Law 5/2025 on Housing in Andalusia, published in the Official Gazette (BOJA) in December 2025, represents a major overhaul of the region’s residential legal framework. It is not merely a legal update, but a regulation designed to directly influence how the real estate market operates, affecting development, rental housing, and the role of property professionals.
Below, we break down the key aspects of the law and its real impact on the Andalusian residential market
A New Legal Framework: Greater Clarity and Legal Certainty
One of the law’s main objectives is to unify and simplify a regulatory framework that had become fragmented and outdated. For the real estate sector, this translates into:
- Greater legal certainty for developers, property owners, and agents
- Clearer rules for free-market housing, protected housing, and public housing stock
- Reduced regulatory uncertainty compared to national housing legislation
The Andalusian government reinforces its regional authority over housing policy, promoting a more flexible model focused on increasing supply.
Strong Push for Public–Private Collaboration
The law places strong emphasis on public–private partnerships as a key mechanism to expand the supply of affordable housing.
For real estate professionals, this creates new opportunities such as:
- Affordable housing land banks
- Concessions to build and manage protected housing
- Mixed development and management models for public housing
- Private participation in strategic residential projects
This approach acknowledges that the private sector is essential to solving the housing shortage, particularly in the rental market.
Protected Housing: More Flexible and Attractive for Developers
One of the most significant changes is the modernization of the protected housing regime, traditionally seen as rigid and commercially unattractive.
The new law introduces:
- Greater flexibility in protection periods
- Revised maximum sale and rental prices
- Streamlined administrative procedures
- Clear rules on transfers, rentals, and pre-emption rights
The goal is to reactivate protected housing development by making it viable and appealing to developers and investors once again.
Real Estate Agent Registry: Professionalizing the Sector
The law establishes the Registry of Specialized Residential Real Estate Agents of Andalusia, a key step toward market professionalization.
What does this mean?
- Mandatory registration via a responsible declaration
- Minimum requirements for training, financial solvency, and insurance
- Increased transparency for consumers
- Clear differentiation between qualified professionals and informal operators
For established agencies and serious professionals, this represents a competitive advantage and a boost to client trust.
Rental Market: Increasing Supply While Protecting Property Owners
Rather than imposing broad rent controls, the law focuses on incentivizing rental supply, particularly from private property owners.
Key measures include:
- Support for affordable rental housing
- Greater legal protection against illegal occupation
- Coordinated mechanisms to combat squatting
- Incentives to rehabilitate properties for rental use
The message is clear: without property owners, there is no rental market.
Rehabilitation, Sustainability, and Residential Quality
The law aligns housing policy with:
- EU Next Generation funds
- Energy efficiency goals
- Universal accessibility standards
- Urban regeneration strategies
For real estate, this means:
- Increased value for rehabilitated properties
- Stronger demand for energy-efficient assets
- New opportunities in neighborhood and building regeneration
Sustainability is no longer an added bonus—it becomes a structural driver of real estate value.
Urban Planning and Housing: Stronger Coordination
The law strengthens the link between:
- Urban planning
- Land reservations for protected housing
- Municipal housing plans
This directly affects:
- New residential developments
- Land management strategies
- Project feasibility and planning
Municipalities gain a more prominent role, within a clearer and better-coordinated regional framework.
Inspection and Sanctions: Clear Rules for a Fairer Market
Inspection powers and sanctioning mechanisms are reinforced, particularly regarding:
- Protected housing left unoccupied
- Unauthorized use
- Irregular transfers
For professional operators, this leads to a more transparent market and reduced unfair competition.
Conclusion: A Law Designed to Activate the Market, Not Restrict It
Andalusia’s 2025 Housing Law marks a clear shift in approach compared to other recent housing regulations in Spain. Instead of restricting the market, it focuses on:
- Expanding supply
- Attracting investment
- Professionalizing the sector
- Protecting property owners
- Delivering affordable housing through collaboration
For real estate agents, developers, and investors, this law is not a threat, but a framework that—when properly understood—can create new opportunities in Andalusia’s residential market.
