The Socialist Party of Iceland declares an absolute housing emergency

The government of Iceland has failed the public in countless ways, but nowhere as severely as in housing. It has long been clear that the situation in the housing market has been in complete disarray, primarily affecting those with the least disposable income and benefiting those who speculate with apartments. Profit-driven landlords and short-term rentals to tourists through websites like Airbnb have squeezed tenants and first-time buyers to such an extent that it can only be described as a housing emergency. A larger and larger portion of people's disposable income goes to housing, and the largest portion of sold apartments and new constructions goes into the hands of people who already own an apartment and intend to rent them out for profit. Action is clearly needed. Immediately.

The Socialist Party of Iceland calls for a number of simple and obvious measures aimed at a more humane situation in the housing market:

1. Housing security must be ensured throughout the country. This means that extensive construction of new apartments on a social basis must be undertaken immediately to address the serious situation that has arisen. The Socialist Party proposes that at least four thousand apartments be built annually over the next three years, and subsequently sufficient annual construction volume in proportion to the population and needs at any given time. Construction must begin immediately.

2. It must be ensured that the apartments being built are utilized for the country's residents, not for rental for profit. Norway should be looked to, where laws have been enacted providing for a quadruple property tax on a second apartment purchased. By taxing properties beyond one, it is possible to significantly reduce the accumulation of apartments by investors. To ensure that the cost is not passed on to tenants, alongside these changes, rental guidelines must be established so that rental prices are in line with other economic indicators in Iceland.

3. It should only be permissible to rent out one's own legal domicile for short-term rentals, such as on Airbnb, and it must be mandatory to publish the property's permanent and license number in short-term rental advertisements before rental occurs. Oversight of registrations needs to be increased. These measures have been adopted widely in countries around us. Hotels are already struggling to fill rooms, many of which are empty. Tourists can stay there, but not in apartments in an already strained housing market.

4. Apartments that have been used for commercial operations must be reclaimed and returned to the public as permanent residential housing. This could be done by changing tax laws to force these apartments into sale or onto the rental market. This is done in many countries where taxes have been used as a tool to prevent residential housing from being used as a profit-making tool for a few, and instead to be used for permanent residency for the people of the country.

5. The extent of vacant apartments and apartments without legal domicile registrations must be mapped, and action taken as appropriate, for example, with higher taxation. The goal is to prevent apartments from remaining vacant for extended periods. There are indications that this is a very extensive problem, and a large number of apartments could be freed up for people to live in while waiting for the apartments that truly need to be built.

6. The installation of modular homes should take place to meet the significant shortage of residential housing. These homes are generally much cheaper and can be built much faster.

7. A long-term housing policy on a social basis must be adopted to meet the enormous shortage facing Icelandic society.

The Socialist Party here presents only a part of the measures that need to be taken. The bleeding must be stopped. The commodification of the housing market, which drains the public in Iceland, must be stopped. This commodification has drastically increased property prices, which sustains inflation and affects tenants as well as people who want to buy a home. There needs to be a housing market intended for the people of the country, not for the profit-seeking of speculators. Housing is a human right, not a tool for wealth accumulation.