Resource overview (publisher and authors)
This resource is an investigative article titled “Untaxed – How governments lure capital into real estate and feed the housing crisis”, published by Investigate Europe. The piece summarises cross-border reporting on how tax rules for property investment influence housing affordability in multiple European countries. The publisher is explicitly listed; individual authors are not named on the page.
Scope of the investigation across Europe
The article reports that preferential tax treatment for certain real estate investments exists across a wide set of countries: Austria, Belgium, France, Germany, Greece, Hungary, Italy, Norway, Portugal, Spain, Sweden, and the UK. According to the investigation, these regimes treat some real estate investments more favourably than other types of business or investment, and this approach is described as common across member states despite political differences.
Key tax privileges described
The reported tax advantages include: full exemptions on capital gains in some cases, special tax-free guarantees for funds, and rental income being taxed at lower rates than other types of profits. The article frames these measures as incentives that attract large amounts of capital into property markets, contributing to increased investor interest in an already “overheated” real estate market.
Under-taxation, loopholes, and lack of oversight
Based on interviews referenced in the article, economists, tax experts, lawyers, and organisations are said to converge on a conclusion that real estate—commercial and residential—is under-taxed or not taxed in most countries examined. The investigation also describes tax avoidance schemes used by real estate investors. It notes that there is no European-level regulation or oversight in this area, making systematic patterns harder to prove, while still arguing that the overall effect involves a misallocation of capital.
Public revenue impacts highlighted
The reporting claims that member states such as Germany, Italy, Portugal, and Belgium lose “billions of euros” due to exemptions and preferential regimes linked to real estate investment taxation. These losses are presented as financially significant at national scale and connected to broader economic and social outcomes.
Link to housing affordability and price dynamics
A central claim is that capital being channelled into real estate drives up housing prices and contributes to the housing crisis in many European countries. The article cites statistics indicating that, from 2010 onwards, house prices rose faster than inflation or average wage growth in all EU countries except Italy and Malta. It adds that similar findings apply to Norway and the UK.
Consequences for households in major cities
To illustrate affordability pressures, the article states that in cities such as Prague, Bratislava, and Paris, it would take more than 20 years of average wages to buy a flat. This figure is used to contextualise the gap between housing costs and incomes and the depth of affordability challenges in specific urban markets.
Human stories and policy responses within the series
The article notes that Investigate Europe spoke with people affected by the housing crisis and also confronted national governments about the tax privileges and their social costs. It situates this piece as an entry point to a broader “Untaxed” investigation series, which includes additional reporting on topics such as the commodification of housing, investor-driven urban transformation, the role of tax havens in property-related projects, short-term rental regulation, and vacant housing.