Less housing and more demand

In recent years, one of the most pressing challenges for cities and their inhabitants has been the growing gap between the supply and demand for housing. While the world population, and in particular the national population, continues to increase, the number of available homes not only does not grow proportionally, but in many cases, supply has stagnated or decreased. This phenomenon not only causes logistical and economic difficulties, but also has become a major social problem requiring urgent attention from all sectors: government, business, and society.

The sustained increase in population

According to demographic reports, both global and local populations continue to rise year after year. Natural expansion from births, combined with migration arrivals and increased life expectancy, shares an uninterrupted trend that increases the number of inhabitants in urban and rural areas. The official projection indicates that by 2030, the world population will reach approximately 8.5 billion people, with significant growth in urban areas.

In our national context, figures show a steady increase in the urban population. Cities like the capital and other regional centers experience population growth that, in some cases, outpaces the construction of new housing. The direct consequence is a higher demand for homes, urgently needed to meet basic needs and ensure comfort, safety, and quality of life for residents.

Housing scarcity and its social impact

The population increase without a corresponding rise in housing supply creates a worrying scenario: a growing demand that cannot be satisfied. As a result, property prices increase, real estate speculation occurs, and in extreme cases, informal settlements or substandard housing emerge.

This imbalance has profound social implications. Difficulty accessing adequate housing directly affects aspects such as family stability, personal security, education, and employment opportunities. Additionally, the lack of affordable housing supply worsens social inequalities, generating fragmented communities and those excluded from urban development.

Factors contributing to housing scarcity

The problem is not solely due to increasing demand but is also fueled by various structural factors that limit the construction and availability of new homes:

• Bureaucratic and regulatory barriers: Permitting and licensing processes are often lengthy, complex, and costly, discouraging investment in new housing projects.
• High zoning and land-use restrictions: Urban planning regulations sometimes limit development in certain areas, restricting urban expansion and the construction of new housing.
• Lack of infrastructure investment: Without proper basic services like water, electricity, transportation, and sanitation, many areas remain uninhabitable or underdeveloped.
• Increase in construction costs: Inflation in materials, labor, and other inputs makes projects less profitable, reducing the number of homes built.
• Lack of long-term planning: The absence of comprehensive plans that anticipate future population needs prevents an effective response to demand.

Economic and social implications

The mismatch between supply and demand has enormous repercussions. Local economies face inflationary pressures in the real estate market, making it difficult for middle- and low-income populations to access housing. This impacts citizens’ quality of life and generates higher social costs, such as urban congestion and increased insecurity rates.

Furthermore, a cycle is promoted where scarcity raises prices, which in turn excludes large sectors of the population from the formal real estate market. The consequence is often substandard housing or informal settlements, uncontrolled, lacking proper services, and posing high risks to their inhabitants.

What can be done to address this problem?

The path to a solution requires a multidisciplinary approach and firm political will. Some key actions include:

1. Reforming urban planning regulations: Facilitate permitting processes and promote the development of new housing through more flexible and rational laws.
2. Enhancing infrastructure investment: Improve basic services and connectivity to enable new housing development areas.
3. Promoting social and affordable housing construction: Design programs that incentivize projects for vulnerable and low-income sectors.
4. Encouraging smart densification: Better utilize urban resources through vertical developments and efficient land use.
5. Long-term urban planning: Create strategic plans that anticipate population needs and ensure balanced, sustainable growth.

The role of the private sector and community

The participation of the private sector is also crucial to solving this problem. Construction companies, real estate developers, and banks should collaborate on projects that are economically viable and socially responsible. Additionally, civil society can contribute by promoting a culture of saving and planning, as well as actively participating in urban policies.

Conclusion

The trend of reducing the housing supply in the face of increasing demand is a phenomenon that requires immediate attention. The growing demand not only reflects an unmet basic need but also exposes social inequalities and affects sustainable city development. To address this issue, it is essential that all involved actors—governments, the private sector, and communities—work together, adopting innovative and responsible solutions. Only then can housing cease to be a luxury and become an accessible right for all, fostering fairer, more inclusive, and sustainable communities.