Rising housing costs are undermining the right to adequate housing for millions of Europeans, according to a new report from the European Union Agency for Fundamental Rights (FRA). The Vienna-based body warns that the continent's housing affordability crisis is pushing more people into homelessness and straining social safety nets.
Data from Eurostat cited in the report shows that house prices across the EU increased by 53% between 2015 and 2024, while rents climbed by nearly 17% over the same period. These figures reflect a broader trend of housing becoming increasingly unaffordable, particularly in major cities such as Paris, Berlin, and Madrid.
“Soaring costs affect many individuals and families, as more and more people cannot afford their homes and risk becoming homeless,” said FRA Director Sirpa Rautio in the report. She emphasized that the situation is especially acute for young people and other vulnerable groups, who face “hardships that undermine their access to the basic right to adequate housing, and many remain unprotected against eviction.”
Homelessness on the Rise
The report highlights that homelessness is increasing across the bloc. The European Federation of National Organisations Working with the Homeless (Feantsa) estimates that nearly 1.3 million people were experiencing homelessness in the EU in 2025. While more than two-thirds of EU residents own their homes, less than half of those with incomes below the at-risk-of-poverty threshold are homeowners, underscoring the divide between property owners and renters.
The FRA notes that the right to adequate housing is enshrined in international human rights law and applies to everyone, including migrants, refugees, and asylum seekers. International and European agreements oblige governments to prevent homelessness, improve access to affordable housing, and protect people from discrimination in housing. The report calls for a rights-based approach to address homelessness effectively, protect against forced evictions, and provide safeguards for people in vulnerable situations.
This crisis is not limited to EU member states. The report covers all 27 EU countries as well as Albania, North Macedonia, and Serbia. In Spain, for example, a separate analysis has shown that half of wages are now spent on housing, exacerbating inequality. For more on that, see Spain's Rental Crisis: Half of Wages Now Spent on Housing.
The broader economic context adds to the pressure. The EU is “increasingly tested in upholding rules-based governance and fundamental rights” given “intense geopolitical instability and security threats,” Rautio noted. “The unpredictable international environment and ongoing wars are having an impact here at home — not least on people's sense of safety and wellbeing,” she said.
Housing costs are also intertwined with energy prices, as households struggle to pay for both shelter and heating. The EU has taken steps to stabilize energy costs, such as the agreement to launch the ETS2 carbon market in 2028, but the effects on household budgets remain uncertain. For background, see EU Agrees to Stabilise Carbon Costs for Households Ahead of 2028 ETS2 Launch.
The FRA's report serves as a stark reminder that economic growth alone does not guarantee social rights. As housing becomes a luxury for many, policymakers across Europe face mounting pressure to intervene with affordable housing initiatives, rent controls, and stronger tenant protections. Without such measures, the report warns, growing housing insecurity will leave more people at risk of homelessness, eroding the fundamental rights that the EU claims to uphold.
