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Spanish political debate over housing policy

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2026-10-05 06:14 UTC → 2026-10-05 11:14 UTC · added ~~removed~~

Political debate in Spain has intensified regarding housing legislation and tenant protections. In the Congress, the PP and Vox parties, alongside Junts, voted against two housing decrees intended to provide stability to renters and protect vulnerable individuals from evictions. Critics argue these measures fail to address the influence of large investment funds or provide structural solutions to the housing crisis. Controversy has persisted regarding the effectiveness of these decrees. Critics have noted that the legislation lacks a specific definition for ‘vulture funds’ and only prohibits certain entities from purchasing housing if the price falls below 70% of the market value. Furthermore, both the PSOE and PP have faced criticism for policies that allegedly prioritize investment profitability over social protections. The crisis has escalated as housing values reached a record high of 2,355 euros per square meter in the second quarter of 2026, representing a 48.3% increase since June 2018. Newer homes have seen price hikes exceeding 50%. Economic leaders and industry experts have expressed concern over current legislative approaches. Héctor Grisi, CEO of Santander Group, argues that the crisis stems from insufficient supply and calls for regulations that stimulate credit, reduce bureaucracy, and incentivize the availability of properties. Construction industry representatives have also emphasized that the deficit cannot be solved without increasing new builds and improving legal certainty for investors. While the government has introduced emergency decrees, critics maintain these measures are insufficient or poorly adapted to regional realities.

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