The rental contracts signed as of May 2023 and that are updated this month may rise up to a maximum of 2.19%, according to the Housing Lease Index corresponding to January. The National Statistics Institute has published this indicator this Friday, with which the Government wants Pandemia and after the Russian invasion of Ukraine.
According to the latest data, also known this Friday, the consumer price index is at 2.9%, one tenth less than expected but 0.2 points more than in January. Specifically, the INE has indicated that the rebound is due to the increase in fuels and the price of electricity, which rose 7.9%.
The reference index for the housing lease update is calculated from the minimum value between the annual variation rate of the CPI, the underlying and the expected inflation in the medium term, adjusted with a moderating coefficient. This “correction mechanism” is applied when inflation is above 2%, as has happened in recent years.
The 2.19% increase only affects the contracts signed as of May 25, 2023 that have to be updated this month. On that date the State Housing Law entered into force, which regulates these increases, but not the prices of new contracts or renovations. The Ministry of Housing has published on its website a calculator in which tenants and owners can check what is the maximum price to which the leases can be updated, depending on the date of the firm.
The INE published the rental index for the first time in January, when it endors 2023, to alleviate the consequences of the inflationary crisis.
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