LEASES:

POSSIBLE SITUATIONS WHEN ADJUSTING THE RENT

When modifying the rent, in addition to considering the conditions established in the contract, it is essential to take into account the date on which it was signed:

• Prior to 05-09-1985

Regulation: LAU 1964

How is the rent updated?

Annual updating according to CPI is possible even if a review system has not been agreed.

• Between 05-09-1985 and 01-01-1995

Regulation: RDL 2/1985

How is the rent updated?

The rent can only be updated annually if agreed by the parties.

• Between 01-01-1995 and 05-23-2023

Regulation: LAU 1994

How is the rent updated?

Annual update as agreed by contract. Attention! However, in those signed after March 6, 2019, the increase cannot exceed the variation of the CPI and, in addition, if a specific index is not indicated, the ICG (Competitiveness Guarantee Index) will be applied.

Likewise, those contracts that expired after 05-23-2023, but were renewed by tacit renewal, will be applied as provided in the following point, since the renewed contract is subject to the regulations in force at the time of renewal.

• After 05-23-2023

Regulation: Law 12/2023

How is the rent updated?

It can only be updated if it has been expressly agreed by contract. The increase will be capped by the new Housing Lease Reference Indexes (IRAV), published by the INE.

If the update was not carried out at the time despite having the possibility of doing so, it is still feasible to make the adjustment now and include the variations accumulated during the period in which the update was not applied.

THE DEBT DOES NOT EXPIRE…

Debts for rental income expire after five years (three in Catalonia). This period can be interrupted by formally claiming from your tenant in a clear manner and by means that allow you to prove the sending and content of the claim. The safest option is the burofax or telegram with acknowledgment of receipt and certificate of content.

REAL ESTATE INTERMEDIATION:

THE SELLER RAISES THE PRICE

In one case, it was debated whether an owner who had signed an exclusive sales contract with a real estate agency had the power to increase the price of the property or if this implied a breach of the agreement.

Conclusion: It has been determined that he does have the right to modify the price.

GIPE: Together we will be stronger.