🏙️ Context and Overview

The article, published by the European Data Journalism Network (EDJNet) on February 6, 2025, addresses the rising rents across major European cities and the resultant housing crisis. This crisis disproportionately impacts low-income earners and those in unstable employment, exacerbated by factors such as tourism, migration, low housing supply, and gentrification. The investigation highlights the urgent need for policy reforms to ensure affordable housing for all citizens.

📈 Rising Rents and Economic Impact

Data shows that almost all major European cities are facing rent increases, significantly affecting low-income workers who often spend a large portion of their income on housing. The traditional guideline of spending no more than 30% of income on rent is increasingly becoming irrelevant. In cities like Budapest and Lisbon, rents can exceed 300% of a low wage earner's salary, rendering affordable housing nearly impossible for many. The article emphasizes that only four cities—Vienna, Turin, Helsinki, and Brussels—allow middle-income earners to remain below the 30% threshold for rental costs.

🏘️ Social Housing Solutions

Vienna stands out as one of the best-performing cities due to its robust social housing policies and strict rent control measures, which help mitigate the impact of rising rents. In contrast, Budapest has seen minimal intervention from the government, leading to a severe housing shortage. The article argues that government action is essential to protect tenants and support social housing initiatives.

🔍 Drivers of the Housing Crisis

Key factors contributing to this crisis include tourism and international migration. The prevalence of short-term rentals, such as Airbnb, in popular tourist destinations leads to a reduction in available long-term rental properties. Internal and international migration also plays a significant role, as new residents—often with higher incomes—drive up rental prices, making it harder for locals to afford housing.

📊 Data Collection and Findings

The study utilized data from Housing Anywhere and Salary Explorer, revealing that in every city analyzed, average rent prices were unaffordable for low wage earners. Notably, the average rent for an apartment on the platform is beyond the financial reach of many, highlighting the urgent need for comprehensive housing strategies across Europe. The article concludes by underscoring the importance of addressing these interconnected issues to create a sustainable and affordable housing landscape for all European citizens.