{"id":26110,"date":"2025-04-22T09:33:37","date_gmt":"2025-04-22T07:33:37","guid":{"rendered":"https:\/\/addwill.eu\/?p=26110"},"modified":"2025-04-22T09:42:39","modified_gmt":"2025-04-22T07:42:39","slug":"significant-changes-in-housing-and-tax-law-what-you-need-to-know-about-decree-laws-2-2025-and-5-2025","status":"publish","type":"post","link":"https:\/\/addwill.eu\/en\/significant-changes-in-housing-and-tax-law-what-you-need-to-know-about-decree-laws-2-2025-and-5-2025\/","title":{"rendered":"Significant changes in housing and tax Law: What you need to know about Decree Laws 2\/2025 and 5\/2025"},"content":{"rendered":"<p>&nbsp;<\/p>\n<p style=\"text-align: justify;\"><strong>Decree Law 2\/2025, in effect from February 26, 2025<\/strong>, brings major changes to Catalonia\u2019s housing and urban planning legislation, expanding the government&#8217;s pre-emptive right to purchase certain properties.<\/p>\n<p style=\"text-align: justify;\">The Catalan Government (Generalitat) can now exercise its right of first refusal and buyback in the following cases:<\/p>\n<ul style=\"text-align: justify;\">\n<li><strong>Property sales<\/strong> in high-demand housing areas when the seller is a legal entity classified as a &#8220;<u>large property holder<\/u>&#8220;.<\/li>\n<li><strong>Properties awarded<\/strong> through administrative or court auctions.<\/li>\n<\/ul>\n<p style=\"text-align: justify;\">These new provisions add to existing ones covering foreclosures or debt settlements involving mortgage-backed properties.<\/p>\n<p style=\"text-align: justify;\">Who qualifies as a \u201clarge property holder\u201d?<\/p>\n<ul style=\"text-align: justify;\">\n<li>Any individual or company that owns more than 10 residential units or more than 1,500 m\u00b2 of residential space in Catalonia, or<\/li>\n<li>Owns 5 or more residential properties in designated <strong>high-pressure housing markets<\/strong>.<\/li>\n<li>Garages and storage units are excluded from this count.<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>Exemptions:<\/strong><\/p>\n<p style=\"text-align: justify;\">The Generalitat will not exercise its purchase right if the buyer is an individual who:<\/p>\n<ol style=\"text-align: justify;\">\n<li>Is registered as a candidate for affordable housing,<\/li>\n<li>Applies for official protection status within one month, and<\/li>\n<li>Uses the property as a primary residence for at least 10 years.<\/li>\n<\/ol>\n<p style=\"text-align: justify;\">All homes acquired by the Generalitat under this scheme will be permanently classified as affordable housing\u2014even if they exceed price limits set for such properties.<\/p>\n<p style=\"text-align: justify;\"><strong>Note<\/strong>: Although the official registry of large property holders is still being developed, sellers must provide a certificate showing how many properties they own at the time of sale.<\/p>\n<p style=\"text-align: justify;\"><strong>Tax Reforms Under Decree Law 5\/2025 (Effective June 27, 2025)<\/strong><\/p>\n<p style=\"text-align: justify;\">It introduces changes to the Property Transfer Tax (Impuesto sobre Transmisiones Patrimoniales, ITP) and the Stamp Duty (Impuesto de Actos Jur\u00eddicos Documentados, AJD).<\/p>\n<p style=\"text-align: justify;\">As for the ITP, the applicable rates on the transfer of real estate and the establishment of real rights are increased, with the introduction of new progressive brackets:<\/p>\n<ul style=\"text-align: justify;\">\n<li>Up to \u20ac600,000: 10%<\/li>\n<li>\u20ac600,001 \u2013 \u20ac900,000: 11%<\/li>\n<li>\u20ac900,001 \u2013 \u20ac1,500,000: 12%<\/li>\n<li>Over \u20ac1,500,000: 13%<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>Large holders and buyers of entire buildings face a<\/strong> <strong>20% rate<\/strong> (with limited exceptions based on the buyer&#8217;s profile).<\/p>\n<p style=\"text-align: justify;\">It also establishes a <strong>20% rate for the purchase of real estate by large property holders<\/strong> and for the acquisition of entire buildings intended for residential use, with certain limited exceptions depending on the nature of the purchaser.<\/p>\n<p style=\"text-align: justify;\">There are also changes to reduced rates. For the 5% rate applicable to young people purchasing their primary residence, the age threshold is increased: buyers can now benefit from this rate up to the age of 35, although the income limit remains set at \u20ac36,000 (after applying for personal and family allowances). A new 5% rate is also introduced for victims of domestic violence.<\/p>\n<p style=\"text-align: justify;\">New allowances are introduced:<\/p>\n<ul style=\"text-align: justify;\">\n<li>100% exemption for non-profit housing cooperatives that meet the requirements of Article 144 of Law 12\/2015.<\/li>\n<li>50% reduction for the conversion of office buildings or unfinished structures into social housing, and for the acquisition of real estate to be used as a company\u2019s registered office or workplace, provided certain conditions are met.<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong><u>The 70% allowance previously granted to real estate companies<\/u><\/strong> acquiring homes for resale within three years<strong> <u>is eliminated<\/u><\/strong>. This measure came into effect on 27 March 2025.<\/p>\n<p style=\"text-align: justify;\">In the case of the Stamp Duty (AJD), the applicable rate for deeds documenting the acquisition of real estate where the VAT exemption is waived is increased to 3.5%, up from the previous 2.5%. New allowances are also introduced:<\/p>\n<ul>\n<li style=\"text-align: justify;\">100% exemption for the purchase of a primary residence by individuals up to 35 years old, provided their taxable base does not exceed \u20ac36,000 (after applying personal and family allowances).<\/li>\n<li style=\"text-align: justify;\">75% exemption for the creation of horizontal property regimes in industrial and logistics parks, applicable until 31 December 2027.<\/li>\n<li style=\"text-align: justify;\">50% reduction for the conversion of office buildings or unfinished structures into social housing, and for the acquisition of real estate to be used as a company\u2019s registered office or workplace, provided certain conditions are met.<\/li>\n<\/ul>\n<p>At\u00a0<strong>addwill<\/strong>, we understand the complexity of these new regulations. Our team of experts from the civil-real estate department is at your disposal to provide all the information and advice you need on this topic. You can leave your inquiry by\u00a0<a href=\"https:\/\/addwill.eu\/en\/contact-us\/\"><em>clicking here<\/em><\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; Decree Law 2\/2025, in effect from February 26, 2025, brings major changes to Catalonia\u2019s housing and urban planning legislation, expanding the government&#8217;s pre-emptive  [&#8230;]<\/p>\n","protected":false},"author":12,"featured_media":26103,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1416,1448],"tags":[],"class_list":["post-26110","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-civil-en","category-sin-categorizar-en"],"_links":{"self":[{"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/posts\/26110","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/comments?post=26110"}],"version-history":[{"count":2,"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/posts\/26110\/revisions"}],"predecessor-version":[{"id":26127,"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/posts\/26110\/revisions\/26127"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/media\/26103"}],"wp:attachment":[{"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/media?parent=26110"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/categories?post=26110"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/addwill.eu\/en\/wp-json\/wp\/v2\/tags?post=26110"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}