ROYAL DECREE LAW 21 /2018 OF 14 DECEMBER, ON URGENT MEASURES IN THE FIELD OF HOUSING AND RENT
- The entry into force will be on 19 December 2018 and the amendments to the rules governing the leases will be those signed as from this date.
- The application of the LAU itself is maintained, but an exception is made in the case of leases of housing with a surface area of more than 300m2, where the will of the parties prevails and, failing that, the Law and the Civil Code.
- All rentals, regardless of the marketing channels, are subject to the tourism sector regulations.
DURATION OF THE CONTRACT
- The minimum duration of 5 years is returned to when the lessor is a natural person, with the novelty that it will be 7 years if it is a legal person.
In other words, whatever the term of the contract, as long as it is less than five years, the lease can be extended to these five years, if the tenant so wishes, even if there is opposition from the lessor.
- Renewals will be annual and always up to that term, unless the tenant declares his willingness not to renew. The extension period is also extended if, after 5 or 7 years, there is no communication from the parties of non-renewal with a minimum of 30 days notice, going from 1 to 3 years.
DEPOSIT
- The right to require a monthly deposit for housing rent and two for other uses is maintained.
- During the obligatory duration of the contract there will be no updating of the deposit, but there will be in the cases of extension in the case that there is an agreement between the parties.
- The deposit will be returned within one month from the delivery of the keys, otherwise it will accrue legal interest. The maximum additional guarantee that can be requested in 5-year or 7-year leases is two monthly payments.
Finally, the fiscal measures are as follows:
- IBI: public entities that charge IBI when renting a property with limited income are exempted.
With respect to unoccupied dwellings, local councils are allowed to apply the corresponding surcharge according to the period of unoccupation. And an optional subsidy is created for rented housing with limited income of up to 95% I
- TPAJD is exempt from renting property for stable and permanent use, operations of which the tenant is a taxable person.
If you would like us to take care of this for you from our office, please contact
93 820 53 73 Mònica Lasheras
