The declaration means rental prices in the Catalan capital will be regulated from September, affecting new rental contracts signed in the next five years.
The Full Council has given its initial approval to declare the city as an area with a tense housing market. The declaration will allow for the application of regulated rental prices set out in Act 11/2020, on urgent measures to contain prices in home rental contracts.
As from September, the reference price when it comes to signing a new rental contract will be lower than the price of the previous contract and 95% of the pricing index established by the Government of Catalonia.
The declaration of the city as an area with a tense housing market will apply for five years, the longest period allowed by law. It will include homes with useful floor space of over 150 square metres.
Over 30% of the city’s population live in rented homes. Prices rose by 31% between 2015 and 2020.