Three property owners’ associations heard this Thursday by the Housing Minister rejected the new brake on rent increases, leaving the social response to the housing crisis to the state.
“There is unanimity against slowing down rent increases,” João Caiado Guerreiro, president of the Portuguese Property Owners Association, said in a statement to reporters.
“What is reasonable is the inflation rate,” he stressed after a “constructive conversation” with Minister Marina Goncalves, which ended at 20:30 this Thursday.
According to inflation data for August recently published by the National Statistics Institute (INE), rents could rise by 6.94% in 2024 unless the government sets a cap on renewals, as it did this year.
Following this scenario, Housing Minister Marina Goncalves called on the two trade unions, as well as tenant, owner and consumer associations, to listen to them today and Friday about the 2024 rent update and the rules for concluding contracts until 2024. until 1990.
According to João Caiado Guerreiro, “the state can support those who need it,” but “investors should not be supported” who are not the cause of the housing problem.
“There should be support from the state for the most needy tenants, and there are only a few of them,” he noted.
One possible solution would be to “distinguish between rents at a certain cost for people who need them and rents that are much higher, as is done in Spain, where there are no restrictions on increases,” he suggests.
“Commercial rentals should stay on the sidelines. It is not clear why, for example, Caixa Geral de Depósitos, Millenium or Microsoft would need to limit rent increases,” he explains.
According to the Portuguese Homeowners Association, the Mais housing package presented by the government and expected to be approved this Friday in Parliament after a presidential veto, has “positive aspects such as the “reduction of bureaucracy” in construction.” houses.
“In order to reduce rental prices, houses need to be built faster,” he emphasized.
Before it was accepted at the same meeting, Luis Menezes Leitan, president of the Lisbon Property Owners Association, challenged the joint hearing of the three property owners associations, accusing the government of being unwilling to “listen effectively” to different positions.
On rent increases, he stressed that the brakes introduced last year were a “mistake” and pushed homes off the market.
“The result of this will be absolutely catastrophic. It has already happened and it will be even worse next year if the brakes continue,” he warned, recalling the “principle of updating rents in line with inflation since 1985.”
The lawyer also noted that such measures undermine the trust of owners, since leasing becomes a “risky” and potentially “disastrous” business.
To respond to the housing crisis it admits exists, the government should implement a “subsidy program” for renters who need it.
“Landlords are the only ones asked to finance their tenants’ situation from their own income,” he criticizes.
“We understand the rebellion that exists. Our rebellion is no less,” he emphasized, recalling that the owners responded by removing their houses from the rental market.
Recalling that in Portugal 98% of the housing market is provided by private individuals, Menezes Leitan notes that such an “anti-private policy” will only worsen the crisis. “This problem cannot be solved by ideology,” he said.
The National Property Owners Association was also accepted this Thursday, but did not provide a statement to reporters.
Author: Lusa
Source: CM Jornal
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