The “young savings jar,” fewer taxes, support from banks, and reserved housing: four key points of Feijóo’s plan for the 29N

The president of Partido Popular, Alberto Núñez Feijóo, has placed housing at the center of his program this Tuesday for the general elections of next 29 November. During an information breakfast organized by Europa Press, the leader of the opposition announced that, if he reaches La Moncloa, he will promote a deep reform of town-planning legislation, negotiate new financing conditions with the banks, and convert the construction of one million homes in four years into one of the priority objectives of his Government.

But, beyond legislative changes, the PP has prepared a package of measures aimed at four specific groups. As DEMÓCRATA sources from the party are reporting in advance, the program includes incentives for tenants, tax advantages and a new savings formula for young people, guarantees for small property owners, and reservations of protected housing for professionals who provide essential services.

One of the main novelties is the so-called 'Young Home Jar', a savings account linked to the purchase of the first home that will make it possible to deduct contributions and exempt from taxation its returns, in accordance with the approach announced by Feijóo. The measure will be complemented by a 60% reduction in certain taxes and public guarantees to facilitate access to a mortgage.

The president of the PP considers that thehousing problem requires acting simultaneously on supply and demand. Hence it combines tax measures for buyers and renters with a reform of the rules that regulate land, licenses, horizontal property, and illegal occupation.

Its goal is to increase construction to an average of 250,000 homes per year, a figure that would require considerably raising the current rate of residential production. To achieve this, Feijóo has advanced that he will seek the collaboration of financial entities and of regional and municipal administrations.

1. Tenants: three more years of rent and tax deductions

The first line of action is aimed at those who live on rent. The PP proposes tax incentives for owners who extend contracts for three years, as long as rent updates remain below the consumer price index (CPI).

The formula also includes tax advantages for tenants, with deductions linked to their income level. The intention is to encourage agreements that make it possible to extend a person’s stay in a home without the tenant having to face a new price negotiation when their contract ends.

The party presents this measure as an alternative based on incentives, so that the owner finds an economic advantage in maintaining the rental and the tenant gains stability.

The proposal will need to specify the applicable deductions, income limits, and the conditions for qualifying for the extension. It will also need to establish how it relates to the current regulation of rental contracts and to the tax competences of the various administrations.

Feijóo wants these advantages to come into effect while the housing supply increases, aware that the construction of new homes will not produce immediate results.

2. Young people: the “home savings pot,” 60% fewer taxes and guarantees for buying

The most developed chapter of the program is aimed at young people under 40 who want to acquire their first home.

The PP proposes reducing the VAT applicable to the purchase of a new home from 10% to 4%, a six-point cut that represents a 60% reduction compared with the current general rate. For second-hand homes, it proposes an equivalent reduction in the Transfer Tax on Property (Impuesto sobre Transmisiones Patrimoniales, ITP), taking as reference a rate of 10%.

The savings will depend on the tax applicable in each autonomous community, since the ITP is assigned and its rates vary by territory. The measure will therefore require coordination with the autonomous administrations.

Feijóo also wants young people to be able to acquire their first home without paying taxes at the time of purchase. To that end, he proposes to postpone payment of the corresponding taxes over the mortgage’s annual installments. This is not necessarily about eliminating all taxation, but about preventing the buyer from having to face that initial outlay.

Added to these benefits would be the “young home savings fund”, a housing savings account that would make it possible to apply deductions to contributions made during the first four years of working life and to enjoy exemptions on the generated returns.

The initiative aims to help people gather the savings needed to buy a home, one of the main obstacles for those who have enough income to pay a mortgage installment, but have not managed to accumulate the initial capital that the bank typically requires.

The third instrument would be the public guarantees of up to 100%, with which the PP seeks to facilitate financing for a first residence. The final scope of the guarantee and the access requirements will need to be specified in the program’s development.

Feijóo himself has used an example to illustrate the combined effect of the measures: a young person who, after five years of working, wants to buy a 250,000-euro home could, according to his calculations, save up to 25,000 euros in taxes and need 50,000 euros less in initial savings to formalize the mortgage.

These are PP estimates subject to financing conditions and to the definitive design of the incentives. In any case, the program distinguishes two different problems: the tax cost of buying a home and the difficulty of gathering the down payment needed to finance it.

3. Owners: guarantees against nonpayment and judicial eviction in 48 hours

The third block is aimed especially at small property owners. Sources from the PP consulted by DEMÓCRATA say that the program will include protection mechanisms against the risk of nonpayment, with the aim of offering greater guarantees to those who dedicate their properties to renting.

The party believes that uncertainty about the collection of rent payments and the procedures to recover a home can influence some owners’ decision to keep it on the market. The specific conditions of that protection, its funding, and any possible access requirements have not yet been detailed.

Feijóo has reiterated, moreover, his commitment to approve a new law against illegal squatting so that owners can recover their properties within 48 hours by means of a court order, in the cases contemplated by the future regulation.

“We are going to send a message where the owner is the owner of his house,” he defended during the breakfast briefing.

The proposal forms part of the reforms that the PP intends to push at the beginning of the legislative term. Feijóo has recalled that his party already promoted an initiative against squatting that was approved in the Senate and whose subsequent processing in the Congress continues to be the subject of political controversy.

4. Essential workers: protected housing reserved for those who care for and protect

The fourth measure, brought forward to DEMÓCRATA by sources from the PP, is aimed at the professionals who provide essential services.

The party proposes reserving part of the promotions of protected housing for workers who perform care and protection functions for citizens, with the purpose of making it easier for them to live near their workplaces.

The initiative could benefit healthcare professionals, security personnel, and emergency workers, although the PP has not yet specified the definitive relationship of the groups included or the percentage of housing that would be reserved.

The measure acquires special relevance in municipalities where the price of housing makes it difficult for certain professionals to set up near the place where they provide service.solutions for the housing problem.

The four legal reforms that Feijóo wants to promote from the start of his term

The measures for the four groups are based on a transformation of the legislation that regulates the residential market.

Feijóo has pledged to repeal the current Housing Law, approved in 2023, and to promote a new direction for public policies based on increasing supply, administrative simplification, and legal certainty.

He has also announced a new Land Law, a law against illegal squatting and a reform of the Horizontal Property Law. These last three initiatives are among the actions that he intends to take to the first meetings of the Council of Ministers, if he comes to Government.

The land reform takes a central place in his proposal. Feijóo has explained that he has spoken with mayors to promote a reduction in administrative timelines and to establish mechanisms that allow planning licenses to be expedited.

His commitment is to introduce, in general terms and within legal limits, positive administrative silence within 90 days. In this way, when a license application meets the requirements and the Administration does not respond within that period, it could be understood to have been approved.

The PP leader has clarified that this formula would not prevent action at a later stage against projects that fail to comply with regulations.

During his intervention, he has resorted to an example to explain what he considers a contradiction in the current system: that in Madrid certain commercial activities can be processed through a responsible declaration, while the construction of a six-story residential building requires much longer procedures.

“It’s not the responsibility of the Madrid City Council, it’s current legislation,” he pointed out.

Feijóo argues that the land reform will make it possible to reduce red tape, shorten deadlines, and mobilize land that currently does not end up being developed. He has also accused the Government of blocking in Congress legislative initiatives promoted by the PP and previously approved in the Senate.

The reform of the Horizontal Property Law would, for its part, seek to facilitate the renewal of neighborhoods and buildings and the actions needed to incorporate new homes into the residential stock. The party still has to specify which majorities, procedures, and requirements it intends to modify.

A million homes and half a million jobs: Feijóo will negotiate with the banks

The objective that Feijóo has set for his program is to build one million homes in four years, a figure that amounts to 250,000 properties per year and would require raising the current building pace considerably.

The PP president has announced this Tuesday that he will negotiate directly with financial entities to facilitate both developer credit, necessary to build new homes, and mortgage credit intended for buyers.

“We are going to sit down with the banking sector and we are going to tell them that in Spain it is a Government and State objective to build one million homes,” he said during the breakfast of Europa Press.

Feijóo believes that the Executive has instruments to promote an agreement with financial entities and has shown confidence that it will be possible to reach an understanding. He has also pointed out that the construction sector estimates that a program of this size could generate more than 500,000 jobs, an estimate that the popular leader has presented as an opportunity to create stable employment.

However, building one million homes requires something more than financing. The sector needs serviced land, skilled labor, materials, business capacity, and administrative procedures that allow the projects to be developed within the deadlines set.

The housing announcements by Sánchez versus the homes actually built

Feijóo’s proposal comes after eight years of governments under Pedro Sánchez, during which housing has gained an increasing weight on the political agenda. The Executive has announced successive construction and rehabilitation programs, new public promotions, and measures to expand the stock of affordable rental housing.

However, announcements about future housing, projects that have been started, and properties effectively finished are not equivalent quantities.

According to statistics from the Ministry of Housing collected by Servimedia, between 2018 and June 2026, 749,987 homes were completed in Spain, adding those destined for the free market and those classified as protected. Of these, 90,005 correspond to protected housing, approximately 12% of the total.

The figure makes it possible to gauge Feijóo’s commitment: building one million homes in a single legislature would mean greatly exceeding the accumulated residential output over the last eight and a half years.

It also shows the limited participation of protected housing within overall residential construction, although its output has increased recently.

Therefore, the issue is not that protected construction has remained motionless, but whether the production pace is sufficient to meet a demand that has been building up for years.

One of the most representative examples of the timelines required by housing policy is the Operación Campamento, in Madrid, a development planned for 10,700 homes, mostly protected, announced on different occasions by the Government.

The project illustrates the time gap that can exist between the political decision, urban planning procedures, the development of the land, and the effective delivery of the homes.

Housing, at the origin of the Sol protest and the 11N strike

The debate about housing has also taken on a political and social dimension in recent weeks as a result of the encampment installed at Madrid’s Puerta del Sol, linked to the demands of the housing movement and the claim of the so-called Maricarmen decree.

The protest has caused a conflict due to the prolonged occupation of public space, with complaints from shopkeepers and restaurateurs in the area, business demands, and actions by the competent administrations. The management of the gathering has also generated controversy surrounding the Delegation of the Government in Madrid, whose previous holder, Francisco Martín, resigned amid the crisis.

The encampment has begun its withdrawal and reorganization, although the definitive scope of its dismantling must be distinguished from the continuation of the demands of its participants.

Precisely, during Europa Press breakfast, Feijóo has asked the unions to reconsider the general strike called for next November 11. The PP president believes that the mobilization is aimed at the opposition and that it is especially untimely after the railway tragedy in Urda, which has left 69 dead.

The popular leader has acknowledged that he maintains a dialogue relationship with union officials and has defended that he needs representative and strong organizations with which to negotiate if he comes to Government.

“Don’t do it. You didn’t do it in eight years of Government. Don’t do it now, three weeks before being called to the polls. Don’t do it, or they will link your image to Pedro Sánchez”, he warned.

For their part, the calling organizations link the protest to demands about housing and living conditions. Feijóo’s interpretation of its political direction is part of the electoral controversy.

Meanwhile, the PP president has placed housing among the first topics he would address from the Council of Ministers. His program combines immediate measures of a fiscal nature with legislative reforms whose results, especially in the area of new construction, would need several years to be realized.

The “young homeowner fund,” the guarantees for the first home, incentives for renting, and reservations for essential workers constitute the four proposals with which the PP intends to reach citizens directly. The one million homes is the goal that Feijóo commits to achieve if he obtains the trust of voters next November 29.