Politics · Spain · 2 hrs ago

Government says housing decree may affect rental supply, but not significantly

Government says housing decree may affect rental supply, but not significantly

Spain’s government has assessed the possible effects of a housing decree drafted with the Sumar party.

It says the decree could have negative effects on the supply of rental homes, but does not expect those effects to be significant.

The rules apply existing rent regulation in areas classified as under pressure rather than setting rents across the board.

Landlords can also end a tenancy at the end of a contract period for specified reasons without paying compensation.

In other cases, the decree provides for compensation of up to 12 months’ rent when a landlord does not renew a tenancy.

The government says it could have imposed stricter controls, and argues that its approach is proportionate.

It says the decree should be considered alongside another measure that offers tax incentives to landlords, which it says may support rental supply.

Sources

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