Presidential Hopefuls Clash on Housing: Rent Control vs. 700,000 New Homes
Presidential candidate António Filipe, supported by the PCP, advocated for state control over rents during a debate on Sunday, while his opponent, João Cotrim de Figueiredo of the IL, proposed the construction of 700,000 new housing units as the primary solution to the nation's housing problem. Filipe asserted that the issue is one of affordability, stating, "The housing problem isn't for everyone. If you have two million euros, you can buy a house in Lisbon today. The problem is the vast majority of people don't have the money to buy a house."
The key to resolving the crisis, according to the communist-backed candidate, is "strong public intervention." This would involve "regulating the rental market to limit speculative rent increases and ensure some stability in leasing." He also proposed direct state investment in affordable housing construction and government oversight of the financial sector to limit bank fees. This policy direction could have significant implications for the regulatory and legal frameworks governing the property market.
Conversely, João Cotrim de Figueiredo argued that the housing issue is fundamentally about supply and demand. He stated that building between 550,000 and 700,000 new homes is necessary, a stark contrast to the 20,000 homes currently constructed annually in the country. The Liberal Initiative-supported candidate also downplayed the role of foreign buyers and the short-term rental market, labeling them "insignificant factors." For investors focused on new projects, this aligns with a pro-growth stance that could benefit construction updates.
Need Expert Guidance?
Get personalized insights from verified real estate professionals, lawyers, architects, and more.
"The number of foreigners who have bought homes in Portugal over the last 10 years is likely less than 100,000, and there are 92,000 active local accommodation licenses," Cotrim de Figueiredo noted. He concluded that when compared to Portugal's total housing stock of approximately 6.4 million units, these two factors are merely "a drop in the ocean." The debate showcases a fundamental disagreement on whether market regulation or market expansion is the correct path forward. For more on this topic, see our politics news section.
Understand policy impacts on your Portugal property plans at realestate-lisbon.com.