More Protection For Landlords in Spain - PropertyBlawg

More Protection For Landlords in Spain

by David Lorenzo on August 15, 2013


Last week, the Spanish Chamber of Deputies approved the “Law on Measures Promoting Flexibility and the Rental Housing Market”. The aim of this reform is to achieve a balance between the rights of tenants and landlords, reinforcing the figure of the owner streamlining the housing market.

This Act amends the Tenancies Act in the following key points:

• The lease term is reduced from five to three years and mandatory extension from three to one tacit renewal. Thus, landlords and tenants can more easily adapt to any changes in your personal circumstances.

• It also modifies the recovery of the leased property to be bounded for permanent living in certain cases, requiring that had passed at least the first year of life of the contract, without express provision therein, providing greater flexibility to lease.

• It also sets the expectation that the tenant can cancel the contract at any time after the expiry, of at least six months by providing the landlord with a minimum of thirty days. It recognises the possibility that the parties may agree to compensation for cancellation.

This Law also modifies the eviction process to speed it up, so, it sets that within ten days after the landlord goes to court to lay claim, the tenant pay his debt or present allegations, if the defendant does not comply with the payment order or they fail to appear, they will be allowed to terminate the trial and proceed to eviction.

As we can see, the Spanish Government is trying to energise the Property Market, but will these measures have effects in the current economy situation?

David Lorenzo-Spanish Lawyer UK
Foreign Law | Birchall Blackburn     

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