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The government announced the agreement with its junior partner Sumar after days of demonstrations that highlighted deep public frustration with rising housing costs, according to Reuters. The measures include a ban on evictions until 2030, automatic renewal of rental contracts and tighter rules on short-term lets as well as restrictions on purchases by investment funds. Health Minister Monica Garcia described the package as progress that would have been unimaginable a month earlier when she listed the components on social media. The pact still requires approval in a fragmented parliament where the coalition lacks a majority.
Maricarmen Abascal was evicted from the apartment she had occupied for more than 70 years on Sept. 23 after a court ruling favoured the new owner Urbagestión, a property investment firm. Police carried the disabled pensioner out on a stretcher to an ambulance while supporters gathered outside the building in the Retiro district, El Pais reported. The company had sought to increase her monthly rent from 500 euros to 2,650 euros before settling on 1,650 euros, a sum she could not cover with her 1,350-euro pension.
Abascal’s lawyer Beatriz Duro told reporters on Tuesday that a preliminary agreement had been reached with Urbagestión allowing the woman to return under an eight-year lease at around 500 euros per month, equivalent to 30 percent of her pension. The 87-year-old, currently recovering in hospital from exhaustion, would need to approve the terms once she feels able, Duro added in comments carried by the New York Times. Madrid’s Tenants Union welcomed the development but called for systemic changes to prevent similar cases.
Protesters maintained a camp in Madrid’s Puerta del Sol square with up to 1,000 people at times while thousands marched through the capital and other cities at the weekend, according to the Financial Times. Demonstrators demanded a rent freeze, indefinite leases and stronger protections for vulnerable residents, the Madrid Tenants Union said. The case has become a symbol of Spain’s housing difficulties that affect young people and pensioners alike.
Figures from the General Council of the Judiciary show courts carried out 24,540 evictions in 2025, with rental cases accounting for nearly three-quarters of the total. More than 272,000 families have faced judicial eviction since Prime Minister Pedro Sánchez took office in 2018, equating to roughly 90 per day, data compiled by El Espanol indicate. A CaixaBank Research report placed Spain’s accumulated housing deficit above 730,000 units since 2021 owing to household formation outpacing construction.
The Socialist-led administration passed a housing law in 2023 that sought to cap rent increases and expand social housing, yet implementation has varied across regions controlled by the opposition People’s Party, Sanchez’s office has stated. The new decree aims to close loopholes that allowed the sharp rent hike in Abascal’s case while promoting long-term tenancies, government sources told Reuters. Parliamentary support remains uncertain as the coalition seeks backing from a range of smaller parties.
Official statistics from the National Statistics Institute reveal the number of tourist rental listings fell by more than 40,000 in the year to May 2026 after regulatory curbs in several cities, contributing to some rebalancing of the long-term rental stock. Bank of Spain analysis attributed part of the 60,000-unit decline over two years to properties shifting to seasonal lets or exiting the market altogether. Housing Minister Isabel Rodriguez has argued that converting more such units could ease pressure on affordable housing availability.
