Spanish Congress votes on two housing decrees as poll shows 67.5% favor rental caps

Parliamentary vote and decree measures

The Spanish Congress of Deputies votes on Friday, 2 October 2026, to validate two housing royal decree-laws approved by the Council of Ministers on Tuesday. The first decree suspends evictions of vulnerable citizens without alternative accommodation until 31 December 2030. It introduces extraordinary relief mechanisms requiring regional administrations to cover unpaid rent if they do not provide alternative housing within two months. The decree also offers 330 million euros in personal income tax deductions for small landlords, allowing reductions between 70% and 100% for those cutting rents by more than 5%, and establishes the TU CASA program providing 0% interest loans up to 50,000 euros for home buyers. A second decree introduces automatic, indefinite renewals for existing rental contracts.

Cross-party negotiations and political resistance

Housing Minister Isabel Rodríguez spent months negotiating the text with parliamentary partners, incorporating concessions to balance competing demands across the chamber.

I know that for them it has been difficult to make some renunciations, but we have achieved a balance, a text where the majority of Spaniards, whoever they vote for, can see themselves reflected.

Despite government officials stating that Junts influenced up to 80% of the draft, the Catalan party announced its intention to vote against the decrees late on Thursday night. At the same time, left-wing parties criticized the tax breaks for landlords, while conservative groups opposed automatic lease renewals as an infringement on private property. A proposed reform to the national land law, backed by the Basque Nationalist Party (PNV) and real estate developers to accelerate construction, was removed before the cabinet meeting after Podemos threatened to reject the bill if it remained included.

In these cases, the useful thing is to be pragmatic with partial victories rather than the epic of total defeats.

Public opinion and market polling

A 40dB survey of 2,000 respondents conducted between 25 September and 28 September for EL PAÍS and Cadena SER found that 67.5% of Spaniards favor price caps on rental housing, even if this lowers landlord profitability. Support for rental caps extends across the political spectrum, registering 95.8% among Sumar voters, 85.4% among Podemos voters, 82.6% among PSOE voters, 56.5% among PP voters, and 55.2% among Vox voters. Furthermore, 56.5% of landlords surveyed back price caps, whereas 21.7% of total respondents prefer unregulated market pricing. Housing now ranks as the country's second-highest public concern behind inflation, rising from fourth place in April 2023. Additionally, 82.4% of surveyed respondents support expanding public housing stock, and 79.7% support tax incentives for landlords who offer affordable rents.

Structural housing deficit

Data from the Bank of Spain indicates that Spain accumulated a deficit of roughly 750,000 homes between 2021 and 2025 due to household formation outpacing new residential supply. Bank of Spain sub-governor Soledad Núñez noted that this shortfall could grow by an additional 300,000 units between 2026 and 2028, pushing the national deficit above one million homes, primarily concentrated in Madrid and Barcelona. Academic and industry figures, including Pompeu Fabra University professor José García Montalvo and APCEspaña president Xavier Vilajoana, argued that the decrees do not resolve structural shortages without addressing municipal land release and the stalled land law reform.