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News
Most outstanding proposals of the Housing Law 2021
“
09
NOV
Most outstanding proposals of the Housing Law 2021
Source: self made
Although it must still go through Congress and we will surely see adjustments, the Housing Law proposed by the Government already brings concrete measures that, if implemented, will entail changes in the market and to which we must pay attention. These are the most prominent keys of the central government's proposal for the housing market, although many of them must be executed (and therefore approved) by local and regional governments:
1. Control of rental prices in "stressed areas"
The so-called “large owners”, that is, owners with more than 10 homes, must adjust the rental price of their homes to the reference index of the area if it is classified as a stressed area.
The declaration of stressed zone will be made for a minimum duration of three years and is the responsibility of the State and the Autonomous Community. It is calculated by comparing the average income of the inhabitants of the area and the average rental price. This must not exceed 30% of income.
2. Tax advantages for owners due to reductions in the rental price
The proposal speaks of tax credits of up to 90% in personal income tax for small owners (those with less than 10 rental homes) that lower the rental price with respect to the previous contract.
3. Taxes on vacant homes
The Government will allow the City Council (which will then decide whether to apply it or not) to increase the IBI to 150% for empty homes in order to promote their entry into the rental market.
Although there is no official definition by the government, the term Empty House is explained by the National Statistical Institute (INE) as “A family home that is neither the habitual residence of any person nor is it used seasonally, periodically or sporadically by nobody. These are uninhabited houses "
4. Youth aid vouchers
A two-year monthly voucher will be activated for young people (from 18 to 35 years old) whose income is less than 23,725 euros. The aid will be € 250 and will be compatible with other direct rental grants from the different administrations.
5. Obligatory nature of promoters to allocate part of the product to VPO and rental
The central government raises the possibility of forcing the developers to allocate 30% of the homes to VPO in their new construction projects and half of this percentage to the rental market in exchange for compensation in the form of land. in the town.
Although it must still go through Congress and we will surely see adjustments, the Housing Law proposed by the Government already brings concrete measures that, if implemented, will entail changes in the market and to which we must pay attention. These are the most prominent keys of the central government's proposal for the housing market, although many of them must be executed (and therefore approved) by local and regional governments:
1. Control of rental prices in "stressed areas"
The so-called “large owners”, that is, owners with more than 10 homes, must adjust the rental price of their homes to the reference index of the area if it is classified as a stressed area.
The declaration of stressed zone will be made for a minimum duration of three years and is the responsibility of the State and the Autonomous Community. It is calculated by comparing the average income of the inhabitants of the area and the average rental price. This must not exceed 30% of income.
2. Tax advantages for owners due to reductions in the rental price
The proposal speaks of tax credits of up to 90% in personal income tax for small owners (those with less than 10 rental homes) that lower the rental price with respect to the previous contract.
3. Taxes on vacant homes
The Government will allow the City Council (which will then decide whether to apply it or not) to increase the IBI to 150% for empty homes in order to promote their entry into the rental market.
Although there is no official definition by the government, the term Empty House is explained by the National Statistical Institute (INE) as “A family home that is neither the habitual residence of any person nor is it used seasonally, periodically or sporadically by nobody. These are uninhabited houses "
4. Youth aid vouchers
A two-year monthly voucher will be activated for young people (from 18 to 35 years old) whose income is less than 23,725 euros. The aid will be € 250 and will be compatible with other direct rental grants from the different administrations.
5. Obligatory nature of promoters to allocate part of the product to VPO and rental
The central government raises the possibility of forcing the developers to allocate 30% of the homes to VPO in their new construction projects and half of this percentage to the rental market in exchange for compensation in the form of land. in the town.
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