The government's second Royal Decree-Law makes rental contracts de facto indefinite. Landlords who fail to extend a contract would have to compensate tenants with up to 12 months of rent. The text has been sent to parliamentary groups but was not published in the BOE on Wednesday, and support from Junts remains uncertain.
Holiday rentals under 30 days will be charged 10% VAT from December 1, treating them as a business activity for the first time. Town councils may also double the IBI property tax on tourist flats. The reduced VAT rate applies only when landlords do not provide hospitality services such as restaurant service or cleaning.
The housing decree raises deductions to 100% for landlords who lower rents and adds a 10% IRPF deduction for certain tenants. It also launches a 'Tu Casa' mechanism with loans of up to €50,000 at 0% interest for a first home.
Average rents in Spain climbed 43% between 2015 and 2024, nearly double salary growth over the same period. A flat rented for 800 euros nine years ago now costs at least 1,144 euros. Tenants now pay 5% more than a year ago, 10% more than in 2022, and 15% more than in 2021.
The Euribor averaged 3.24% in September, its highest level since July 2024. Families with an average 180,785-euro mortgage that is revised annually will pay 105 euros more per month, or 1,260 euros more per year. For a 300,000-euro mortgage, the increase reaches nearly 172 euros a month and about 2,074 euros more per year.
Until December 31, 2028, entities whose corporate purpose includes acquiring properties cannot buy homes for less than 70% of their market appraisal value. The restriction targets speculative bulk purchases of residential property.
Chinese electric car battery projects in Spain total 8,365 million euros and 7,490 jobs. Gotion High-Tech will pay 1,100 million euros for 49% of the Sagunto gigafactory owned by Volkswagen's PowerCo. The plant is expected to start operating in early 2027 with 1,500 initial employees.
The average user on the PVPC regulated tariff paid 104.31 euros in September, up 28% year-on-year and the highest for that month since 2022. Facua estimates the newly approved tax cut would have lowered the bill by 13.65 euros to 90.66 euros. The profile used has 4.4 kW of contracted power and monthly consumption of 366 kWh.
Gasoline averaged 1.934 euros per liter on Tuesday, 11.6% more than on August 31. From October until year-end, a fuel discount applies: 20 cents per liter in October, 13 cents in November, and 6 cents in December. Diesel has stabilized near 1.93 euros per liter.
Spanish payment platform Bizum and other European instant transfer networks have chosen Madrid as the headquarters of a new company, European Network for Payments. The alliance includes Bancomat, SIBS-MB Way, EPI, and Vipps MobilePay. The shared infrastructure aims to be operational next year.
Italy is extending border checks on passengers arriving from Spain by sea or air for another 15 days, citing persistent conditions after the mass entry of migrants into Ceuta in late July. Travelers may face additional checks on routes to Italy.
From October 1, drivers must yield to pedestrians on single-platform streets even where there is no crosswalk. The change under Royal Decree 518/2026 aims to protect elderly people and people with disabilities. It also adds protections for cyclists, motorcyclists, and electric scooter users.
The government denies a claim by the president of Ceuta, Juan Jesús Vivas, that he tried to contact Sánchez's office ten times before large numbers of migrants entered Ceuta in late July. Government sources say phone records exist and warn that he is playing a very dangerous game.
AEMET has issued a warning for very heavy and persistent showers from Thursday until at least Monday across the eastern third of the peninsula. A front will cross the peninsula from west to east, followed by cold air and Mediterranean humidity.
The film 'La bola negra' achieved the best Tuesday box-office performance in history for a Spanish film, helped by the 'martes sénior' offer allowing people aged 65 and over to pay 2 euros. It grossed more than one million euros on Tuesday and is expected to surpass one million viewers on Wednesday.
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