All this week, RTL info returns to the major issues in the Walloon and Brussels municipalities. We analyzed the comments made by your mayors during the “48 hours of mayors.” Housing is one of the five recurring themes. The opportunity to question the housing crisis that Belgium is currently going through and its mechanisms.
Belgium is facing a major housing crisis, which affects all its regions and particularly weighs on the most vulnerable households. Queues for social housing are getting longer, while property prices have exploded over the past 10 years, making access to property increasingly difficult.
In Dison, despite efforts to meet social housing obligations, demand remains far greater than supply. In Chapelle-lez-Herlaimont, a project of 66 social housing units, some of which are adapted for the elderly and those with reduced mobility, was carried out. For its part, the municipality of Ottignies-Louvain-la-Neuve tries to maintain a rate of 10% of public housing to cope with growing demand, a figure well above the regional average.
Shortage of social housing
In the three regions of the country, waiting lists for social housing are growing worryingly. In Brussels, more than 52,000 households are waiting, while in Flanders and Wallonia, the figures reach 176,000 and 98,000 people respectively. This shortage is all the more glaring as the social housing stock remains insufficient, representing only 7% of the real estate stock in Brussels and 6.5% in Wallonia.
“There is indeed a significant demand for housing”recognizes Daniel Pollin, spokesperson for the Walloon Housing Society. “Nearly 43,000 households are waiting for public housing in Wallonia.” With approximately 100,000 public housing units available, the “rate of rotation” nevertheless remains very weak: “Every year, just over five households out of 100 leave their public housing”he explains. “There is therefore a lack of public housing in Wallonia since supply does not meet demand.” However, the situation in Wallonia, although worrying, “is not very different from that observed elsewhere in Europe“, he adds.
This growing demand can be explained by several factors, notably the economic vulnerability of certain households and the tightening conditions for access to real estate loans. “Today, it is more difficult to obtain a loan from the bank to buy a home, which pushes these households to turn to rental, whether in the private or public sector.” However, private rental also suffers from marked inflation, while “the average rent in public housing is 329 euros, much lower than that of private housing.”
Despite these difficulties, the situation is gradually tending to improve in Belgium, since “banks are starting to loosen their lending conditions”he explains, citing the example of France, where similar measures have already been taken. In addition, other solutions exist, such as the reduction in registration fees planned for 2025 in Wallonia, which should facilitate access to property. “This is the government’s objective”he says.
For the spokesperson for the Walloon Housing Society, the problem of public housing is above all a question of political commitment. “Most public housing is financed by public money, which requires colossal resources to meet demand. Successive governments, whether left or right, have chosen to concentrate their investments on the renovation of existing buildings to make them compliant with energy and environmental standards.“
On average, 350 new social housing units are created each year, which does not meet demand
If there are also resources allocated to the creation of new housing, these are “less important”admet Daniel Pollin. “On average, 350 new social housing units are created each year, which does not meet demand.”
In Wallonia, 78% of buildings are over 42 years old; in Brussels, this figure reaches 93%, while in Flanders, 66% of buildings exceed this age. However, according to European obligations, by 2050, all buildings must achieve carbon neutrality. “Generally speaking, homes built before the 1980s are real energy sieves. The majority of private housing requires considerable investment to be brought up to standard, work that many owners cannot consider due to lack of means”he warns.
225,000 additional housing units by 2030
On the side of Embuil, the Belgian construction federation, we wish to warn of the need to create new housing in Belgium by 2030. “An additional 225,000 homes will be needed between now and 2030 to meet demand”warns Sven Nouten, spokesperson for Embuil. “If nothing is done, Belgium risks facing a housing shortage. It depends on households, but also on municipalities and cities.” According to him, the solution does not rely solely on new constructions: “It can also be redevelopment, or even the demolition of a house to rebuild two or three in its place.”
The spokesperson highlights a sociological development which largely contributes to this crisis. “Many people live alone, there are more and more single-parent families and elderly people who stay at home, receiving treatment at home”he specifies. Furthermore, the Belgian population continues to increase, with a projection of 1.2 million additional inhabitants by 2060. “We will have to find accommodation for them”he insists.
As in many European countries, Belgium has a housing stock with many empty homes. According to an estimate revealed in a study by the University of Liège, Wallonia has more than 100,000 unoccupied housing units on its territory. In Brussels, according to a study carried out by researchers from ULB and VUB, there are between 17,000 and 26,400 “presumably unoccupied homes.” Furthermore, vacant spaces in Brussels represent approximately 6.5 million square meters.
Mortgage rates increased from 1% to 3.5% between 2022 and 2023, significantly increasing the cost of buying or building
Another reason for this housing crisis is rising property prices. Inflation which can be explained by three factors: “Mortgage rates increased from 1% to 3.5% between 2022 and 2023, which significantly increases the cost of buying or building”explains Sven Nouten. Then, the war in Ukraine and the energy crisis caused a surge in the prices of construction materials: “In two years, between 2021 and 2023, material prices have increased by 35% on average.” Finally, the indexation of wages, with “an increase of 10% in 2023”has also contributed to increasing real estate costs.
So, will these prices stabilize? “We don’t really know. All it takes is an international event like we saw with the war in Ukraine for it to have an influence on prices. But if everything remains as it is today, prices should remain at a stable level”he believes.
Last May, several experts from the private and social housing sectors published an open letter to sound the alarm. According to them, finding a roof at affordable prices will be more and more complicated. In 2019, 7 out of 10 Walloon households could acquire a property for 240,000 euros. Today, this same property costs 312,000 euros. Only 4 out of 10 households can buy it, which represents a reduction in access to property of 30%.
Find your mayor’s intervention in full on this page dedicated to the “48 hours of mayors.“
housing real estate crisis
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