The Ministry of Social Rights, Consumer Affairs and Agenda 2030, led by Pablo Bustinduy, has taken a firm step in the regulation of the rental market by sending letters to 541 large real estate companies and investment funds. These entities manage more than 50,000 rental homes and must obligatorily apply the extension of contracts in certain cases, as established by current regulations.
The measure is based on the decree approved last March 20, which introduces urgent measures regarding housing in response to the rental crisis and the rising cost of housing. This decree establishes that habitual housing rental contracts that end between March 22, 2026, and December 31, 2027, may be extended if the tenant so requests.
Specifically, the norm recognizes a new right for tenants: the possibility of extending their contract for annual periods up to a maximum of two additional years. This extraordinary extension must be obligatorily accepted by the landlord, maintaining the same conditions initially agreed upon, which represents a reinforcement of protection for tenants.
The Ministry has asked the affected companies for maximum diligence to ensure immediate compliance with the measure, urging them to adapt their internal procedures. The objective is to avoid abusive practices or delays that could harm tenants at a particularly sensitive time for access to housing.
A report prepared by Consumo in collaboration with the Consejo Superior de Investigaciones Científicas reveals that the rental market is widely concentrated: 61% of rented homes are in the hands of large landlords or multi-landlords, while small landlords represent 39%. Furthermore, only 4.9% of the population obtains rental income compared to 20.8% of tenants. This concentration is even greater in large cities such as Barcelona, Madrid or Valencia, where large holders dominate a good part of the market.
