Gonzalo Bernardos, economist and professor at the University of Barcelona, says the government’s proposed housing decrees could make Spain’s rental market more difficult for tenants and landlords to handle. Spain’s Congress rejected two emergency housing decrees on October 2, 2026. That means proposed measures such as rent-cap extensions and contract renewals are no longer in effect, Idealista reported.
Bernardos says the new rules “harm new tenants, tenants renewing contracts and landlords.” People searching for a home, he warns, will find it “much more difficult to find a flat.” Owners are already withdrawing their properties from the market, he says, as legal uncertainty drives them away.
He argues that the two decrees “increase the risk of renting for landlords and reduce profitability.” Many landlords may decide renting is not worthwhile. Some may leave their homes empty; others may sell. They want stability before acting.
The figures point to a limited supply of public housing. Spain had 318,000 public homes in 2025, equal to 1.2% of all housing and 1.6% of households. The country has more than 27.5 million residences, while public rental housing remains a tiny fraction. Bernardos voiced his frustration: “What a disgrace!”
Bernardos has warned about this before. Russpain previously reported his concerns about a “silent strike” by landlords. He says the new proposals worsen the situation: owners have less reason to rent, while tenants face more hurdles. The Bank of Spain put the gap between new housing construction and the formation of new households at approximately 750,000 units between 2021 and 2025. The figure points to a structural shortage, not one caused solely by landlord decisions or rental regulations.
Spain’s high taxes and lack of public housing leave families with few choices. The government says it wants to protect renters, but Bernardos believes the opposite could happen: more private homes could disappear from the market. If legal uncertainty continues, he advises landlords to wait for a stable law or sell. Without progress on low supply and legal instability, the rental market may stay stalled, leaving both sides worse off.