Spain's lower house has passed a bill aimed at curbing property speculation as well as increasing transparency and sustainability in the housing sector. The legislation, which still needs to be approved by the senate, is expected to come into force by July 1, 2007. The bill was backed by all political parties except for the conservative opposition party PP, which was fiercely opposed.
Spain's lower house has passed a bill aimed at curbing property speculation as well as increasing transparency and sustainability in the housing sector. The legislation, which still needs to be approved by the senate, is expected to come into force by July 1, 2007. The bill was backed by all political parties except for the conservative opposition party PP, which was fiercely opposed.
'The instruments provided by this law should enable us to rein in the exorbitant spiral of housing prices,' left-wing Premier Jose Luis Rodriguez said. Under the law, 30% of future residential property development will be destined for social housing, Spanish newspaper Cinco Dias reported. The new legislation also introduces more stringent controls for projects which could increase a city's population by more than 20%.
Housing minister Maria Antonia Trujillo said that the law will help Spain's residential property market land softly. Property prices have exploded over the past ten years, rising by more than 150%.
