Spanish Congress demands Repeal of Housing Law amid Price Concerns
Madrid, Spain – September 17, 2025 – The Spanish Congress of Deputies has formally requested the government repeal the recently enacted Housing Law, citing evidence that the legislation has contributed to rising housing prices and an increase in illegal property occupations.The demand, issued today, reflects growing dissatisfaction across political lines regarding the law’s impact on the Spanish real estate market.
Introduced in May 2023,the Housing Law aimed to address housing affordability and increase access to rental properties. Though,critics argue the regulations-including rent control measures and limitations on evictions-have had the unintended consequence of discouraging investment in the rental sector and driving up prices in areas not directly regulated.The Congress’s call for repeal underscores a deepening crisis in housing accessibility and the potential for further economic disruption.
According to reports presented to the Congress,average rental prices have increased by 8.7% nationally as the law’s implementation, with some major cities experiencing double-digit growth. Together,data indicates a 15% rise in reported cases of okupación – illegal squatting – as landlords,facing restrictions on eviction processes,become hesitant to rent properties.
“The law, intended to protect vulnerable citizens, is ironically making it harder for everyone to find affordable housing,” stated Congressman Javier Muñoz, a leading voice in the repeal effort. “We need policies that encourage construction, attract investment, and respect property rights, not measures that stifle the market and incentivize illegal activity.”
The government, led by Prime Minister Pedro Sánchez, has yet to respond to the Congress’s demand. Though, sources within the ruling coalition suggest a willingness to consider amendments to the law rather than a full repeal. The debate is expected to intensify in the coming weeks, with potential implications for the stability of the housing market and the government’s broader economic agenda.