Assessing the problem of affordable housing in Greece

Housing affordability in Greece, as in many other European countries, has garnered significant academic and public attention. Historically, no Greek government ever exhibited a serious interest in housing, and instead adopted a policy of non-intervention. Until 2008 this strategy could be argued as successful, with the country achieving a very high rate of home ownership. However, the slow economic recovery and the effects of tourism and short-term rentals gave rise to an increasing housing problem. Although living in rented housing is a relative minority in Greece, the notable increase in rental prices over the last few years has produced acute instances of housing insecurity. This paper presents the main indexes relating to housing affordability in Greece compared to the European average, the historical political and economic context, and highlights the need for change in Greek housing policy. Moreover, the housing issue has a strong intergenerational component, with data showing that ownership tends to become less attainable for younger age groups, especially if it comes from own income and not from inheritance.