Housing Decree to Restrict Investor Purchases and Offer Tax Breaks for Landlords and Tenants

The Executive aims to stabilize the rental market with measures that limit speculative purchases by investment funds and offer tax incentives to those who lower rents, while also protecting tenants.

The government has greenlit a package of housing market measures intended to curb speculative purchases by investment funds and, at the same time, incentivize landlords and tenants. The idea is that restrictions on funds will focus on so-called "speculative purchases," while tax bonuses will be available for those who rent at lower prices and for tenants who have been bearing a high economic burden.

## Restrictions on Purchases by Funds

The new regulations plan to set limits on the acquisition of homes by investment funds, particularly when these purchases are considered speculative. The goal is to prevent large holders of real estate assets from disproportionately influencing the market, seeking greater stability in prices and access to housing.

## Incentives for Affordable Rentals

On one hand, tax bonuses will be implemented for landlords who decide to reduce their rental prices. This measure aims to encourage lower rents in areas where prices have soared. On the other hand, tenants will also benefit from tax incentives designed to alleviate the economic burden of monthly rent payments, thus allowing an immediate reduction in financial load.

## Tenant Protection and Aid

The decree also includes a set of measures aimed at strengthening tenant protection. Conditions for evictions will be tightened to prevent situations of extreme vulnerability. Furthermore, the construction of social housing will be promoted, and the issue of seasonal rentals and tourist apartments will be addressed, with the intention of ending fraud in short-term contracts and applying a **21%** VAT to tourist apartments.