's housing supply has plummeted since the 2006 peak of 760,000 starts, falling to 617,000 in 2007 and 159,000 in 2009. By 2013, construction hit a record low of 35,000 units. Current developments largely target high-income earners and foreign buyers.
The shortage stems from land scarcity, rising costs, and labour deficits, alongside slow bureaucracy and excessive regulation. Institutions have declined to activate official housing protections, while investors remain hesitant to commit to new construction.
A shift from industrial to financial capitalism sees banks demand high mortgage guarantees while favouring venture capital. face high capital costs, as firms like use complex schemes to indefinitely postpone taxation on gains.