aspects”, said Marina Gonçalves, admitting that “obviously there is a common work necessary”.

“There are a number of improvements in the the job market and this work continues and will continue, as is also done in the area of ​​housing. In the area of ​​housing I am sure that we have many projects for the future and here we have seen many entities and many promoters interested in articulating, come now the concrete projects in the field“, he concluded.

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