In Spain, illegal occupation of homes, known as “squatting”, has been a growing problem in recent years, generating concern among property owners and society in general. To address this situation, a legal reform has been proposed that seeks to speed up evictions and strengthen the protection of property owners’ rights.

Proposed Changes in Legislation

The reform focuses on modifying article 795.1 of the Criminal Procedure Law (LECrim) so that the crimes of breaking and entering and usurpation of property are processed through the procedure of fast-track trials. This would allow these cases to be resolved within a maximum period of 15 days from their entry into court, significantly speeding up the eviction process.

Breaking and entering, regulated in article 202 of the Criminal Code, refers to the illegal occupation of an inhabited home, while usurpation, contemplated in article 245, applies to uninhabited properties. With the reform, both crimes would be susceptible to being judged quickly, facilitating the recovery of the properties by the owners.

Implications of the Change

The implementation of this reform would have several consequences:

• Streamlining of Evictions: Owners could recover their homes in a considerably shorter time than at present, where the processes can extend between 4 and 12 months. With the new law, it is estimated that evictions could be carried out in approximately 15 days.

• Cost Reduction: By shortening the duration of the judicial procedures, the associated legal expenses would be reduced, economically benefiting the affected owners.

• Deterrence of Illegal Occupations: The possibility of quick evictions could act as a deterrent for those who consider occupying properties illegally.

Expected Entry into Force Date

The reform was approved by the Congress of Deputies in November 2024 and is currently being processed in the Senate, where its final approval is expected due to the existing majority in favor of the measure. Once sanctioned by the King and published in the Official State Gazette (BOE), the law is expected to come into force in February 2025.

Impact on the Real Estate Sector

The reform promises significant benefits for the real estate market on several fronts:

1. Increased Confidence of Landlords

The possibility of quick evictions may encourage landlords who are currently reluctant to rent out their properties for fear of squatting. This could increase the supply of housing on the rental market, helping to balance demand and stabilize prices.

2. Boom in Real Estate Investments

Greater legal security could attract national and international investors interested in acquiring properties in Spain, both for personal use and for rent. This security will encourage the development of new projects, especially in urban and tourist areas such as the Costa Blanca.

3. Boosting the Sales and Purchase Market

Many unoccupied properties remain off the market due to the risk of squatting. With the new law, these assets could go on sale, increasing supply and favouring smoother transactions.

4. Greater Transparency and Legality

By reducing illegal occupation, the reform could also reduce legal conflicts related to properties, improving the image of the Spanish real estate market for potential foreign investors and buyers.

Consequences for the Rental and Sales Market

• Rental: The market is expected to become more accessible, with an increase in the number of properties available for rent. This could translate into a slight reduction in rental prices, especially in areas with a high concentration of vacant homes.

• Buying and selling: The reactivation of illegally occupied properties will allow owners to sell these properties more easily, which could increase supply and exert downward pressure on prices in certain regions.

Final Considerations

Although the reform represents a significant advance in the protection of the rights of owners, it is important to consider its balanced application so as not to neglect situations of social vulnerability. The effectiveness of the new regulations will depend on their correct implementation and the capacity of the judicial system to adapt to the new established deadlines.