There cannot be a housing policy without funding. This can be achieved by strengthening and supporting the Housing Finance Corporation. Unfortunately, in recent years, this organisation has lost its social character. This is partly due to its understaffing, resulting in slow loan examination, processing, and approval procedures.
The delays are so lengthy that they cause considerable frustration to potential borrowers, creating an almost insurmountable obstacle for those who decide to navigate this process. This issue was highlighted in a recent report, emphasizing the urgent need to address housing as a social issue.
Challenges and Recommendations
A recent, very informative report by Phileleftheros highlighted the problems faced by the organisation and detailed the experiences of its clients. Housing is a social issue, and addressing it was a campaign promise of the President of the Republic who presented a program, the implementation of which will significantly help citizens. Housing is one of the most serious problems faced by citizens, especially the youth, due to high rents and the high prices for those looking to buy.
Regarding this issue, AKEL, through its General Secretary, Stefanos Stefanou, emphasised the urgency of implementing other, feasible measures, such as creating a funding body with state support based on socio-economic criteria, to enhance the ability of middle and lower-income households to acquire housing.
Similarly, SEK has noted for some time the declining state of the Housing Finance Corporation (HFC), which in recent years has been left to its fate. SEK is calling on the Government to undertake a comprehensive redesign of its social housing policy, strengthening the HFC and linking it with the Cyprus Land Development Corporation (CLDC), to achieve an integrated approach to housing policy.
Housing is a critical issue that cannot be addressed with different terms other than the social dimension. This social dimension involves the state, which must provide solutions immediately. The key issue at this stage is to strengthen the Housing Finance Corporation while simultaneously developing measures for immediate implementation, enhancing and upgrading the government’s announced plans, which are in the right direction.
