In brief
Following the controversial removal of an 87‑year‑old resident from her Madrid flat, Spain’s coalition government announced a package of housing reforms aimed at protecting tenants and curbing real‑estate speculation. The measures include an immediate ban on evictions until 2030, automatic roll‑over of rental contracts through 2028, tighter rules for short‑term and room rentals, and a prohibition on investment firms purchasing residential property. While Health Minister Mónica García hailed the decree as a turning point for five million people, opposition voices warned that the package disproportionately leaves small landlords exposed. The reforms come against a backdrop of a 700,000‑unit housing deficit, soaring rents and an escalating debate between left‑leaning and centre‑right parties over the role of the state in the housing market.
Sparks of public outrage ignited across Spain when a government‑run eviction team removed an 87‑year‑old woman from her Madrid apartment on a stretcher. The incident, widely circulated on social media, galvanized demonstrations in Madrid, Barcelona, Seville, Malaga and Cadiz, demanding urgent relief for increasingly impoverished tenants.
In a swift response, the coalition cabinet – led by Prime Minister Pedro Sánchez – approved two decrees on Tuesday. Chief among them is a nationwide ban on evictions effective until 2030. The law also institutes automatic contract renewals through 2028, tighter regulation of short‑term rentals and a prohibition on investment firms – dubbed "vulture funds" by critics – from purchasing residential property.
Health Minister Mónica García characterised the package as a “first step towards economic and social transformation”, emphasising that it protects more than five million Spanish citizens. She thanked the street protesters for bringing the crisis to the front of the national agenda.
However, opposition heralds concerns. Centre‑right spokesperson Míriam Nogueras warned that the blanket ban would deprive many small landlords of the right to recover costs. She criticised the lump‑sum treatment of all investment purchasers as “a mistake”.
The decrees are active immediately but must receive congressional approval within 30 days. Political analysts note that the government’s slim majority will require support from the Junts party to pass the measures into law.
The reforms echo previous attempts, such as a failed 2024 decree to roll over rental contracts that rights‑leaning parties blocked. The new package, deemed “bold” by Social Rights Minister Pablo Bustinduy, reflects the heightened pressure from tenant unions, who have amplified their calls for a robust policy response in the wake of the Maricarmen Abascal case.
Spain’s housing crisis is acute: a 700,000‑unit shortfall estimates the Bank of Spain, while rents have surged 8.5% in 2025 and house prices rose 12.2% in the past year. Madrid and Barcelona remain the most expensive markets for renters.
The central question now is whether the social momentum created by the eviction will overcome parliamentary hesitancy. Should the reforms be ratified, they could herald a new era of tenant protection, alter the speculative real‑estate market, and reshape Spain’s housing policy framework for the next decade.
