{"id":55334,"date":"2025-01-17T11:39:13","date_gmt":"2025-01-17T10:39:13","guid":{"rendered":"https:\/\/blog.urbanitae.com\/?p=55334"},"modified":"2025-01-17T12:11:42","modified_gmt":"2025-01-17T11:11:42","slug":"these-are-the-12-government-measures-to-improve-access-to-housing-in-spain","status":"publish","type":"post","link":"https:\/\/blog.urbanitae.com\/en\/2025\/01\/17\/these-are-the-12-government-measures-to-improve-access-to-housing-in-spain\/","title":{"rendered":"These are the 12 Government measures to improve access to housing in Spain"},"content":{"rendered":"\n

Access to housing is one of the major current challenges in Spain. The real estate market is experiencing high tension due to a significant shortage of housing<\/a> relative to current demand levels<\/strong>, with new housing construction unable to meet the demand driven by the notable population and household growth in Spain, particularly in the last three years.<\/p>\n\n\n\n

Factors such as the rise in construction costs, increased mortgage interest rates, lack of developable land<\/strong>, and administrative hurdles for new projects have contributed to increasing difficulty in accessing affordable housing. Additionally, the rental market continues to suffer from significant price surges due to the strong imbalance between supply and demand, especially in high-demand areas like Madrid or Barcelona<\/strong>.<\/p>\n\n\n\n

The issue has become a central topic on the political agenda, with housing emerging as one of the most debated subjects. Various parties have proposed measures to ensure more affordable access, focusing significantly on the younger population. In this context, the Spanish Government, led by Pedro S\u00e1nchez, has introduced a package of 12 measures<\/a><\/strong> aimed at alleviating the housing crisis and balancing the market. At Urbanitae, we have thoroughly analyzed each of these initiatives:<\/p>\n\n\n\n

1. Transfer of housing and land to the public housing company<\/h2>\n\n\n\n

This measure aims to increase the stock of public housing for social rental purposes. By transferring over 3,300 homes and two million square meters of land,<\/strong> the initiative seeks to ensure more affordable housing access and promote the construction of new properties for social purposes.<\/p>\n\n\n\n

Regarding this measure, Jos\u00e9 Mar\u00eda G\u00f3mez-Acebo<\/strong>, Director of Institutional Clients at Urbanitae, considers “public-private collaboration mechanisms essential, as public budgets alone cannot meet the required investment level. The success of such collaboration will depend on realistic pricing and cost setting to encourage private investment in a legally secure environment with sufficient guarantees for investment recovery.<\/em>“<\/p>\n\n\n\n

2. Incorporation of Sareb (or bad bank) properties<\/h2>\n\n\n\n

The management of 13,000 homes, which will immediately become part of the public stock, along with another 17,000 planned, aims to significantly increase the supply of social rentals.<\/strong> This move seeks to leverage assets held by Sareb to address the high demand for affordable housing.<\/p>\n\n\n\n

3. Priority in acquiring land and housing<\/h2>\n\n\n\n

The public housing company will have purchasing priority for land and homes, intending to facilitate strategic and agile management to develop affordable<\/a> rental housing projects<\/strong>, promoting efficient resource use.<\/p>\n\n\n\n

4. Reform of the Land Law<\/h2>\n\n\n\n

This reform aims to remove administrative and bureaucratic obstacles to expedite housing development. The measure intends to accelerate the construction of new properties<\/a><\/strong> to meet growing demand, especially in high-tension real estate areas. “It’s important to remember the significance of promptness and efficiency in permit processing: a 12-month delay in granting a license increases housing costs by around 5% because the land buyer demands a higher return on their capital,<\/em>” notes G\u00f3mez-Acebo.<\/p>\n\n\n\n

5. Launch of a PERTE for modular construction<\/h2>\n\n\n\n

This Strategic Project for Economic Recovery and Transformation (PERTE) aims to promote modular and industrialized construction<\/a>,<\/strong> a quicker and more economical alternative to traditional methods, enabling significant reductions in construction times and associated costs.<\/strong> A PERTE that they intend to centralize in Valencia, aiming to boost the economic fabric of areas affected by DANA. G\u00f3mez-Acebo values this measure as \u201cgoing in the right direction. The cost of building housing has increased significantly after the supply chain crisis triggered by the Ukraine war; alongside a sharp rise in material prices that has not reversed, there’s a concerning labor shortage in the construction sector, which will worsen when more homes are loaded. Therefore, modular and industrialized construction is the way to build faster and cheaper, mitigating the growing absence of construction professionals and trades.<\/em>\u201d<\/p>\n\n\n\n

6. Rehabilitation of empty homes for affordable rental<\/h2>\n\n\n\n

This initiative aims to revitalize the stock of unoccupied homes and allocate them to affordable rental for at least five years. Rehabilitation programs will be implemented<\/strong> to improve housing quality while increasing the available supply.<\/p>\n\n\n\n

7. 100% income tax exemption for certain rentals<\/h2>\n\n\n\n

Through this measure, the Government aims to encourage landlords to offer reasonably priced rentals<\/strong> aligned with the reference price index under the housing law. This exemption seeks to balance the rental market and protect tenants from abusive prices.<\/p>\n\n\n\n

8. Restriction on foreign non-resident property purchases<\/h2>\n\n\n\n

To curb what the Government considers real estate speculation, restrictions are set to ensure that non-resident foreigners cannot purchase properties in certain high-demand areas<\/a>,<\/strong> prioritizing access for local citizens.<\/p>\n\n\n\n

In this regard, Jos\u00e9 Mar\u00eda G\u00f3mez-Acebo highlights a noticeable inequality in tax treatment in this area: “The taxation for a foreign buyer purchasing a second residence in Spain is essentially the same as for a Spanish buyer of a first residence, despite being a primary necessity good.<\/em>“<\/p>\n\n\n\n

9. Protection of publicly-owned social housing<\/h2>\n\n\n\n

This measure aims to ensure that social housing remains in public hands and is not sold on the open market, guaranteeing its availability as a resource<\/strong> for those who need it most in the long term.<\/p>\n\n\n\n

10. Consideration of tourist housing as an economic activity subject to VAT<\/h2>\n\n\n\n

By classifying tourist rentals as an economic activity subject to VAT, the Government seeks to balance the real estate market, encouraging residential over tourist use and regulating this practice that affects the availability of regular homes.<\/p>\n\n\n\n

11. Conditioning tax benefits for SOCIMIs<\/h2>\n\n\n\n

SOCIMIs<\/a>, key entities in the rental market, must adhere to new criteria that oblige them to promote affordable rentals if they wish to maintain their tax advantages. Some sector actors have received this measure as a “penalty” for SOCIMIs focused on residential properties, although it is acknowledged that the blow could have been more severe since it does not affect entities dedicated to other assets like data centers, offices, or logistics, which are the majority.<\/p>\n\n\n\n

12. New State Housing Plan<\/h2>\n\n\n\n

Scheduled for 2026, this plan will prioritize vulnerable groups, young people, and the elderly,<\/strong> offering tailored assistance to their needs and conditions. It seeks to address the structural challenges of the real estate market, fostering inclusion and accessibility.<\/p>\n\n\n\n

These measures represent a comprehensive effort to address the housing crisis in Spain. However, according to the Urbanitae expert, “the greatest efforts should focus on increasing the housing stock in the main demand hubs, granting greater administrative agility to prepare residential land, issuing permits more quickly, and reducing obstacles to the financial system (both banks and alternative) so that it can accompany the significant number of homes that need to be built with economic resources; and for buyers to access home purchases, another measure could be reducing taxes for first home purchases.<\/em>“<\/p>\n","protected":false},"excerpt":{"rendered":"

Spain announces a package of 12 urgent measures to tackle the housing crisis, focusing on social renting and new housing construction.<\/p>\n","protected":false},"author":1,"featured_media":55328,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[1027],"tags":[889,888],"class_list":["post-55334","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate-investment-en","tag-housing","tag-residential-sector"],"yoast_head":"\nThese are the 12 Government measures to improve access to housing in Spain - Urbanitae Blog<\/title>\n<meta name=\"description\" content=\"The Government announces 12 measures to address the housing crisis, but what effects will they have? Find out here. 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These are the 12 Government Measures to Improve Housing Access in Spain. Voici les 12 mesures du gouvernement pour am\u00e9liorer l'acc\u00e8s au logement en Espagne. Ecco le 12 misure del governo per migliorare l'accesso alla casa in Spagna. Estas s\u00e3o as 12 medidas do Governo para melhorar o acesso \u00e0 habita\u00e7\u00e3o em Espanha. 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