Promoting legislative reforms

What is the problem?

The problem centers on housing speculation, where residential properties are treated primarily as investment assets rather than homes. This speculative behavior, often fueled by programs like the Golden Visa schemes and short-term rental platforms such as Airbnb, drives up property prices, reduces the availability of affordable housing, and distorts local markets.

What should be done?

A recommendation on this would be the limitation of the Golden Visa scheme in countries that this modality is in place, as well as the control on AirBnBs Also, it needs to be ensured that the apartments bought by the Golden Visa scheme are back to the market and do not remain vacant. 

Who should act?

National governments should lead the reform or restriction of Golden Visa schemes and enforce short-term rental regulations, in line with their housing and immigration policies. The European Commission could provide guidance to ensure coherence across Member States, monitor compliance with EU housing and investment standards, and facilitate exchange of best practices. Local authorities should oversee the implementation of rental controls and ensure that reintroduced properties are accessible to residents.

What impact will it have?

Limiting or reforming Golden Visa schemes, enforcing controls on short-term rentals, and ensuring that properties acquired under such programs are reintroduced into the long-term housing market, would increase housing availability. By reducing speculative demand, these measures would help moderate housing prices, expand access to affordable homes, and promote greater social equity in urban and island communities. Over time, this would foster a more stable and sustainable housing ecosystem.