Spain scraps automatic tenancy renewals after hours

Spain’s automatic tenancy renewals last only a few hours. On Friday 2 October, MPs in Madrid vote 184 to 166 to repeal the government’s rental decree, which took effect at midnight. The vote also ends a proposed rule requiring some landlords who chose not to continue a tenancy to pay compensation.

The decree would have extended a tenancy in successive five-year periods once the contract had run for at least five years. Where the landlord was a company or other legal entity, the initial period and each extension would have been seven years. A landlord choosing not to continue the tenancy would generally have owed the tenant at least twelve months’ rent for a comparable home.

There were exceptions, including when an individual landlord needed the home for themselves or close family. The decree also kept extra extensions for tenants facing social or financial hardship and for homes in strained housing markets. Those measures fall with the decree.

The People’s Party, Vox, Junts, PNV, Coalición Canaria and UPN voted against it. PSOE, Sumar, ERC, Bildu, Podemos, BNG and Compromís voted for it. After the vote, Congress president Francina Armengol declared the decree repealed.

Topics: Jobs & labour · Housing · Politics

Source: Europa Press / Mallorca.com