The President of the Government, Pedro Sanchezannounced this morning a new battery of measures to address the housing problem in Spain. He did so during the closing of the forum ‘Housing, fifth pillar of the Welfare State’, which was attended by a good part of the socialist ministers, and 24 hours after the president of the PP communicated his proposal after meeting with the barons of the party in Asturias.
Specifically, it has announced a dozen measures that aim to improve access to housing, especially for young people. The focus? In the words of the president, “more homes, better regulation and greater aid for access to housing”. “Housing prices have grown by 48% on average in Europe in the last decade,” Sánchez mentioned before announcing the list. A problem that already represents an obstacle to the emancipation of young people and a “financial stress” for a large part of the population.
Among the most notable measures, the one that has resonated the most has been the total exemption from Personal Income Tax (IRPF) for those owners who rent a home in accordance with the reference index. Sánchez has announced that he will propose in the Congress of Deputies an exemption from personal income tax “for those owners who rent their homes according to the reference index, without the need for them to be in areas declared stressed.”
The new housing measures announced by the Government
These are the 12 measures that the president, Pedro Sánchez, announced this Monday to combat the housing problem in Spain.
Guarantee the collection of rent
Sánchez has announced the creation of a public guarantee system that will ensure the collection of rent to owners. The measure, as explained, will be in operation this year. Its application will begin with owners who rent to those under 35 years of age.
More housing
Regarding the measures focused directly on increasing the amount of housing available in our country, the president has assured that a program of rehabilitation of empty homes for affordable rental. To this end, aid will be granted to those people who renovate an apartment to make it affordable for rent for at least five years.
Likewise, it has announced other measures such as the transfer by the General State Administration to the public housing company of more than 3,300 homes and two million square meters of residential land to create “thousands and thousands” of new homes. In addition, 13,000 SAREB homes will be incorporated immediately and another 17,000 progressively.
This new public housing company, whose creation Sánchez already announced at the 41st Federal Congress of the PSOE at the beginning of December, will have “priority” in the purchase of homes and land, as a supplement to the rights of the autonomous communities, according to has pointed out. Likewise, he added that State-protected housing will be “shielded,” guaranteeing by law that it maintains its public ownership “indefinitely.”
Modular houses
In addition, it has advanced the launch of a PERTE “for the innovation and modernization of industrialized and modular construction” with the aim of building houses in less time and at a lower cost. In fact, he has reported that this measure will be carried out in the province of Valencia to contribute to the reconstruction of the economic fabric after the passage of DANA.
Tax advantages and disadvantages
On the other hand, the Government proposes condition the tax advantages of Socimis (Listed Real Estate Investment Companies, whose main activity is the acquisition, promotion and rehabilitation of urban assets) to the promotion of affordable rental housing. According to the president, the objective is to prevent companies that are only dedicated to the promotion of short-term rental housing from paying less taxes “than ordinary citizens” when purchasing the same home.
Furthermore, Sánchez has been in favor of limiting the purchase of housing by non-EU foreigners not resident in Spain, “increasing the tax burden that they will have to pay in the event of a purchase up to 100% of the value of the property.”
Consider tourist homes a business
Another of the measures announced is to bring to Congress a proposal so that tourist homes are considered a business and are taxed as an economic activity, including the application of VAT in those areas where there are difficulties in accessing housing or tourist saturation. “What is left over is Airbnb and there is a lack of homes,” he stated.
Regulations against fraud in seasonal rentals will also be tightened and a fund will be created for regional and municipal governments to strengthen inspections of illegal tourist homes.
A state plan
Finally, he has proposed the launch of a new state housing plan, which will come into force in 2026. In this, as he explained, the current aid programs will be increased, with special attention to the elderly, young people, people with disabilities and residents in degraded areas.