For several years, the number of people living in rented accommodation in Spain has been increasing. The recent new real estate laws have introduced fiscal measures and new legal aspects concerning the duration of the contract or the eviction of the tenant, in order to protect the tenant but also to protect the owners. However, there are many doubts about what is legal to do and what is not. Is it possible to negotiate the price of a rental property in Spain? Is it mandatory to leave a deposit for a rental? Does the landlord have the right to terminate the lease? So many questions to which it is important to know the answers in order to avoid unpleasant surprises. Even if some rules are common sense, it is essential to know what your rights and obligations are as a tenant in order to avoid unpleasant surprises. Here’s everything you need to know about the rights and duties of tenants.
Rights of the tenant
Negotiate the rental price and the duration of the lease contract
In Spain the owner and the tenant can agree before the signing of the lease the duration of the contract and the price of the monthly rent. During the term of this lease, the rent can only be updated each year and under the conditions agreed by the two parties, generally at a rate fixed by the State. The rate of increase may nevertheless be agreed between the tenant and the owner.
Extend the duration of the contract
The day of the end of the contract, it is extended for periods of one year until the rental has reached a minimum of three years (forced extension) and unless the tenant communicates with a at least 30 days notice before the final date of the contract or extensions, its termination.
For contracts in which no duration is stipulated, it is agreed that the duration of the lease is one year with the right of extension up to three. If, after these three years of the contract, neither the owner nor the tenant notify the will to terminate it 30 days before the end date of the lease, it will be extended by one year (automatic tacit extension).
Terminate the rental contract when necessary
In Spain the tenant has the right to terminate the contract after six months, provided that the owner is notified at least 30 days in advance. In this case, and if this has been agreed in the contract, the tenant must compensate the owner of an amount equivalent to a monthly payment of the rent in force for each year of the contract which remains to be executed. For periods of less than one year, compensation will be proportional.
The rights and duties of tenants in Spain will no longer hold any secrets for you
Recover the deposit if there is no damage
Once the contract has ended, if the property is in good condition and there are no debts with the services (water, gas, electricity), the owner will ask the agency in charge of the deposit to return it to the tenant. In Spain this will be transferred to the tenant within a maximum of one month after the return of the keys. If the landlord takes longer to return the deposit then the tenant can claim interest.
Remain a tenant despite a change of owner
Tenants whose dwellings are registered in the land register and occupied by themselves, their spouses who are not legally separated or de facto, or their dependent children, have the right to keep the contract with the same rights and obligations. Otherwise, and if the new owner wishes to make use of the house, the tenant may require that he be authorized to stay for another three months, during which time he will normally pay the rent and other sums due to the buyer. . It is also possible to request compensation from the seller of the property (former owner) for the damage suffered.
Granting the lease in certain situations
Even if he no longer lives in the accommodation, the tenant can continue to pay the rent if a spouse continues to live there, or if there are dependent children, and if they are registered in the land register. In the event of nullity, separation or divorce, the spouse occupying the property may become an official tenant if the civil law so decides, but he must inform the owner thereof within a maximum period of two months from the judicial notification.
In the event of the death of the tenant, non-subrogation (if it occurs after three years of the contract) or termination of the contract after three years (if it occurs before) can be agreed.
Have tax advantages on the tax return
In Spain, tenants can deduct the annual amount of the rent for the main residence in the income tax return (the percentage depends on the tax base) and the work carried out on the property in question (in agreement with the owner).
Obtain a reduction in the price of the rent in exchange for the improvement of housing
The tenant can carry out improvement works (never if they affect the stability or the security of the accommodation) if the owner allows him in writing. In addition, in Spain, the two parties may agree that the payment of the rent (total or partial) be replaced, for a time, by the cost of the work under the agreed conditions. Failing to do so under the agreed conditions, the lessor may terminate the contract.
In works without authorization from the lessor, this may oblige the tenant, at the end of the contract, to leave the house in its original state without any compensation.
Doing work in case of disability of his own spouse or that of his spouse
The tenant can carry out, with prior notification to the owner, work inside the house if he, his spouse or the people who live permanently in the house have a disability or are over 70 years old. The work should not affect the common elements or services of the building, nor the stability or security of the building. Once the lease is over, the tenant must leave the property as it was originally if the landlord requires it.
Renounce preferential acquisition
The tenant can waive the preferential acquisition right. In Spain the owner must inform the tenant of his intention to sell the property within at least 30 days.
You have to be careful and know your rights and duties as a tenant in Spain
Obligations of the tenant
Pay a deposit when signing the rental contract
The tenant must pay a legal deposit, intended to repair any damage to the accommodation (which does not guarantee the payment of late rents), equivalent to one month's rent (two if the property is not intended to be used as accommodation). The deposit will be paid to the agency fixed by the corresponding autonomous community. The deposit is revised every three years (for contracts signed after the new law), but each extension the parties can agree on the amount up to one month of the current rent.
If there is damage to the property, if the tenant leaves earlier than expected or if he does not pay the last month's rent, the owner can ask for compensation and use the deposit.
Pay the monthly rent under the agreed conditions
The tenant will have to pay the agreed monthly rent on time. Otherwise, if it is specified in the contract and the rent is entered in the Land Register, the lease will be terminated once the owner has requested court or notarized payment to the tenant and will not get a response in the following ten working days. If there are subsequent unpaid charges, the owner can use the deposit to correct them before notarized notification.
Take care of household expenses
In Spain, although certain costs such as the IBI tax must be paid by the lessor (unless otherwise specified in the contract) the tenant is responsible for the cost of household supplies such as water, electricity and gas, in addition to assume the costs of insurance of the contents of the house and other expenses such as the maintenance of the boiler, if stipulated in the contract.
Return the property in the same condition as it was originally
If the owner does not indicate otherwise, the tenant must vacate the property at the end of the rental agreement as found at the start. This involves the state of the walls, furniture and objects that were present at the time of the inventory. In case of non-compliance with this rule the deposit may be lost.
Leave the property if the owner proves that he needs it
In Spain the tenant must vacate the property if, after the first year of the lease, the owner communicates, at least two months in advance, the need to use the property as permanent accommodation for him, for his parents in the first degree or for his spouse in the event of separation or divorce. If the owner or his relatives do not occupy the property three months after the end of the lease or the eviction of the house (except in cases of force majeure), the tenant, within 30 days following, can return as a tenant for a new period of up to three years, in compliance with the above conditions and with compensation paid by the owner.
It is important to know the different rules for real estate rental in Spain
Leave the property in case of non-payment of rent
In Spain the subject of illegally squatted real estate is a real problem. There are no less than 100,000 houses or apartments that are occupied illegally. The owner can sue the tenant if the payment is one month late. Then, he has a period of ten working days to avoid - or try to avoid - eviction by paying the rents due (and legal fees). A procedure which can only be carried out once during the rental contract, because at the second delay the tenant will be evicted even if he pays later. If in ten days the tenant does not respond to the owner or does not leave the house, he will be ordered to pay all debts and costs until he returns the property. The tenant has the option of opposing the conviction and contesting the need to reimburse the amounts (surplus). For its part, the owner cannot make the decision to change the lock or cut the domestic services, on pain of being denounced and condemned.
Cancellation of the right of the lessor
If the lessor undergoes fiduciary substitution, foreclosure, foreclosure, court judgment or the exercise of a purchase option, the lease will be extinguished (except in cases where the property is registered in the land register, in this case case, the lease will continue for the agreed duration).
