Economy Politics Local 2025-12-28T10:31:27+00:00

Real Estate Firms Won't Produce Affordable Housing Without Public Policy Pressure

The specialist explained that the real estate market cannot provide affordable housing without public policy pressure, highlighting Mexico City’s short‑term rental boom and housing deficit.


Real Estate Firms Won't Produce Affordable Housing Without Public Policy Pressure

Experts and authorities note that the lack of public policy limits the production of affordable housing in Mexico City. In the capital, most of the urban space is used for short‑term rentals and speculative real estate, creating a long‑term housing deficit.

"The real estate market will not become philanthropic and will not produce affordable housing without public policy pressure."

Academic Rosalba González Loyde from the UNAM Faculty of Political and Social Sciences explained that the city government has proposed regulatory mechanisms, but they have not yet been implemented. Plans include regulating platforms like Airbnb and promoting the construction of affordable units, as well as improving mobility and land access.

Gentrification, according to the specialist, involves the displacement of low‑income populations when the area becomes more expensive due to foreigners renting short‑term. This process is fueled by the lack of land‑management tools and effective public policies.

In 2025, protests against gentrification occurred in various parts of the city, especially in the Condesa area, where rising prices altered the lifestyle of local residents.

The analysis underscores the need for comprehensive public regulation to balance the real estate market and ensure access to affordable housing.