Spain's rental decree puts tenants first in family sales
A landlord in Spain who wants to sell a rented home to their child must first offer it to the tenant on the same terms, according to landlords’ group Asval. The group criticised the new Spanish housing decree in Madrid on 7 October 2026, warning that it could shrink the supply of rental homes and create legal uncertainty.
Family sales and property purchases
The decree strengthens tenants’ right of first refusal when a rented home is sold. Asval says tenants can no longer waive that right, even if the buyer is the owner’s child, partner or another relative.
The decree also extends a restriction on certain home purchases from 2028 to 2030. It applies to companies and other legal entities with more than ten homes, or at least five in areas designated as having strained housing markets. Asval objects that the rule does not distinguish between investment funds, smaller businesses and family companies.
Longer leases and unpaid rent
Some rental contracts can be extended by up to two years, Asval says, or up to three years in strained housing markets. Where landlord and tenant do not agree on a rent change, the increase is capped at 2% unless a lower limit applies.
The group also raises concerns about some evictions for unpaid rent. If a tenant is in a vulnerable position and the authorities provide neither another home nor payment to the owner after two months, Asval says the owner cannot reclaim the property. The contract remains in force while that vulnerability continues.
Tax changes and the housing shortage
Asval says a change to income-tax relief on rental earnings disadvantages owners who adjust rents to market rates. It also criticises a property-tax surcharge of up to 50% on empty homes, which can reach 100% for owners of four or more properties.
The group points to a shortage of 750,000 homes in Spain, a figure it says the decree itself cites. Instead of further restrictions, it calls for more building, land made available for housing, investment and closer work between the public and private sectors.
Source: Europa Press / Mallorca.com