Construction faces a wave of retirements that will make housing more expensive. nasshliski

The construction sector is an aging sector. According to the latest report on the construction labor market, prepared by BBVA Research, the average age of construction workers has increased more severely than in other industries to 45.1 years on average in 2022. From the Association of Developers Builders of Spain (APCE) have warned this Tuesday that this reality will condition the evolution of housing development in the coming years due to the retirement of foremen or managers and, if no remedy is taken, it will result in an “excessive” increase in the housing price due to rising costs.

These profiles will be necessary to carry out the production of new construction necessary to satisfy the demand that will be generated. Beatriz Toribio, general secretary of APCE, assures that almost 100,000 fewer homes are produced than what is needed for the forecast of 2.7 million new homes that there will be by 2037 – at a rate of about 180,000 homes per year. This figure contrasts with the number of residences completed, with around 110,000 new construction visas and 88,000 houses completed per year. This will generate an imbalance between supply and demand that will put pressure on the price, to which there will be added pressure on production costs due to the lack of labor – which would make salaries more expensive.

The president of APCE and also president of the Housing and Urban Planning commission of CEOE, Juan Antonio Gómez-Pintado, took advantage of the meeting to launch the proposals that, in his opinion, are essential to provide solutions to the problems in the construction of the sector. residence First of all, he considers it necessary to accelerate the implementation of final land, since the price of land “greatly influences” the final value of the houses. On the other hand, the president has also announced the creation of an observatory for rental housing to monitor the evolution of the market under the auspices of the CEOE, a proposal for which no specific date has been revealed on which it will be launched. . .

Regarding taxation and aid, Gómez-Pintado demands that the 4% VAT reduction enjoyed by protected housing be generalized to other types of construction with some type of public protection. Regarding the Next Generation funds, APCE has warned that the projects and works must be completed by June 2026 and that “tenders have not yet been awarded.” The president of the Association wanted to emphasize that “it is still possible” to reach the objectives set and benefit from aid if administrative barriers are removed, although time “is playing against us,” he commented.

Housing observatory

The future housing observatory announced this Tuesday will monitor the evolution of rental prices where the regulation of stressed areas is applied, included in the housing law, a regulation that includes price caps and limitations on the renewal of new ones. rentals in those areas with prices that exceed a threshold based on an indicator that has yet to be launched by the Ministry of Housing.

According to Gómez-Pintado, behind the observatory’s initiative are projects such as the rent cap in Catalonia, which was partly revoked by the Constitutional Court in 2022, and which “reduced supply by 30%,” he said. The Generalitat already announced in January that, protected under the housing law approved by the Government last year, it will allow rental prices to be limited in 140 areas of the community.

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