Right to rent in the event of foreclosure of the main residence
This measure may be requested by debtors whose main residence has been foreclosed and whose eviction has been suspended.
An eviction is suspended when, in a foreclosure process, the foreclosed home is the main residence of persons who are in the following cases of extreme vulnerability and economic circumstances:
- Large family, in accordance with current legislation.
- Single-parent family unit with at least one child.
- Family unit including a minor.
- Family unit in which one of the members has a recognised degree of disability equal to or greater than 33%, is a situation of dependency or suffers from an illness that results in accredited permanent incapacity for work.
- Family unit in which the debtor is unemployed.
- Family unit that has, living in the same dwelling, one or more persons who are related to the mortgagor or his/her spouse up to the third degree of consanguinity or affinity and who are disabled, requiring long-term care or suffering from an illness that results in temporary or permanent incapacity for work.
- Family unit including a victim of gender violence.
- The mortgage borrower is aged over 60.
1. That the total income of the members of the family unit does not exceed the limit of three times the annual IPREM of fourteen payments.
Depending on the circumstances that occur, this limit becomes:
• Four times the annual IPREM of fourteen payments, when the family unit is in one of the cases provided for in letters 4 and 6 of the previous section, that is:
- any of its members has a recognized degree of disability equal to or greater than 33%, a situation of dependency or illness that proves to be permanently disabling to carry out a work activity
- or relatives of the mortgage holder or their spouse up to the third degree of consanguinity or affinity live in the same home, and are in a personal situation of disability, dependency or serious illness that temporarily or permanently disables them to carry out a work activity.
• Five times the annual IPREM of fourteen payments, in the event that the executed person is a person with cerebral palsy, with a mental illness or with an intellectual disability, with a recognized degree of disability equal to or greater than 33 percent, or a person with a physical disability. or sensory, with a recognized degree of disability equal to or greater than 65 percent, as well as in cases of serious illness that accreditedly disables the person or their caregiver, to carry out a work activity.
The limit defined for each case will increase for each dependent child within the family unit in:
- 0.15 times the IPREM for single-parent families;
0.10 times the IPREM for the rest of the families.
2. That, in the four years prior to the time of the application, the family unit has suffered a significant alteration of its economic circumstances, in terms of effort to access housing, that is, that it has multiplied by at least 1, 5.
3. That the mortgage payment is greater than 50% of the net income received by all the members of the family unit.
4. That it is a credit or loan guaranteed by a mortgage that falls on the only home owned by the debtor and granted for the acquisition of the same.
The application for rental of the habitual residence must be made within the 12 months following November 24, 2022, for suspensions prior to this date or since the suspension occurs, for subsequent ones.
In return for this rental, the debtor will pay a maximum annual rent of 3% of the value at the time the auction was approved. This value will be determined according to the appraisal provided by the debtor, certified by an approved appraiser.
The lease is annual, extendable up to 5 years at the will of the lessee. After this period, both parties may agree on an annual extension for another 5 years.
FREQUENTLY ASKED QUESTIONS
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Can I request debt restructuring if the loan was not used to purchase my home?