Estate agencies report a rental slowdown after Spain's housing decrees: 4,235 homes withdrawn or diverted in ten days

Only two days ago we reported on this blog that 30% of the members of the landlords' association ASVAL are considering taking their flat off the rental market. Now comes the other half of the picture: that of the estate agencies, which see every day which flats come onto and leave the market. On 13 October, the Federación Nacional de Asociaciones Inmobiliarias (FAI, Spain's National Federation of Property Associations) published a survey of more than 600 agencies in provincial capitals and large cities on the first ten days after the housing decrees. The news has been picked up by EFE, Europa Press, ABC and much of the business press.

The FAI's conclusion is clear: 88.9% of agencies say they have noticed changes in long-term residential letting by small landlords, and only 11.1% are carrying on as before. In this article we break down the figures, compare them with other market data and explain what it all means for those looking for a home and for those letting one.

What the estate agencies' survey measured

The FAI asked agencies what effects they had seen since the decrees and how many homes or contracts had been affected in each case. In total it adds up to 5,758 affected transactions: 4,235 homes that have left long-term residential letting or been diverted to other uses, and 1,523 contracts whose signing has been halted.

Source: Federación Nacional de Asociaciones Inmobiliarias (FAI), survey of more than 600 agencies, reported by EFE and Europa Press on 13 October 2026. An agency may have seen several effects at once.

Based on those figures, the federation estimates that the volume of rental transactions could fall by between 25% and 30% in the coming weeks. Its president, José María Alfaro, says he understands the public's frustration with the difficulty of accessing housing and the tragedy of evictions, but warns of “serious consequences” from the changes. According to the FAI, the new measures do not take sufficient account of small landlords, and protection against non-payment is made dependent on a “maze of bureaucratic procedures and overlapping powers between administrations”.

Alfaro also considers it “risky” for the Diputación Permanente (the standing committee that acts while Parliament is dissolved) to decide on such a complex matter with the Cortes (Spanish Parliament) dissolved, and calls for an “Emergency Marshall Plan” for access to housing: a cross-party national agreement between parties, regional governments, social groups and experts, whatever the outcome of the 29 November elections.

Where the flats leaving the rental market are going

The figure of 4,235 homes does not mean they have all disappeared from the market. According to the survey, they break down as follows:

• 2,067 homes withdrawn from long-term residential letting: the owner has decided not to let again for now, whether to leave it empty, use it themselves or for their family, or wait to see what happens with the decrees.
• 1,224 homes moved to sale: the owner prefers to sell rather than keep letting.
• 944 homes diverted to temporary lets or room lets, two arrangements that the decree now in force itself restricts, as we explain below.

This last group is important. Since 8 October, Royal Decree-law 29/2026 requires temporary lets (alquiler de temporada) to have a genuine, provable reason, such as a move for work or study, and chaining more than two contracts with the same tenant turns the first one into a long-term residential let. For room lets, the total charged for all the rooms cannot exceed the rent for the whole flat. In other words, part of that diversion may clash with the new rules.

What other sources say

The FAI survey is not the only sign. Fotocasa has detected a 5.4% drop in long-term rental supply. Its head of research, María Matos, points out that the usual variations do not tend to exceed 1.5% up or down.

It is a particularly significant drop.

María Matos, head of research at Fotocasa

In Galicia, where according to the Instituto Galego de Vivenda e Solo (the Galician Housing and Land Institute) 98% of rentals are in the hands of individuals or small companies with two or three homes, estate agencies talk of flats being taken off the rental market and investment purchases being put on hold. The president of the Asociación Galega de Inmobiliarias (Agalin, the Galician estate agencies' association), Emilio García, explained that purchases to live in are going ahead, but that the arras (deposit contracts) of those buying to let have stopped.

Before the survey, the Observatorio del Alquiler (Rental Observatory) had already estimated 4,290 fewer rental homes across Spain between 28 and 30 September, with the caveat that not all of that drop can be attributed to the new rules. And it is worth remembering the underlying trend: according to idealista, long-term rental listings fell from 902,664 in 2018 to 510,091 in 2025, 44% fewer.

Each source measures something different and with a different method: they cannot be added together or compared directly.

Two readings of the same data

Estate agency and landlord associations argue that uncertainty and the fear of not being able to get the home back are reducing supply just when it is needed most. Tenants' unions, on the other hand, support the decrees, have called for them to be ratified and consider the automatic renewal of contracts to be the most important measure for giving tenants stability. The Government argues that the package curbs rent rises and rewards those who let at moderate prices.

With only ten days of data, it is still too early to know how much of this reaction is a real exit from the market and how much is a cautious wait until the legal framework becomes clearer. What all sides agree on is that the underlying problem is the lack of available housing.

What may happen in the coming weeks

• Ratification: both decrees were published in the BOE (Official State Gazette) on 7 October and the Diputación Permanente has 30 days to ratify them. Each needs 35 of its 69 votes. If a decree is not ratified, it is repealed.
• Measures decree (29/2026): in force since 8 October. According to published vote counts, it has enough support to go through.
• Stability decree (28/2026): the one on the automatic renewal of contracts. It would come into force on 15 November if ratified, but depends on the vote of the PNV (Basque Nationalist Party), which rejected it in the Congress on 2 October.
• General election on 29 November: afterwards, the new Parliament can keep, change or process as a bill whatever is ratified now.

If you are looking for a flat to rent

• Have your paperwork ready before you start: DNI or NIE (foreigner's identity number), employment contract, recent payslips and, if you can, a reference from your previous landlord. With less supply, whoever responds first and with everything in order has the edge.
• Be wary of “temporary lets” that are really a main home. Since 8 October they need a genuine, provable reason; if there is none, the law treats them as a long-term residential let, with all your rights.
• If you rent a room, the total rent for all the rooms cannot exceed the rent for the whole flat.
• If you already have a contract and it ends before 31 December 2028, you can ask for an extension of up to two more years if you are up to date with payments, as long as the measures decree remains in force.
• Scams increase when supply is short: never pay a deposit before seeing the flat and signing.

If you are a landlord and unsure what to do

• Do not rush into an irreversible decision: the stability decree may not be ratified and the framework may change again after the elections.
• Switching the flat to a temporary let is only legal if there is a genuine temporary reason. Without one, the contract may end up being treated as a long-term residential let.
• If the flat has a tenant, selling it does not end the contract: the buyer steps into the landlord's shoes and the tenant keeps their rights.
• Leaving the flat empty has a growing cost: from 2027 the notional income attributed for income tax (IRPF) goes up, and some town halls will be able to apply surcharges on IBI (property tax).
• The small landlord's biggest fear is non-payment. Getting to know the tenant properly before signing, with their identity, income and references checked, is the best way to reduce that risk.

What we do at Llavely

Llavely was created to reduce mistrust between landlords and tenants. It is renting the other way round: tenants create their verified profile once (we check their identity and income and, if anything doesn’t add up, a member of our team reviews it) and it is landlords and agencies who choose whom to invite to view their property, with checked information from the start. For landlords, it is a way to let with greater peace of mind; for tenants, a way to stand out in a market with little supply. It is already open in the provinces of Madrid and Barcelona, free for tenants, landlords and agencies: if you are looking for a flat, create your profile for free; if you are letting your own, list your property for free. In the rest of Spain there is a waiting list: sign up with your areas and we will email you when we open there.

And if, after weighing it up, you decide to sell and your home is in the Comunidad de Madrid (Madrid region), you can do it with us for 2.5% + VAT, all included, which you only pay if you sell, on the day of signing at the notary: specialist lawyers with more than 35 years of experience who go with you in person to the notary, photos, video, floor plan and virtual tour, and we carry out the viewings ourselves, with screened and verified buyers: we speak to each one before showing your home. If you are thinking about it, ask for your free valuation: we call you within 24 hours, see the home and give you the price.

Frequently asked questions

Sources

1. Estate agencies put at 5,758 the transactions affected by the housing decrees (EFE in Infobae, 13 October 2026)
2. Estate agencies warn: rental listings withdrawn and contracts halted after the decrees (Europa Press in PressDigital, 13 October 2026)
3. The effect of the housing decrees on estate agencies: properties withdrawn and a slowdown (ABC, 13 October 2026)
4. The Government's housing decrees take 4,235 properties off the residential rental market in ten days (Herqles, 13 October 2026)
5. Almost 6,000 transactions affected by the housing decrees, according to sector data (The Objective, 13 October 2026)
6. Galician estate agencies warn of a mass withdrawal of rental flats because of the housing decrees (Moncloa.com, 10 October 2026)
7. When do the housing decrees come into force? Key points on the Diputación Permanente (Público, 7 October 2026)
8. The Government brings back the housing decrees almost unchanged: these are the measures included (Newtral, 6 October 2026)
9. The Confederation of Tenants' Unions demands that both decrees be ratified (Orain, 30 September 2026)
10. What we know about rental listings disappearing after the decrees (Maldita, 5 October 2026)
11. Rental supply plunges 44% since 2018: almost 393,000 fewer listings (Artículo 14, 7 October 2026)
12. BOE – Real Decreto-ley 29/2026 (Royal Decree-law) of 6 October, consolidated text (Official State Gazette)
13. BOE – Real Decreto-ley 28/2026 (Royal Decree-law) of 6 October on the stability of long-term residential tenancy contracts (Official State Gazette)