Postulatsbeantwortung Bezahlbares Wohnen in Liechtenstein (BuA 128/2022)

The document titled “Postulatsbeantwortung Bezahlbares Wohnen in Liechtenstein (BuA 128/2022)” is a comprehensive policy response prepared by the Government of the Principality of Liechtenstein. It addresses the parliamentary postulate on affordable housing presented on 4 April 2022. The analysis was compiled by the Ministry for Infrastructure and Justice, with contributions from the Office for High‑Construction and Spatial Planning and the Office for Social Services. The government’s aim is to evaluate current housing‑support instruments and propose measures that could improve the affordability of both rental and owner‑occupied dwellings, especially for young families.

Liechtenstein’s housing market is characterised by high land and property prices, limited supply of buildable land and a pronounced shortage of affordable units. Between 2000 and 2020, land prices in the municipality of Schaan rose by roughly 60 %, with a 25 % increase in the last decade alone. Construction costs have accelerated further, while average net rents grew by just under 10 % between 2010 and 2020. Wage growth over the same period was around 10 %, leaving the proportion of income required for housing close to the threshold of one‑third of disposable household earnings, the benchmark for “affordable” housing.

Two principal state instruments are in place: (1) a housing‑construction subsidy (zinsloses Darlehen) that offers CHF 1 000 per square metre of floor area, with additional support for densely built units; and (2) a rent‑contribution scheme that provides families with children between CHF 220 and CHF 1 300 per month, capped at 75 % of gross rent. In 2021, 61 % of rent‑benefit recipients were single‑parent households, and the average monthly contribution was CHF 553. Both schemes are subject to strict income limits, with the rent‑benefit ceiling at CHF 35 000 gross household income for six persons.

The government identifies several supply‑side options: expanding the residential zone, raising the utilisation factor (allowing higher building density), accelerating the development of already zoned parcels, and encouraging municipal or cooperative social housing. Each option is evaluated for feasibility, potential impact on land prices and compatibility with spatial‑planning goals. The most effective measures—those that directly increase the amount of buildable land—are judged to have the lowest political likelihood of adoption.

Demand‑side reforms include tightening credit‑worthiness criteria, adjusting the calculatory interest rate used for affordability checks, and permitting the use of second‑pillar pension assets for down‑payment or as collateral. The analysis notes that allowing pension‑fund withdrawals could broaden home‑ownership opportunities but might raise systemic risk and affect retirees’ future benefits.

The response explicitly links its objectives to UN Sustainable Development Goal 11 (Sustainable Cities and Communities) and Goal 10 (Reduced Inequalities). By improving the availability of affordable, energy‑efficient dwellings and promoting cooperative housing models, the measures aim to foster inclusive, resilient urban development across Liechtenstein and, by extension, the broader European context.

If the recommended supply‑expansion measures were enacted, the government anticipates a gradual moderation of land‑price inflation and a modest reduction in the housing‑cost burden for low‑ and middle‑income households. However, the report cautions that without parallel demand‑side safeguards, increased purchasing power could stimulate price spikes. The government plans to establish a working group to monitor data, assess the impact of any legislative changes, and ensure that future policy adjustments remain evidence‑based.