The dream of a home is becoming a financial nightmare for millions of young people, not just in Europe, but with alarming echoes here in Kenya. A crisis across the European Union is forcing a generation into precarious living situations, a cautionary tale for Nairobi's own overheated property market.

This isn't a distant problem; it's a global trend of incomes being dramatically outpaced by the cost of housing. As the EU rolls out its first-ever affordable housing strategy to tackle the issue, the lessons learned—and the potential pitfalls—are directly relevant to every young Kenyan struggling to pay rent, let alone dream of homeownership.

A Generation Locked Out

Across the EU, the numbers paint a grim picture of a generation struggling for a foothold. Since 2010, average home sale prices have surged by nearly 60%, with rents climbing almost 30% in the last 15 years. The burden falls heaviest on the young.

New research from Eurofound, the EU's agency for living and working conditions, highlights the severe precarity:

• An astonishing 30% of 25 to 34-year-olds in the EU still live with their parents.
• Young Europeans are spending nearly a third of their income just on housing costs.
• In several countries, a young worker would have to spend over 80% of their wages on a simple two-room flat.

This reality is forcing a delay in fundamental life milestones, from starting families to achieving financial independence, a situation many young adults in Kenya find increasingly familiar.

Echoes in Nairobi's Market

While comprehensive data on young Kenyans living with their parents remains scarce, the financial pressures are undeniable. Nairobi faces its own severe housing deficit, estimated at over 2 million units, with the supply of 50,000 new homes annually falling far short of the 250,000 needed. According to the Kenya National Bureau of Statistics (KNBS), the average rent for even a modest one-bedroom apartment in Nairobi can range from KES 20,000 to KES 45,000, a prohibitive sum for many starting their careers.

The government's Affordable Housing Programme (AHP) aims to deliver 200,000 units annually but has faced significant hurdles. As of April 2025, around 140,000 units had been completed over several years, with a recent release of 5,000 homes attracting a staggering 500,000 applicants—a stark illustration of the demand. The programme is further hampered by legal disputes, rising construction costs, and challenges with land acquisition.

Can Policy Provide a Lifeline?

In response to its crisis, the European Commission has unveiled a new strategy. The plan focuses on boosting housing supply, unlocking investment for affordable projects, and, crucially, regulating the short-term rental market that has squeezed residential availability. One of its key pillars specifically targets improving housing access for young people and students.

This mirrors some of the ambitions of Kenya's AHP, which also seeks to increase supply and provide financing models like rent-to-own. However, the EU's approach of empowering local authorities to limit short-term rentals in high-pressure areas offers a potential regulatory tool that Kenyan policymakers are watching closely.

The path forward is fraught with challenges on both continents. The EU's plan currently relies on coordination rather than binding legislation, and its success is far from guaranteed. In Kenya, overcoming financial hurdles and ensuring the AHP truly benefits low-income youth, not just investors, remains a monumental task.

Ultimately, the struggle of a young person in Dublin unable to afford rent is not so different from that of their counterpart in Nairobi. As one analyst noted, sustained collaboration between government, developers, and communities is essential to ensure that a decent home does not become a luxury for the few, but a right for all.