Housing's Dual Role as Wealth Engine and Social Barrier Fuels Growing Inequality

According to Savills, the worldwide real-estate market reached $393 trillion, with housing alone accounting for $286.9 trillion, dwarfing the value of all mined gold. In developed economies, housing affordability has deteriorated sharply; Spain exemplifies this with a rental market where many households allocate a large share of net income to rent, contributing to entrenched poverty. Scholars attribute the shift to a post-2008 environment of ultra-low rates that steered investors, REITs, family offices and banks toward property as a stable return source.

This has amplified price growth, reduced supply for first-time buyers, and increased the share of assets held by large funds, which now represent nearly half of Spain’s real-estate investment. Governments are reacting: Spain abolished its golden-visa program in April 2025, Catalonia expanded rent controls, and the U.S. Senate passed a bill to curb institutional ownership of single-family homes. Analysts warn that without stronger public housing provision, taxes on vacant units and stricter regulations, the widening gap between owners and renters could destabilise the social contract.