The Government has decided to expand its arsenal to alleviate the serious housing crisis that Spain is going through, a crisis marked by the decoupling between housing supply and demand, the rise in prices and a market so inaccessible that more and more young people find that the only way to have a home is to wait for their parents donate it.
A few weeks ago, during a speech in Congress, Pedro Sánchez advanced that the Executive wants recover aid for rent with option to buy. The measure is part of a broader plan with more legs, but in recent weeks it has generated as much expectation as skepticism. The reason: although there are still unknowns to clear up, everything indicates that the scope of the new aid will be limited.
What will the help consist of? What the Government plans is to offer aid up to 30,000 euros for rent with option to buy homes with permanent protection. The initiative is designed for young people from up to 35 years and its objective is that that amount ended up being discounted of the final price of the property, in case the tenant decides to buy it. “The aid will be used to pay the rent, which will allow the young person to save to own their home,” they need from the ministry.
When focusing on VPO, the focus is on properties that must conform to a series of requirements, such as respecting a pre-established price and certain guidelines when changing hands. “This means that if in the future you want to sell that home, you will have to do so at an appraised price and to a person who meets the same requirements as the previous owner,” explains the Government. “In this way we protect the homes paid for with state resources.”
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Do we know anything else? Yes. There are still details to be outlined, but we know that the measure is included in the State Housing Plan (PEV) for the period 2026-2030where it is combined with other proposals that aspire to “consolidate a public system of access to housing” and revolve around five major goals: creating more and better supply, reducing the rate of financial effort, focusing on stressed markets and lowering the age at which young people become independent.
As? To achieve that ultimate goal the PEV contemplates offer rental aid for the purchase of housing in municipalities of emptied Spain (La Moncloa speaks of 10,800 euros for localities “at demographic risk”), youth guarantees and “aid for renting with the option to buy housing with permanent protection of up to 30,000 euros.” Sanchez too has spoken of non-payment of rent insurance for young people. Support for VPO on a rent-to-own basis is not exactly new. It was already contemplated in the state housing plans 2005-2008 and 2009-2012.
How has the idea been received? Sánchez launched his announcement to mid octoberduring the interparliamentary meeting of the Socialist Group, but a quick Google search shows that in recent weeks it has generated some skepticism. Not so much because of the fear that it will end up causing an increase in rents (something that the leader of Sumar, Yolanda Díaz, reproached her for) but because of the doubts that exist about the real impact that the aid will have. The reason: in reality in Spain very few VPOs are built for rent with an option to buy. His mark is testimonial.
Are there so few? The official data published by Raquel Sánchez’s department speak for themselves. If we talk about protected housing for rent with the option to buy with “definitive qualification” (that is, already completed), the state registry shows only 2,300 over the last decade.
There are not many and they are concentrated in just seven autonomous communities. What’s more, there is not a single one between August of last year and June, a period of 11 months during which no home eligible to benefit from the aid announced by the Government was completed. If what we are talking about is “provisional ratings” (still under construction) the balance sheet is not buoyant either (less than 70 in the last 15 months). The data includes both VPOs from state and regional plans.
What do the experts say? Not everyone agrees. For Javier Burón, manager of Nasuvinsa, the key lies not so much in what has been built so far but in what is done for the future. That is, the effectiveness of the measure in stimulating supply. “There is an attempt to restart the machine for building protected housing, although focused on rentals, so it makes no sense to look at the past,” he explains in an interview with The Country. In fact 40% of resources of the PEV focus precisely on increasing the supply of protected housing on a permanent basis.
For Carolina Roca, president of the Association of Real Estate Developers of Madrid (Asprima), the reading is somewhat different. “The aid announced in the PEV has, once again, a conceptual error: we have a problem of supply of subsidized housing and not demand. The PEV should be aimed at increasing the construction of subsidized housing, so aid should go to supply rather than demand. What sense does it make to provide aid of 30,000 euros for a figure for which only 65 homes are built per year?” Roca asks in statements to the Idealista portal.
Images | Ronni Kurtz (Unsplash)
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