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The new renting law was approved by the Cabinet last March: it substantially modifies the relation there was between landlords/owners of the property and tenants.

If you feel alluded, we encourage you to keep reading!

¿How to rent properly according to the law?

Nowadays, renting a place is a huge deal due the high increase of the rental price.

This new law is meant to balance the supply and demand of the property renting.

Controlled increase of prices and longer contracts:

From now on, the price property will be only able to increase as much as the IPC does, meaning that the landlord will not be able to modify it as long as he signs an agreed price contract. Moreover, the initial duration has been extended in time from 3 to 5 years for the citizens and for legal entities up to 7 years.

In the assumption that any of the parts reports the contract termination, it will be tacitly extended up to three years.

Finally, the minimum period for the landlords of notice in case of leaving the property is set to 2 months for the tenant, and 4 months for the owner.

The bail:

One of the most controversial points about the rents is the high amount of bail that needs to be delivered; until now it was not properly regulated so the amount was up to the landlord’s will.

The new regulation stablishes a three-month period of renting as maximum, even though there can be added two more months as guarantee. Moreover, the new law is willing to let the Autonomous Communities to handle these bails in order to stablish more financial transparency.

Bonus and penalties

The Government allows the Autonomous Communities to define and stablish the penalties to those landlords whom owns empty properties, through the IBI. This charge is already stablished in some cities. But, for the properties assigned to be rented, there is a bonus of 95% IBI (although there is a maximum rent amount).

Other interesting facts

The management of touristic apartments is handled by the Autonomous Communities, existing the right of veto for those owner’s communities in order to limit 3 out 5.

Talking about evictions, it is mandatory to be announced the time whenever it will be executed. Anyway, for those families in social risk there exists special measures such as the standstill of the eviction and the solution search from the social services in a month time.

We welcome you to share this interesting article about the new renting law for landlords.

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