Spain to move host of rent-lowering measures

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MADRID, Oct 5 (Reuters) – Spain’s coalition authorities agreed on Tuesday on a draft legislation to regulate rents via a mixture of coercive measures and tax incentives.

“The new bill seeks to contain the price of rents and reduce it,” recently-appointed presidency minister Felix Bolanos advised a information convention on Tuesday. Part of Bolanos’s job is dealing with the connection with parliament, which should ratify the invoice.

The new invoice would come with tax incentives for small landlords who reduce the rents they cost and would enhance property taxes on homes left empty by their landlords, the minister advised reporters after the weekly cupboard assembly.

The draft legislation would require 30% of new-build housing initiatives to be put aside for social housing, he stated.

The invoice on housing is a part of a wider settlement between the Socialist Party and the far left Unidas Podemos, the ruling coalition companions, who had been bickering for weeks over subsequent yr’s price range invoice.

The 2.25 billion euro ($2.61 billion) housing price range introduced by prime minister Pedro Sanchez on Tuesday contains 1 billion euros to broaden Spain’s social housing inventory which, at round 2% of nationwide inventory, is way decrease than in different European nations.

The housing laws would additionally permit areas to order landlords with greater than 10 properties to decrease rents in areas with excessive demand, a supply at Unidas Podemos stated on Tuesday.

The authorities additionally plans to grant a 250-euro month-to-month bonus for low-income folks age 18 to 35 to assist them pay their rents and depart their mother and father’ residence, a crucial challenge in Spain.

The authorities stated it might disclose extra particulars on the invoice in coming days.

($1 = 0.8621 euros)

Reporting by Belen Carreno, Inti Landauro, Clara-Laeila Laudette and Emma Pinedo; Editing by Nathan Allen and Ed Osmond

People walk past an apartment complex that advertises