What happened and when it applies
On 7 October 2026 Spain's Official State Gazette (BOE) published Royal Decree-law 29/2026, with new rules on residential leases. It has been in force since 8 October, but it is provisional: Congress must ratify it within 30 days and, since Parliament has been dissolved, that vote falls to its Standing Committee (Diputación Permanente). In the meantime, it applies.
If you rent in Madrid, or are about to sign or renew a lease, this is what you need to know.
Extraordinary extension of up to two years
If your main-home lease was in force on 8 October 2026 and its mandatory or tacit extension period ends before 31 December 2028, you can ask the landlord for an extraordinary extension, year by year, for up to two years, on the same terms. You must request it and be up to date with the rent.
The landlord can only refuse if the parties agree otherwise, if you sign a new contract, if they prove they need the home for themselves or their family, or if they offer to renew at a rent at least 5% lower. Wanting to sell the flat is not a valid reason. The Madrid region has no declared stressed-market areas, so this is the extension that applies to you.
Rent rises: 2% cap until the end of 2027
Until 31 December 2027, the annual rent update will be whatever you agree and, without agreement, cannot exceed 2%. Remember that the landlord can only raise the rent if the contract provides for updates.
Seasonal and room rentals
A seasonal (temporary) lease needs a real, provable reason (work, studies, medical treatment…), must last more than 31 days and, as a general rule, no more than 12 months. If that period is exceeded without justification, or more than two consecutive contracts are signed between the same parties for the same home, the lease is treated as a main-home lease from the start, with all its protections.
Where a flat is let by rooms, the total rent for all rooms cannot exceed the rent for the whole flat.
Other changes you should know about
- In new contracts, the landlord cannot pass the IBI property tax on to you.
- You cannot be required to pay for rent-default insurance.
- Rental ads must include more information, such as the applicable rent cap or whether the landlord is a large holder, where relevant.
- When the lease ends, a document recording the condition of the home must be signed — key to getting your deposit back.
- If the landlord sells, your pre-emption right is strengthened and cannot be waived in the contract.
What is not yet in force
Royal Decree-law 28/2026, published the same day, provides for leases to be extended in five-year periods (seven if the landlord is a company), for the landlord's notice to rise to six months and, if they do not renew, for compensation to the tenant in certain cases. It is due to take effect on 15 November 2026 and also depends on ratification.
What if it is not ratified?
If the Standing Committee does not ratify it, the decree is repealed from the date that decision is published and the previous rules apply again. Repeal looks forward, but not everything is settled: for example, what happens to an extension requested while the decree was in force. If your lease ends soon, my advice is not to wait: request the extension now, in writing and with proof of delivery, such as a burofax.
I am available at weekends too
I am the tenant's and buyer's lawyer, never the landlord's or the agency's. I review your contract, tell you what you are entitled to under the new rules and draft the letter requesting your extension. I am there when others are not: on Saturdays and Sundays too. The first consultation is free.