If you own something straight rent, we have great news for you. A series since January 1 of this year Changes in the Housing Law This will enable you to achieve significant gains your deductions income statement From 2025. The main goal of these changes encouraging the rental of conventional housing and consequently resists the constant increase rental prices In our country.
What does this tax news contain?
Generally, If you have a rental house, pay 50% of Personal Income Tax (Income tax). However, the interesting thing is that as the rent you offer to your tenants decreases, your tax advantages increase.
Additional bonuses depending on the reduction in the rental price
If you decide to apply Decline in rental prices in “stressed” areas – will still be defined by autonomous communities – You can benefit from up to 70% bonus on your income tax return.. This percentage applies if the tenant is a public or non-profit organization and the house is covered by the social rental scheme with a lower monthly rent than set in the State Housing Scheme.
However, if you have decided to rent a house for the first time and the house is located in a distressed area, the tenant is between the ages of 18 and 35 or is a person with a poor financial situation, that is not all. You can also deduct up to 70% from your income tax return for vulnerable families or those with income below the Multiple Impact Public Income Indicator (IPREM).
Even better news is that if you decide to rent your property in stressful areas for at least 5% off You will be able to get a 90% reduction in your personal income tax for a lower amount than determined in the previous lease agreement. This means you can keep more income in your pocket while offering more affordable rental rates to your tenants.
Benefits of recent renovations
If you have had renovations done in the house you plan to rent within two years before the start of the contract, you can also receive a premium of at least 60% on personal income tax. according to the income you earn. This is an excellent opportunity for property owners who invest in improving the quality of their properties.
In summary, the amendments to the Housing Law have opened various opportunities for rental apartment owners. Tax reductions of up to 90% and price reductions or additional bonuses for recent renewals make investing in the rental market more attractive than ever. This not only benefits landlords, but can also help prevent rental price increases; This is encouraging news for everyone involved in the housing market in Spain. Take advantage of these opportunities and make your 2025 tax return much more beneficial for you!