Student Housing Crisis in Portugal: Prices Skyrocket, Leaving Students Desperate

The Student Housing Crisis in Portugal

As the new academic year kicks off, Portugal's student housing market is facing a severe crisis, with room prices skyrocketing. University students, particularly those who are displaced, struggle to find affordable accommodation, leading many to abandon their placements or accept deplorable living conditions.

Rising Costs

In the last four years, the average rental cost for student rooms has surged dramatically, especially in major university cities. In Lisbon, where demand is highest due to a greater variety of courses, average rent has jumped from 350 to 480 euros, an increase of 130 euros. Other cities like Aveiro and Braga have seen similar hikes, while Porto and Coimbra faced increases of 115 euros and 60 euros, respectively, according to the Student Housing Observatory.

Financial Burden on Students

These prices put a heavy burden on approximately 175,000 displaced students in Portugal, with 45,000 in particularly vulnerable financial situations. The difficulties extend beyond those in need; many middle-class families are also struggling with the rising cost of living, forcing students to live in degrading conditions such as adapted balconies, pre-fabricated containers in garages, or shared hostels with strangers in cramped quarters.

Long Commutes and Limited Public Housing

Mariana Barbosa, president of the Lisbon Academic Federation, emphasizes that the housing crisis affects even those who manage to secure an expensive room. “Many students, unable to find affordable housing, end up living 30 to 40 kilometers from the university, spending up to four hours daily commuting,” she warns. This situation is exacerbated by the limited availability of public housing, which only provides rooms for 14% of displaced students.

Economic Challenges and Increasing Tuition Fees

The economic situation for students in Portugal is increasingly precarious, not only due to high room costs but also other university-related expenses. The total monthly costs for a student—including housing, transportation, food, and tuition—can exceed 950 euros, making it difficult for many to manage, even while working part-time. The average rent is now higher than the national minimum wage of 820 euros, creating an unsustainable scenario for many.

Mariana Barbosa highlights that the student middle class is also in a vulnerable position, struggling to afford education and maintain financial independence. The living conditions are often substandard, with shared apartments housing 15 to 20 people and only three bathrooms, complicating daily life.

Upcoming Tuition Fee Increases

As if the current situation weren’t challenging enough, the government is considering an increase in university tuition fees as early as 2025. Ongoing negotiations between the government and opposition parties suggest that the tuition fee hike could be around 2%, translating to an increase of 13 euros. If this measure proceeds, the annual fee will rise from 697 euros, frozen since 2020, to 710 euros.

Academic federations have expressed opposition to this increase, which, despite seeming small, will have a direct impact on students' finances already strained by rising living costs. For many, this hike could be the final straw in a reality already marked by financial difficulties.