A national plan to build more houses is urgent

The housing crisis in Portugal stems from a significant decline in new construction since 2011, with only 131,000 homes built from 2011 to 2020. Meanwhile, the population has increased due to immigration and more people living alone. Public investment in housing has decreased since the Troika bailout, while banks have restricted lending to builders despite low mortgage rates. This imbalance between supply and demand has led to rising prices and housing bubbles. While many struggle to access housing, a majority of homes are owner-occupied, with many owners benefiting from rising property values. However, most owners are asset-rich but cash-poor, complicating their ability to buy new homes. Protests have emerged, but they often mix housing issues with other causes, diluting their message. A national plan for new housing construction is essential, as the government has allocated funds for other sectors, indicating potential for significant housing development.