Feb 10 • 11:23 UTC 🇬🇷 Greece To Vima

Divorces: How and Why They Inflate the Housing Crisis

Divorce rates in Greece are rising sharply, contributing to the ongoing housing crisis by increasing demand for housing as households split up.

In Greece, the housing crisis is often discussed in terms of sales prices, rents, interest rates, and programs like Golden Visa and Airbnb. However, a less visible but profoundly social factor is driving pressure on the housing market from within: the rising rates of divorce. Data indicates a concerning trend, with divorces in 2023 reaching 15,114, up from 14,477 in 2022, and the numbers forecasted to exceed 15,500 in 2024. The divorce-to-marriage ratio has also increased significantly, rising from approximately 33 divorces per 100 marriages in 2022 to over 42 in 2024, indicating that nearly four out of ten marriages are ending in divorce.

Each divorce represents not just a statistical change but also a significant housing shift, as every dissolution of marriage effectively splits a household into two. This means that one home is no longer sufficient to accommodate the needs of both parties, thereby increasing demand for housing without any new supply being added to the market. As divorce rates rise, the housing crisis is exacerbated, leading to increased competition for available housing and driving prices even higher. The implications are far-reaching, affecting not only those going through divorce but also the broader market dynamics, as the struggles for affordable housing intensify amidst this social reality.

The relationship between rising divorce rates and the housing crisis underscores the need for comprehensive policy responses. Addressing housing insecurities requires understanding the social factors contributing to demand increases. Policymakers may need to consider measures that not only increase housing supply but also provide support for those newly entering the housing market post-divorce. Without such considerations, the housing crisis in Greece could continue to deepen, further marginalizing already vulnerable populations needing housing support.

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