From now on, simply calling a rental property "temporary" is no longer enough to legally qualify it as such. The new Catalan regulations focus on the actual use of the property, not the name given to the contract. This closes loopholes that had been used to circumvent rent limits in high-demand areas.
Law 11/2025, of December 29, on measures regarding housing and urban planning , published in the Official Gazette of the Generalitat of Catalonia on December 31, 2025, has been in force in Catalonia since January 1, 2026.
This is not a one-off reform or a simple technical adjustment. The regulation introduces a change of approach in how certain contractual arrangements should be interpreted and applied, arrangements that, in recent years, have become heavily used in the real estate market, especially in areas designated as having a strained residential market.
Law 11/2025 primarily focuses on three main areas:
- Temporary housing rental .
- Room rentals .
- Transfers of housing by large corporate owners, reinforcing the Administration's rights of first refusal and redemption.
The guiding principle of the law is clear: to prevent certain contractual arrangements from being used to circumvent rent limits, the guarantees inherent in standard residential leases, or the public intervention mechanisms designed to balance the market. To this end, the Catalan legislature shifts its focus from the duration or name of the contract to the actual use of the property and the need it fulfills.
Furthermore, the law is immediately applicable, without extensive transition periods, which necessitates a review of contracts, standard operating procedures, and ongoing transactions from this moment forward. What was previously considered standard practice may now have significant legal consequences.
Temporary leases are no longer defined by time, but by purpose
One of the most significant changes introduced by Law 11/2025 is the redefinition of the concept of temporary rental. From now on, any contract intended to satisfy a housing need, regardless of its duration, will be considered a permanent residential rental.
Temporary employment is only permitted when the contract is based on specific and limited reasons: professional, work-related, study-related, medical care or assistance reasons, provisional situations while awaiting the delivery of a home or the return to the usual residence, or other similar cases.
But the law is not merely a formal declaration. It requires that:
- The purpose of the contract must be expressly stated,
- This purpose must be documented, and
- The documentation is deposited along with the bond in the corresponding registry.
If any of these elements fail, the contract is presumed to be intended for permanent housing.
- Attention. Failure to properly prove the reason for temporary employment automatically converts the contract into a permanent residential lease.
Temporary leases will now be governed by the rules of residential rentals
The direct consequence of this new configuration is that many temporary leases are subject to the rules governing residential leases.
Specifically, the following rules apply to them:
- Determination and updating of income,
- Maximum rent limits in stressed areas,
- Legal bond and additional guarantees,
- Rent increase due to improvements,
- Assumption of general expenses and individual services.
This represents a substantial change from previous practice, in which the temporary contract was often used as a flexible instrument to set rents outside of legal limits.
- Attention. A temporary contract no longer allows, on its own, setting a rent higher than that permitted for the main residence.
Areas with a strained residential market: same limit, even if the contract is temporary
In areas declared to be under-pressure residential markets, the law is especially clear: temporary rentals are subject to the same rent control limits as other housing rentals.
This closes a loophole that had been frequently used to circumvent price caps. From now on, neither a limited duration nor the formal classification of the contract justifies a higher rent.
The only express exception is contracts with an exclusively recreational, holiday or leisure purpose, which are excluded from this regime, provided that said purpose is clearly stated, is documented and the tenant's usual place of residence is stated.
If the holiday purpose is not solidly proven, the contract is subject to the general housing regime.
Extensions and renewals
Law 11/2025 pays special attention to the extensions and renewals of temporary contracts, where many of the practical risks are concentrated.
In particular:
- If a temporary contract is extended without re-establishing the reason for its temporary nature and the tenant's habitual residence elsewhere, the lease becomes governed by the regulations for permanent housing, including the minimum legal duration.
- If the contract ends and a new one is signed with the same tenant and on the same property, the new contract is subject to the permanent housing regime, unless it is justified that the circumstances that motivated the initial temporary nature persist.
A poorly documented extension can legally transform a temporary contract into an indefinite one.
Room rentals no longer allow for price fragmentation
Another significant change is the explicit regulation of room rentals. The law defines this as a contract by which the exclusive use of a room and the right to use common areas of the dwelling are granted in exchange for payment.
Beyond the definition, the rule introduces a clear limit in stressed areas: the sum of the rents of all the rooms cannot exceed the maximum rent applicable to the unit rental of the dwelling.
In addition, the surface area standards per person and the maximum occupancy thresholds set in the habitability certificate must be respected.
Dividing a home into rooms does not allow exceeding the maximum legal rental price.
Large holders and transfers: more control and more obligations
In the area of transfers, Law 11/2025 maintains and reinforces the right of first refusal and redemption of the regional Administration in the transfers of homes located in stressed areas and owned by large corporate landlords.
However, some relevant exceptions are introduced:
- Transfers of newly built or extensively renovated homes carried out within one year of obtaining the certificate of occupancy,
- First transfers of new construction between companies of the same group with similar real estate activity.
Until the regulations governing the Register of Large Property Owners come into effect, legal entities transferring properties must declare whether or not they hold this status. If they declare that they are not large property owners, they must provide a land registry certificate proving the number of properties they own at the time of the sale.
A transfer without the proper declaration and certification may automatically trigger rights of first refusal or withdrawal.
Law 11/2025 represents a real tightening of the legal framework for rentals and property transfers in Catalonia. The legislator shifts the focus from the form of the contract to its actual purpose and expressly limits practices that had gained ground in recent years.
For owners, landlords, investors, and real estate operators, the message is clear: it is essential to review contracts, renewals, and ongoing transactions, because what might have gone unnoticed before now has direct legal consequences.
You can contact this professional office for any questions or clarifications you may have.
Warm regards,
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A Àmbit Assessor, SL has 40 years dedicated to the tax, comptable and labor consultancy of the Pime.
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