Sánchez approves migration reforms to speed expulsions
The government approved changes to asylum and immigration laws that speed up expulsions. CEAR called the reforms "regressive" and tougher than the EU Migration and Asylum Pact requires. The move follows the late-July mass entry of about 80,000 people into Ceuta, which left 8,000 foreigners stranded. Sánchez will appear in Congress on September 3. The changes affect asylum procedures and legal protections for foreign residents.
Mortgage signings hit 16-year high for June as debt rises 34%
Spain's mortgage market recorded its best June in 16 years with 45,907 loans signed, up 10.8% year-on-year. The average mortgage reached €178,365, 6% more than a year ago and 34% more than in June 2020. The average interest rate was 2.96%, with 61.7% of loans at fixed rates. Buyers are taking on larger loans and higher monthly payments.
ECB signals more rate hikes as inflation tops target
The ECB is expected to raise interest rates again, making loans more expensive. Board member Isabel Schnabel said inflation may remain above 2% for a prolonged period because of energy costs and a resilient economy. Natural gas prices have doubled since the start of the war in Iran. Eurozone inflation returned to 3% in July, while rates stand at 2.4%. For borrowers with variable-rate mortgages, more hikes mean higher monthly payments.
Home sales fall for eighth consecutive month but prices rise 9%
Home purchases fell 4% year-on-year in June to 67,259 transactions, the eighth consecutive monthly drop. Prices rose almost 9% to €2,114 per square meter, driven by scarce supply and strong demand. Prices rose in 15 of 17 regions, led by Cantabria (41.6%), Murcia (22.1%), Valencia (21%) and Madrid (19.5%). This makes affordability harder for buyers.
Hacienda: declare family transfers over €10,000
Bank transfers over €10,000 that are considered donations must be declared to Hacienda for the Inheritance and Gift Tax. Transfers over €6,000 are analyzed under anti-money laundering rules. Fines for undeclared donations range from €600 to 50% of the donation's value. The rules apply to the Impuesto sobre Sucesiones y Donaciones (ISD).
Banks cut loans covering over 80% of home value
The share of mortgages financing more than 80% of a home's price fell to 9.6% in Q2 2026, from 11.6% a year earlier, the lowest since late 2024. That equals about 12,000 mortgages. The historical peak was 18% in March 2006, and the minimum was 6.1% in September 2023. Tighter lending means buyers need larger down payments.
Pension spending hits record €14,470 million in August
Spain's pension spending reached a record €14,470 million in August, up 6.2% year-on-year. The system paid 10.5 million pensions to more than 9.5 million beneficiaries. The average pension was €1,373.4, up 4.6%, while the average retirement pension was €1,575. The average retirement age rose to almost 66 years. The rising bill and later retirement age matter for anyone planning to retire in Spain.
Social Security switches disability notices to electronic from September 1
From September 1, Social Security will send electronic notifications for temporary and permanent disability procedures instead of postal mail. Recipients have 10 calendar days to open them before they are considered delivered. Access requires Cl@ve, a digital certificate or electronic DNI. The change affects people requesting or receiving disability benefits.
Vox regional leaders boycott conference on Ceuta migrant minors
Vox regional vice presidents in Castilla y León, Extremadura and Aragón will not attend the Infancy Sector Conference. They will legally challenge each file that does not involve returning unaccompanied minors to Morocco. The conference will discuss a €25 million transfer for Ceuta and the relocation of 500 minors, out of about 1,500 currently there.
Ceuta protests end with warning shots as Morocco revives claims
More than 2,000 people marched in Ceuta against government inaction after the mass migrant entry, demanding resignations. Police fired warning shots after radical groups caused tension at Trampolín beach. Separately, Morocco revived its historical claims over Ceuta and Melilla, but experts see the move as opportunistic and unlikely to escalate.
Niño Becerra: no housing bubble, just runaway prices
Economist Santiago Niño Becerra says Spain has no housing bubble but prices are out of control. He attributes high prices to residential demand exceeding supply and to limited investment alternatives. Young people are hit hardest by high housing costs. For buyers, that offers little short-term relief.
Back-to-school spending averages €2,484 per child
The OCU estimates families will spend an average of €2,484 per child for the 2026-2027 school year, up about 6% from last year. Public school costs €1,294, concertado €3,450, and private school €8,761. Madrid leads at €3,512 per child, followed by Cataluña at €2,994. The survey included 773 parents with children aged 3 to 18.
