EU Housing Costs Soar 48% from 2010 to 2023: Key Insights on Prices and Affordability
EU Housing Market Overview (2010-2023)
From 2010 to 2023, EU house prices increased by 48%. Housing costs, which include utilities, rose significantly in many member states.
Cost of Living by Country
In 2023, Ireland had the highest housing costs, double the EU average. Luxembourg followed at 86% above the average, and Denmark was 80% above. On the other end, Bulgaria had the cheapest housing costs, 61% below the EU average, with Poland also low at 56% below.
Price Trends
In Ireland, housing costs grew from 17% above the EU average to 101%, effectively doubling. Prices rose in 17 member states but fell in 9, including Spain and Cyprus. Notably, in 2023, house prices across Europe slightly decreased by 0.3% after years of growth. However, from 2010 to 2023, Estonia saw a remarkable price increase of 209%, followed by Hungary at 191% and Lithuania at 154%.
Rental Costs
Rental costs rose by 22% from 2010 to 2023 across the EU, with Estonia reporting a 211% increase. In Ireland, rental prices also doubled. Greece was the exception with stable rental prices.
Housing Affordability
On average, EU residents spent about 19.7% of their disposable income on housing in 2023. The highest spending was in Greece (35.2%), Luxembourg (27.6%), and Denmark (25.9%). For individuals at risk of poverty, this rate increased to 38.2%. Overall, the number of people unable to meet housing payments decreased from 12.4% in 2010 to 9.3% in 2023.
Home Ownership
In 2023, 69% of EU residents owned their homes. Romania had the highest ownership rate, with over 95%. In contrast, Switzerland and Germany had over half of their populations renting.
Housing Types
More than half of EU residents lived in houses, with almost 48% in flats. Ireland had the highest percentage of homeowners with 90% living in houses, while Spain had the highest flat occupancy at 66%.
Investment in Property
In 2023, Cyprus led property investment, spending 8.6% of its GDP. Italy followed at 7%, with Germany at 6.9%. The average investment across the EU was 5.8% of GDP, totaling about one trillion euros.