Housing emerged as a central objective for Botànic in the final phase of the legislature. The Consell announced two direct housing measures that would take effect from the start of the current term. President Ximo Puig, the Second Vice President and Housing Minister Héctor Illueca, and Treasury Director Arcadi Spain presented these actions, designed to help families cope with rising mortgage interest rates. The Valencia government, after a tripartite meeting, signaled a second major initiative following the bond purchase.
Both measures are aimed at aiding renters, particularly young people, and at homeowners who are facing higher mortgage costs. To strengthen the Youth Hire Bonus, the Generalitat plans to add a further €30 million to the previously planned €22.8 million. Projections indicate that approximately 8,900 young people will gain access to monthly support of 250 euros for two years, facilitating greater access to affordable housing during a time of financial pressure.
The second initiative is described as extraordinary assistance intended to counteract Euribor-driven increases in variable-rate mortgages tied to habitual housing. Targeted at middle- and low-income households, it represents a direct, one-off mortgage aid program. Eligibility is limited to households that are making a special effort to service their mortgage payments. Specifically, the Consell has established a cap based on mortgages reviewed since April 1, 2022, where interest rates have risen by more than 30%.
For these cases, two scenarios are proposed: a 600-euro aid for families with an income up to €25,200 and where at least 40% of earnings are allocated to the mortgage, and a 300-euro aid for families earning up to €33,600 who dedicate at least 50% of their income to their mortgage. In either scenario, applications are set to open in May, with the Council estimating help for around 30,000 families and a public investment of €18 million.
This measure will align with an additional initiative that will reduce up to €100 in this year’s tax revenue campaign to counterbalance the rate hike. The discount targets individual incomes up to €30,000 and certain groups with incomes up to €47,000.
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