Homebuyers, Liquidity Constraints and Private Market Solutions – European Best Practices

Michael Voigtländer ()
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Michael Voigtländer: Institut der deutschen Wirtschaft Köln

Intereconomics: Review of European Economic Policy, 2019, vol. 54, issue 1, 53-58

Abstract: Abstract Even though the cost for owner-occupied homes fell sharply in the last years, homeownership rates in the EU remain sluggish. Sound economic policy would promote homeownership especially as rents are on the rise. Policies that facilitate schemes such as equity release options, housing saving plans and crowdlending seem promising. Low and temporary subsidies could jump-start private market solutions in those areas. Enabling many individuals to buy a home is sound, since individually-owned homes are a major driver of individual wealth accumulation. Moreover, higher homeownership rates can encourage growth.

Date: 2019
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DOI: 10.1007/s10272-019-0792-5

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