The Two New Housing Decrees: What Changes and When They Come into Force

The Council of Ministers has approved two new Royal Legislative Decrees on housing matters after the previous legislative package failed in the Congress of Deputies. Both regulations introduce significant measures for vulnerable buyers and tenants, but it is important to understand the legal scenario: they are not yet of immediate practical application, and their definitive continuity will depend on an extraordinary parliamentary vote within a maximum period of 30 days.

What Measures are Included in the Two New Royal Legislative Decrees

Although the definitive literal wording will be established with the publication in the BOE, the Government has structured this new package around three fundamental pillars that resume and adjust previous proposals:

• Public Guarantees and Loans for First Homes: A provision of 10,000 million euros is projected, aimed at facilitating access to purchase. The plan includes interest-free loans of up to 50,000 euros to cover the down payment and initial costs associated with the purchase of a main residence, primarily aimed at young people and families with medium and low incomes.
• Extraordinary Extension of Rental Contracts: Mechanisms are envisioned to safeguard the continuity of existing tenancies, preventing automatic contract terminations in areas with high price pressure.
• Reinforcement of Protection Against Evictions: The suspension of eviction procedures and removals is extended for households in a proven situation of social and economic vulnerability without alternative accommodation.

Practical Example: How the 50,000 Euro Loan Impacts a Property Sale

The barrier of prior savings continues to be the main obstacle to acquiring a property. In July 2026, according to the INE Mortgage Statistics, the average amount granted for mortgage loans on dwellings reached a record of 180,785 euros, with an average initial interest rate of 3.01 %.

Let's imagine an illustrative case to understand the potential relief provided by the approved measure:

• Purchase Price: 220,000 euros for a typical property in a mid-range market.
• Usual Bank Financing (80%): The bank grants a 176,000 euro mortgage.
• Required Initial Savings: 44,000 euros (the 20% not financed) plus approximately 22,000 euros in taxes (ITP or IVA) and registration and notary fees. A total of about 66,000 euros in upfront liquidity.
• Impact of the Interest-Free Loan: If the buyer accesses the 50,000 euros of official zero-interest aid, the personal savings they must contribute initially decrease from 66,000 euros to 16,000 euros, transforming an unfeasible operation into a formalisable purchase.

The Role of the Permanent Deputation: What Happens with the Processing

The processing of these two legislative decrees is atypical due to the institutional situation. As the General Courts are dissolved due to the election call, the Plenary of Congress cannot meet for the validation debate.

The Spanish Constitution establishes that, during periods of dissolution of the Chambers, the Permanent Deputation assumes the competencies. This reduced body has a non-extendable period of 30 days from promulgation to submit the texts for a vote:

1. Publication in the BOE: The legislative decree comes into force on the date determined by the text itself (usually the day after its publication).
2. Provisional Validity: During the period of up to 30 days, the provisions have the force of law and are binding.
3. Definitive Vote: If the Permanent Deputation votes in favour, the decree is permanently validated. If it does not gather the required majority, it is immediately repealed.

The Property Market Where the Decrees Land

This regulatory movement occurs in a scenario of significant property price increases and consolidated interest rates. According to the INE House Price Index (IPV), in the second quarter of 2026, existing homes registered a year-on-year increase of 12.2%, with second-hand properties rising 12.9% year-on-year and new build properties 7.4%.

At the same time, financing maintains demanding levels for households: the Banco de España set the 12-month Euribor at 3.247% in September 2026, linking three consecutive months of increases. This conjunction of rising prices and rates above 3% explains the urgency of providing liquidity to young buyers and cushioning rental contract expirations.

How Owners, Buyers, and Tenants Should Act

Given the uncertainty generated by regulations pending ratification, it is advisable to act with technical prudence and avoid hasty decisions:

• Buyers: Do not sign a deposit contract (arras) conditioning the purchase exclusively on receiving the 50,000 euro interest-free loan until the regulatory bases, collaborating entities, and access conditions have been published in the BOE. Always include a termination clause linked to the effective obtainment of financing.
• Owners with Expiring Contracts: Review the exact wording of the extensions in the BOE before communicating non-renewal of a rental. Acting without verifying the validity of the regulation can lead to the nullity of the requirement.
• Tenants: If your contract expires in the coming weeks and your situation falls within the assumptions of vulnerability, consult the official publication to verify if you can reliably request the legal extension.

In matters of high contractual and financial sensitivity, it is advisable to verify the situation of each property with a real estate professional or a registered legal advisor before signing new commitments.