Are you a tenant in Spain? If so, the next update to your rental rate could be considerably higher than usual because of the recent increases in inflation. This is because inflation in Spain has gone up by the highest amount since 1992. However, the good news is that your landlord does not automatically have the right to put your rent up.
Under Spanish rental law, updates to how much rent you pay depend on the date you signed your rental contract. In this blog post, we look at different scenarios and in each one, ascertain whether your landlord can increase your rent.
Spanish rental contracts signed before June 6, 2013
This date signalled the first reform of Spanish rental law under which the following updates to rental rates apply.
In First 5 years of the contract – your landlord may increase your rental rate by inflation.
From year 6 onwards – you and your landlord must agree on an update, which may be an agreed amount or the rate of inflation.
The update on the rental rate must take place yearly on the date that the contract was signed.
The percentage applied for inflation is the rate over the 12 months immediately prior to that date.
All your landlord needs to do is notify you in writing.
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Spanish rental contracts signed between June 7, 2013 and March 31, 2015
If you signed a contract during this period, your landlord may increase your rental rate by the amount agreed by both parties in the contract. The amount may be inflation.
If this is the case, the amount is the inflation rate in the 12 months immediately before the date the contract was signed.
Spanish rental contracts signed between April 1, 2015 and March 6, 2019
Your landlord may increase your rent if both parties have agreed on this and it is stated in the contract. The update applies annually on the date the contract was signed. If there is no express agreement, your landlord may not increase your rental rate.
Spanish rental contracts signed since March 6, 2019
Your landlord may increase the rental rate if both parties have expressly agreed to in the contract. The update takes place every year on the date the contract was originally signed. If the contract contains no clauses with the agreement to increase the rent, your landlord cannot put it up.
Your landlord must inform you in writing of the update to the rental rate and you must pay it from the month after receiving the notification.
Note that the increase may not exceed the rate of inflation over the 12 months prior to the update.
Questions about your rental contract?
Get in touch with our expert team to find out if your landlord is permitted to increase your rent.