Spain backs €50,000 home loans, rejects rent plan
Up to €50,000 towards a first home: a vote in Madrid on Thursday, 12 November, backs a loan scheme but rejects a separate plan for longer rental contracts and compensation for tenants. Spain’s Congress standing committee approves the wider housing decree by 35 votes to 34. It votes down the second decree after the Basque Nationalist Party joins its opponents.
Loans and eviction protection go ahead
The approved decree includes loans of up to €50,000 for a first home through the “Tu Casa” scheme. Spain’s Official Credit Institute will run it, with €10 billion set aside.
It also bars evictions of vulnerable people who have nowhere else to live until 2030 and provides for automatic extensions of rental contracts throughout 2028. A separate €400 million fund will support housing provided by social organisations.
Longer contracts fail the vote
The rejected decree would have extended a rental contract by another five years once it had run for five years. Where the landlord was a company, the initial period and the extension would each have been seven years. A landlord ending the contract would have had to pay the tenant a year’s rent in compensation.
The Basque Nationalist Party backed the wider housing decree but opposed this one, saying the proposed compensation was excessive. The standing committee held the votes because parliament has been dissolved ahead of the 29 November general election. The loans and protections in the approved decree survive; the longer extensions and compensation do not.
Source: Europa Press / Mallorca.com