Rentals in Colombia: How the high cost of rent affects the economy and everyday life - Personal Opinion
Hello Project HOPE friends, best wishes for this weekend. Today I want to talk to you about a reality that occurs in Colombia regarding rentals. There is a complex situation here, and the majority of people live as renters, that is, they do not have their own home.
Unquestionably, the economy of a country is deeply affected when a large part of its population lives in rental conditions and allocates a significant portion of its income to this expense. In Colombia, for example, where more than half of citizens allocate between 50-60% of their income to paying rent, this situation has multiple economic repercussions.
Let's start by saying that the high proportion of income allocated to rent reduces the saving capacity of households. This means that many families have little or no ability to build an emergency fund or plan for any type of investment, such as higher education for their children or purchasing their own home. The lack of savings also limits the growth of personal financial capital, affecting economic stability at the family and national level.
It must also be considered that high rental expenses reduce purchasing power. When a large portion of your monthly income goes toward rent, there is less money available for other goods and services. This restriction on consumption can lead to an economic slowdown, as companies see a decrease in demand for their products and services. Less consumption means less revenue for businesses, which can lead to a reduction in business investment and, in some cases, job losses.
Furthermore, reliance on rent can foster economic inequality. Families that spend a large portion of their income on rent have fewer resources to invest in education, health, and other areas that could improve their quality of life and long-term economic prospects. This perpetuates a cycle of poverty and inequality, making social mobility and economic equity difficult.
On the other hand, the real estate sector may become unsustainable if rents continue to rise without a corresponding increase in income. High rental costs can discourage people from looking for housing near their workplaces, which can increase commute times and decrease work productivity.
Particularly, since I live here in Bogotá, the Colombian capital, I live this reality, where the majority of monthly expenses are taken up by the rent as well as the payment of services, leaving you with little capacity to do other things, this is totally counterproductive in any country, I think it's something everyone will understand. And the costs of the cases are extremely high.
Hola amigo... El alto costo de la vida está afectando notoriamente la vida de gran mayoría de las personas en el mundo... Pues si la economía de un país se ve cada día más afectada cuando existe una gran
parte de habitantes que viven alquilados y tienen que disponer parte importante de sus ingresos a este tipo de gastos. Saludos