Spain only has 1.5% of public housing, far from the 34% of the Netherlands.

Spain closed 2024 with 76% fewer protected homes than in the year of the real estate boom, according to a housing study prepared by the Administrative Managers.

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Spain has one of the smallest public housing parks in Europe. Only 1.5% of the total housing in the country is public, compared to 34% in the Netherlands, 23.6% in Austria, and 21.5% in Denmark.

The distance reflects one of the main structural weaknesses of the Spanish residential system: the limited capacity to offer affordable alternatives to the free market.

The difference is not only in the number of houses built: the two European countries have a wide sector of social and affordable rental, also managed by non-profit entities and cooperatives

Spain starts from a very different situation than that of the Netherlands and Austria in public housing. The report from the administrative managers places the Spanish stock at around 1.5% of the total housing, compared to percentages between 20% and 30% in countries like Austria and the Netherlands. The OECD comparison, which uses the category of social rental housing and data from 2022 or the last available year, estimates that proportion at approximately 1.2% in Spain, 34% in the Netherlands, and 23% in Austria.

The figures vary depending on what is considered public or social housing and the reference year, but they reflect a difference in scale: in the two Central European countries, there is a much broader affordable rental stock that does not depend exclusively on the Administration.

A national housing strategy

This is noted in the report from the General Council of Administrative Managers of Spain, made known to DEMÓCRATA, in which a national and state strategy for housing with a horizon of twenty years, but which can begin to be developed in the first 100 days of a new legislature.

The document, which takes as a reference the Annual Report 2025 of the Bank of Spain, places the reduced weight of public housing among the factors that condition residential access and calls for a sustained expansion of the protected stock.

The proposal is not limited to building more homes. The administrative managers propose that those built with public support maintain their affordable character permanently, so that this investment does not lose its social purpose over time.

The goal is to consolidate a stable stock that can respond to residential needs beyond political and budgetary cycles.

other housing models

Netherlands: housing associations

  • Who manages: housing associations that build, maintain, and rent properties under public regulation.

  • What weight do they have: they own around 75% of the rental housing in the country.

  • How it works: they offer social rental and are subject to public allocation rules.

  • Key of the model: social housing constitutes a consolidated sector, although problems of scarcity and access persist.

Austria: municipal housing and limited-profit entities

  • Who manages: municipalities and non-profit or limited-profit entities, which reinvest resources in housing.

  • Vienna as an example: combines municipal apartments with housing managed by cooperatives and social entities.

  • What weight does it have: the report places municipal and social housing in Vienna at around 60%, with a broad definition; Austria reaches approximately 23% of social housing at the national level, according to the OECD.

  • Key of the model: a wide offer of affordable rental sustained for decades, with public participation and specialized entities.

More alternatives to the free market

Within this document, prepared by economist Javier Santacruz, with whom DEMÓCRATA has been able to converse, there is a commitment to diversify the formulas for access to housing. Alongside ownership and conventional rental, it proposes to promote affordable rental, cooperatives, use transfer, and rent-to-own. The intention is to expand the available options for households with different needs and economic capacities.

Among those alternatives, Santacruz's work proposes to develop a specific and stable regulatory framework for cooperatives in use transfer, with preferential access to public land and long-term legal security for their members.

This system allows access to the use of a home without necessarily reproducing the traditional scheme of individual purchase or market rental.

The administrative managers also propose to measure progress through the number of homes in use transfer and affordable rental that are incorporated annually into the market. Protected housing would thus stop depending exclusively on specific promotions to be part of a continued policy of production and conservation of affordable supply.

A twenty-year strategy

The report also proposes that the increase of the public and affordable housing stock be part of a long-term strategy, with intermediate objectives and evaluation mechanisms. In ten years, it proposes to appreciably increase that stock and bring the annual production of housing closer to the creation of new homes.

In twenty years, it aims to have a permanently protected public and affordable system comparable to that of the reference European countries.

The document avoids setting fixed figures for these goals and considers that it is up to the competent ministry, in coordination with the autonomous communities, to quantify them based on an initial evaluation of the residential system. It also argues that the strategy should be maintained regardless of the political color of the governments.

The expansion of public housing constitutes, therefore, one of the social legs of the roadmap, alongside the increase in construction, the mobilization of land, and the streamlining of urban procedures. The approach of the administrative managers is that the response to access difficulties should not rest on a single measure, but on the sustained creation of housing and a broader range of affordable options.

The European comparison serves as a reference to gauge the distance that the report considers necessary to reduce. It does not imply, warns the document itself, that all countries follow an identical model: their systems differ in taxation, demographic structure, property culture, and territorial organization.

The proposal for Spain involves increasing the public and protected housing stock and ensuring that homes financed with public resources maintain their affordable function in the long term.

Spain finished 76% fewer protected homes in 2024 than in the year of the real estate boom

According to this report shared with our newspaper, the country went from building 60,878 protected properties in 2006 to 14,371 in 2024.

Since then, until now, protected housing has not recovered the construction volumes it recorded before the real estate crisis. Spain finished 60,878 protected homes in 2006, at the height of the sector, compared to 14,371 in 2024.

The difference amounts to a drop of 76.4% in 18 years, according to the figures from the Housing and Land Observatory of the Ministry of Housing and Urban Agenda collected in the report of the General Council of Administrative Managers.

The setback is framed within the general contraction of residential activity. In 2006, 658,510 homes were completed in Spain, while in 2024 the figure was 100,980.

Total production thus decreased by 84.7%, in an evolution marked by the burst of the real estate bubble, the subsequent adjustment of the sector, and the difficulty in recovering the construction pace of previous decades.

The comparison of both years introduces, however, a relevant nuance: although the absolute number of protected homes fell sharply, their weight on the total number of completed homes increased, from around 9.2% in 2006 to 14.2% in 2024.

The problem is not, therefore, that protected housing represents a smaller proportion in those two reference years, but that the volume of new protected homes is still far from the levels recorded before the crisis.

Administrative managers propose a horizon of twenty years to consolidate a permanently protected public and affordable housing stock, with a stable supply and access formulas that go beyond conventional purchase and rental. For the first ten years, they propose to appreciably increase that stock and bring the annual production of homes closer to the creation of new households. The report leaves the specification of quantitative objectives in the hands of the competent ministry, in coordination with the autonomous communities, after an initial evaluation of the residential system.

More key points, information and questions with FREN

AI-GENERATED CONTENT

What is the parliamentary process for approving a national housing strategy in Spain?

A “national housing strategy” in Spain is not, by itself, a unique legal category. It can take various forms (government plan, political communication, or even content of a law), and the type of parliamentary processing depends on this. The Congress Rules clearly distinguish between norms with the rank of law and government programs or plans subject to parliamentary debate and pronouncement.

1. Government approval of the strategy

In practice, the starting point is usually the Government:

  • If the strategy is configured as a government plan or program, it can be approved by agreement of the Council of Ministers (for example, as “National Housing Strategy 20XX–20YY”) without the immediate need for a specific law, provided it does not itself create new subjective rights, direct legal obligations, or expenses exceeding those already foreseen in current laws, especially in the General State Budgets.
  • When the strategy requires regulatory changes (new aids, modifications to the rental regime, land reservations, new taxes or tax benefits, etc.), the Government must articulate those changes through a bill or, where appropriate, other instruments with the rank of law (such as a royal decree-law that will later be ratified or processed as a bill).

In summary: the political-strategic design can be approved by the Executive, but its full legal effectiveness usually depends on one or more laws that develop it.

2. Processing as a bill in the Cortes Generales

When the Government decides to embody all or part of the housing strategy in a law, the ordinary legislative procedure applies (Title V of the Congress Rules):

  • The Government submits a bill to the Congress, accompanied by a statement of reasons and background (art. 109).
  • The Board orders its publication, opens the period for amendments, and sends it to the competent Committee (usually Housing and Urban Agenda or the one assuming the matter).
  • Groups may submit total amendments (return or alternative text) and to the articles. If there are total amendments, a totality debate in Plenary is held; if the return is approved, the text falls; if an alternative text is approved, processing continues on that new text.
  • The bill goes to the Working Group (which prepares a report) and then to the Committee, which approves a report.
  • That report is debated and voted on in the Congress Plenary (unless the Committee has full legislative competence or a single reading is chosen, art. 150), and once approved, it is sent to the Senate, where its own procedure follows (amendments, veto, etc.).
  • Once definitively approved by both Chambers, the text is sent to the King for sanction and promulgation and published in the BOE.
3. Processing as a government program or plan (without rank of law)

If the “national housing strategy” is submitted as a program or plan to obtain the pronouncement of the Cortes, Title XI of the Congress Rules comes into play, which regulates the examination and debate of government communications, programs, or plans:

  • Article 198 provides that if the Government sends a program or plan requesting the Congress's pronouncement, the Board sends it to the competent Committee.
  • The Committee Board organizes the processing, sets deadlines, and may designate a Working Group to study the document.
  • The debate in Committee follows the provisions for government communications (arts. 196-197): initial government intervention, group turns, and possibility to submit proposals for resolution.
  • If it is decided that the proposals for resolution are debated in Plenary, the deadline to submit them is three days; they are debated and voted on, possibly including both support and criticisms or political conditions to the strategy.

These resolutions do not have the rank of law but set a political position of the Chamber that can condition the implementation of the plan.

4. Parliamentary control and non-legislative agreements

Aside from the main processing, the Cortes exercise constant control over the housing strategy through various instruments:

  • Appearances of the competent minister in committee or Plenary to report on the design, execution, and results of the strategy (arts. 202 and 203 of the Congress Rules).
  • Oral or written questions and interpellations addressed to the Government on specific aspects (executed budget, territorial impact, indicators, etc.).
  • Non-legislative motions and other non-legislative resolutions approved by committees or Plenary, recommending changes, reinforcements, or corrections to the strategy.
  • Monographic debates based on government communications (art. 196), concluding with proposals for resolution (art. 197).

The Senate reproduces, with its own Rules, very similar schemes: it can debate government plans or communications, approve motions, and exercise control through questions, interpellations, and appearances. Although the central political initiative on a national housing strategy is usually concentrated in the Congress, the Upper Chamber participates both in the legislative part (if there is a law) and in political control.

Could you detail the specific role that the Housing and Urban Agenda Committee would have in the parliamentary processing of that strategy? In which cases would it be legally essential that the national housing strategy be included in a law and not just in a government plan? What types of proposals for resolution could parliamentary groups approve regarding a national housing strategy submitted as a plan to the Congress?

What competencies does the Ministry of Housing and Urban Agenda have regarding public housing?

The Ministry of Housing and Urban Agenda (MIVAU) is, according to Royal Decree 208/2024, of February 27, the department of the General State Administration responsible for proposing and executing the Government's policy on housing, Urban Agenda, building quality, and land. Within this framework are its competencies on public housing and the public housing stock, which must always be read in coordination with the autonomous communities and local entities, holders of much of the executive competencies in the matter.

1. General framework of competencies

According to article 1 of Royal Decree 208/2024 and Law 12/2023, of May 24, on the right to housing, the Ministry:

  • Designs and executes the state housing policy, including programming objectives, lines of action, and state plans in coordination with other ministries.
  • Plans and co-finances housing policies through multi-year state plans that set programs, criteria, and requirements for granting aid aimed at protected housing, affordable rental, and rehabilitation.
  • Defines the basic framework that guarantees minimum homogeneous conditions throughout the territory (art. 12 et seq. of Law 12/2023), respecting that housing is an area where autonomous communities have very broad competencies.
  • Promotes inter-administrative coordination through the Housing and Land Sectoral Conference and multilateral and bilateral commissions (arts. 20 to 22 of Law 12/2023).
2. Internal structure linked to public housing

Royal Decree 208/2024 identifies the bodies directly linked to public housing policies:

  • State Secretariat for Housing and Urban Agenda: directs the state housing policy and exercises strategic direction over the public entity SEPES/Public Housing and Land Entity.
  • General Secretariat for Urban Agenda, Housing, and Architecture: coordinates all competencies affecting housing, architecture, building, urban policies, and land (art. 3).
  • Directorate General for Housing and Land:
    • Prepares sectoral regulations affecting housing, rehabilitation, urban regeneration, and renewal (art. 5.1.a).
    • Designs and manages the state housing aid plans (art. 5.1.c) and their financing.
    • Manages agreements with autonomous communities and other territorial entities to execute housing plans and policies, including the regeneration of vulnerable environments (art. 5.1.f).
    • Proposes guidelines for land management oriented to housing policy and participates in actions of transfer, use, and disposal of urban land (arts. 5.2.a and 5.2.e-f).
    • Coordinates the state system of urban and housing information, rental indices, and analysis of the residential stock (arts. 5.2.b-d and 5.2.h-i).
  • Directorate General for Planning and Evaluation: assumes obtaining and managing data for state planning in housing matters, including:
    • Preparing and maintaining an inventory of the public housing stock (art. 6.1.c).
    • Drafting a report on the characteristics and use of the public stock and a “social housing map” (art. 6.1.d).
    • Forming the database of rental contracts and the information necessary for reference price indices (art. 6.1.f).
3. Specific functions on public housing and public stock

Law 12/2023 details the State's role regarding public housing:

  • State action in housing (art. 12): the State plans and finances policies to facilitate the exercise of the right to housing, prioritizing vulnerable groups and strengthening cooperation with autonomous communities and local entities for rehousing and access to decent housing.
  • Public housing stocks (arts. 27 to 29):
    • They are conceived as an instrument to guarantee the right to housing for households with greater difficulties.
    • Autonomous legislation regulates their composition, but the State can incentivize their creation, expansion, and conservation through state plans, aids, and financing criteria.
    • State funds are increasingly conditioned on the financed housing remaining in the public stock or protected in a stable manner.
  • State planning and programs (arts. 23 and 24):
    • State plans must prioritize:
      • The creation, expansion, and management of public housing stocks.
      • The construction and rehabilitation of housing subject to public protection.
      • Attention to young people and more vulnerable persons.
    • These plans are applied through agreements with autonomous communities, which co-finance and execute the actions.
4. Coordination with autonomous communities and local entities

Regarding public housing, the Ministry does not directly manage most autonomous or municipal stocks. Its competencies focus on:

  • Setting the common framework and financing requirements, conditioning state resources to the permanent protection of financed housing and its social destination.
  • Articulating cooperation through the Housing and Land Sectoral Conference, bilateral commissions, and execution agreements.
  • Strengthening transparency and evaluation: requires information from autonomous communities on rentals, protected housing, and public stocks to feed state databases and evaluate results.

In summary, the Ministry of Housing and Urban Agenda exercises a mainly strategic, normative, financial, and coordination function regarding public housing and the public housing stock, while promotion, allocation, and daily management largely correspond to autonomous communities and municipalities.

Could you summarize only the functions of the Directorate General for Housing and Land related to public housing and affordable rental? How is the financing of the State Housing Plan divided between the State and the autonomous communities, and what implications does it have for public housing? What specific instruments does the Ministry use to prevent state-funded protected housing from being privatized or declassified?

What regulations currently govern protected housing and housing cooperatives in Spain?

In Spain, there is no single “protected housing law” or “housing cooperatives law,” but rather a framework of basic state norms combined with very intense development by the autonomous communities. At the state level, the following pieces are especially relevant today.

1. Protected housing and affordable housing

a) Law 12/2023, of May 24, on the right to housing (consolidated text)

  • It is the first state law that comprehensively addresses the right to housing (art. 47 CE) and sets basic conditions to guarantee homogeneous protection throughout the State.
  • It contains key definitions (art. 3) and regulates, among other aspects, the content of the right of property of housing, public action in housing matters, public stocks, and state planning.
  • Article 16 (protected housing): regulated protected housing as a basic category, but it has been declared unconstitutional and null by STC 79/2024; therefore, the specific configuration of protected housing remains mainly in the hands of the autonomous communities and their own regulations.
  • Article 17 (incentivized affordable housing): creates the figure of “incentivized affordable housing,” aimed at expanding the supply of housing at reasonable prices through:
    • Use limitations (main residence) and maximum income limits depending on the public benefits received (urbanistic, fiscal, etc.).
    • Possibility of being new or existing housing, provided they meet quality requirements.
    • A more flexible regime than classic protected housing (does not require formal qualification as VPO, but is subject to the rules established by each administration).
  • The law also provides for areas of tense residential market, public housing stocks, and bases for state planning and public-private collaboration.

b) Royal Legislative Decree 7/2015, of October 30, approving the revised text of the Land and Urban Rehabilitation Law (consolidated text)

  • It is the basic state norm on land, territorial planning, and urban rehabilitation and regeneration actions.
  • It recognizes citizens' right to enjoy decent and adequate housing and articulates urban duties and charges linked to that objective.
  • It regulates urban and building transformation actions, community participation in capital gains, and public land heritage, central elements for land reservation for protected housing.
  • It expressly provides that homeowners' associations and housing cooperatives may be promoters of actions in the urban environment, which serves as an urbanistic basis for protected housing cooperatives.

c) Law 29/1994, of Urban Leases (LAU) (consolidated text)

  • It is the basic norm on housing and commercial lease contracts.
  • It includes a specific article on leases of official protection housing for rent, which:
    • Links the duration of the VPO legal regime for rent to the amortization period of the qualified loan or, failing that, to 25 years from the definitive qualification.
    • Sets criteria on maximum rents, rent reviews, and nullity of clauses exceeding authorized limits.
    • Refers to autonomous regulations when specific regulation exists.

d) State Housing Plan 2026‑2030, approved by Royal Decree 326/2026, of April 22 (BOE)

  • Develops Law 12/2023 in terms of housing aid and programs, including specific lines to promote affordable rental, protected housing, rehabilitation, and mobilization of vacant housing.
  • Defines housing and beneficiary requirements, rental/transfer price limits, and conditions for public promotion actions and collaboration with social entities and cooperatives.
2. Housing cooperatives

a) Law 27/1999, of July 16, on Cooperatives (consolidated text)

  • It is the basic state norm on cooperative societies within state competence (coexists with numerous autonomous cooperative laws).
  • Defines the concept of cooperative society, its constitution, social bodies, economic regime, members' liability, transformation, and liquidation.
  • Although there is no exclusive title for “housing cooperatives,” the law:
    • Allows the creation of cooperatives whose activity is the promotion, construction, or management of housing for their members.
    • Generally regulates capital contributions, use of properties by members, transfer of contributions, and the relationship between the cooperative and user members.
  • Details (definition of housing cooperative, allocation limits, use transfer, etc.) are usually developed in autonomous cooperative laws.

b) Law 1/2026, of April 8, comprehensive promotion of the social economy (BOE)

  • Strengthens the promotion framework for social economy entities, including housing cooperatives.
  • Provides financial support, promotion, and recognition measures that can be applied to cooperative projects of protected or affordable housing.
3. Role of autonomous communities

Although the above norms constitute the basic state framework, the specific regulation of protected housing and housing cooperatives is largely autonomous:

  • Each community approves its own housing and protected housing laws (typologies, maximum prices, protection periods, qualification and declassification procedures, allocation, demand registries, etc.).
  • It also enacts its cooperative law, where the housing cooperative is usually more specifically defined, its modalities (ownership, use transfer, rental), and particularities in allocation and use of housing.
  • Autonomous housing plans specify the territorial application of the State Plan and aid for cooperative promotion.

In summary, today protected housing in Spain relies on Law 12/2023, the revised Land Law, the LAU, and state housing plans, while housing cooperatives are governed by Law 27/1999 and social economy regulations, always complemented by very determinant autonomous regulations in practice.

Could you detail how Law 12/2023 defines and treats areas of tense residential market and their impact on rental and protected housing? What practical differences exist between autonomous protected housing and incentivized affordable housing according to Law 12/2023? Could you explain the typical legal regime of a housing cooperative in a specific autonomous community, for example Madrid or Catalonia?

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How much do you know about this topic? Answer the following 3 questions.

What is the approximate percentage of public housing in Spain according to the cited report?

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What social housing management model predominates in the Netherlands?

Question 2 of 3

How has the number of protected housing units completed in Spain evolved from 2006 to 2024?

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