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SymbolicBlogNoticias67% of landlords would accept a rental regulation in exchange for tax improvements

67% of landlords would accept a rental regulation in exchange for tax improvements

17 May
Symbolic Monday May 17th, 2021 0

The possible regulation of rental prices in the future state housing law provokes different feelings and reactions in the landlords that can be summed up with the rejection or the warning that the supply of real estate will be reduced. However, although the owners do not generally agree with the interventionist role of the State, they would be willing to accept these measures in exchange for receiving some type of compensation, either having greater support from public institutions in the event of a default, and being able to consult antecedents of late payment of the plaintiffs, having the opportunity to demand more guarantees from the tenants or having better taxation. This is confirmed by the X-ray of the landlord in Spain, presented this Thursday by Fotocasa and the Rental Negotiating Agency. In this sense, according to the study, 67% of the owners would accept interventionist measures if, in exchange, the taxation of the landlords would improve, 75% would do so in exchange for the eviction processes to recover the real estate, the 73% would support them if they could consult the history of defaults in official databases and, finally, 72% of the owners would accept the interventionism if in return the guarantees that are required of the tenants could be increased. Tax incentives are precisely one of the assets that the PSOE defends for the future rule. The majority partner of the Government presented a proposal a month ago to set a general deduction of 50% on the income from the rent of habitual residence that could be increased to a maximum of 90% depending on a series of requirements. Unidos Podemos, however, totally rejects these measures and advocates limiting prices to prevent abusive increases. Of all the interventionist measures, the one that most worries the holders is the potential freeze on rents. In this section, the results of the study indicate that 66% of landlords would accept a price limitation for five years as long as they could regain possession of their home within two months, when there is non-payment of rent. Likewise, 53% would accept this measure as long as they could consult a history of defaults in official sources, another 53% would do so if they could increase the guarantee required of the tenant. The owners would be willing to take these measures also due to their economic and income position. According to the X-ray, the landlord has an average age of 54 years, higher education and an average annual income of around 42,000 gross euros. The vast majority (97%) live in a home they own and, in general, the reason for renting the property is to make it profitable (in 45% of cases). The need for additional income also has an important weight, in 42% of the cases. The study also reveals that landlords are missing stronger rental regulations and that several of the measures associated with the pandemic cause legal uncertainty. Thus, with respect to the decree that allows suspending the eviction procedure during the state of alarm, 68% of the owners think that it produces “great insecurity” for investors and that it is “seen as an attack on private property and an incentive to occupation “, according to 65% of the sample. Regarding the current legislation, the majority of owners agree that measures such as requiring tenants guarantees and guarantees for two months of rent or updating annually with the CPI are “insufficient” (62% and 57%, respectively). In addition, 80% of the owners demand a tax incentive from the State towards the owners to generate a greater supply. In this regard, the director of studies and spokesperson for Fotocasa, María Matos, affirmed in the presentation of the X-ray that the small owners are the ones who have the majority of the housing for rent in the country and that, thanks to them, it has been been able to create a large stock of private housing “that contributes and enables access to housing.” Consequently, the Administration should “contribute to the creation of a climate that generates trust and fosters stability to favor landlords and tenants in an equitable manner”. In the same vein, the general director of the Negotiating Agency, José Ramón Zurdo, has been shown, who has recalled that the future law, “if it wants to be fair and equitable,” must necessarily have the opinions of private owners.

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