New housing law

The new law will regulate different areas of the real estate sector.

Yesterday, Friday 26 May, the new Housing Law came into force. It was approved by the Council of Ministers on 27 April 2023 and published in the BOE on Thursday 25 May 2023.

The new law will regulate different areas of the real estate sector, especially in the rental market.

One of the key points of the new law is that property owners will be responsible for paying real estate agency fees.

Limits on rent increases: the Housing Law will impose new limits on rent increases throughout Spain, will allow the definition of large landlords to be reduced from ten to five properties in certain cases, and will prevent these owners from evicting vulnerable tenants without a prior conciliation or arbitration process.

Specifically, the new Housing Law keeps the 2% cap on rent increases for this year and raises it to 3% in 2024. Before 31 December next year, it will create a new reference index applicable across the territory, independent of the CPI.

On the other hand, the new Housing Law will allow the concept of large landlords to be reduced from ten to five properties and will extend to individuals the restrictions for tenants предусмотрed in stressed housing areas.

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