Likewise, although in Spain it has different types of investment, it is in the Ibex 35 where one of its main sources of income is located in our territory. It is a significant shareholder in 17 companies of the national selective, highlighting its presence in banking. It has interests of around 6,400 million in financial institutions, followed by the energy sector with around 2,800 million. The rental sector is subject to new legislation as of today. The third in October 2019 calendar With Holidays three months. The Council of Ministers approved last Friday an express reform of the Law of Urban Leases that offers more protection to the tenant in front of the owners. But what are the main measures of the new decree? From now on, the rents of the real estate can only increase what the CPI fixes. This system will only affect new contracts. The rest will continue to be governed by current regulations. Even so, the Government leaves the door open for pre-existing contracts to adapt to the new norm. Of course, for this there must be a consent of both parties. In addition, the decree establishes that the owners can only review rental income once a year and in the terms agreed upon with the tenants.
October 2019 calendar With Holidays
Regarding the duration of the contracts, these are extended from three to five years in the case of natural persons and to seven years in the case of legal entities. In addition, the tacit extension (which applies if neither party communicates its intention to terminate the contract) is extended from one to three years. For its part, the term to terminate the contract is four months in the case of the owner and two months in the case of the tenant. The regulation limits bail to three months. Two additional “additional guarantees” are added to the month collected by law.
In addition, the autonomous communities may establish a public bond deposit system that includes data from both the tenant and the owner. In this way, the Government it does not want to shed some light on a traditionally opaque market. In fact, at present five communities October 2019 calendar With Holidays do not even register rental contracts. The Government undertakes to develop, within eight months, an index that reflects trends in the rental market. In addition, it urges the autonomous communities to carry out the same measure. From the Ministry of Development, however, they say that these indexes will only be used to know the sector and not to control prices.