Spain rejects two housing decrees amid rent warnings

Two government housing decrees fail in Spain’s Congress: a rental guarantee group says they would have raised the risk of unpaid rent. In a statement issued in Madrid on 2 October, the Sociedad Española de Alquiler Garantizado (SEAG) welcomes their rejection.

SEAG says the measures could have left fewer homes available for ordinary rental. Faced with more rigid contracts, some owners might have sold their properties, left them empty or put them to other uses. Others might have set tougher requirements for tenants, making it harder for young people, temporary workers and households with irregular incomes to rent.

The group argues that uncertainty over how long it takes to recover a property and claim unpaid rent adds to an owner’s financial risk. It says that risk can lead to higher prices, demands for stronger guarantees or a decision not to let the property at all.

SEAG wants faster procedures when rent goes unpaid, closer work with social services and publicly funded housing options for tenants in difficulty. It also wants owners to be able to recover their properties and outstanding rent within a reasonable time.

Topics: Housing · Social affairs · Politics · Economy

Source: Europa Press / Mallorca.com