My parents own some apartments and offices, and having seen the issues they have had with them, despite having for the most part good faith tenants, i know for a fact that when they pass and i inherit their assets i will liquidate them all and never get involved in any form of real estate in Portugal.
I do this not because I don't want to, but because the ever changing laws, confiscatory taxes and public ill-will on landlords makes it a stupid proposition.
Good intentions generally have terrible results.
I would argue that the laws and regulations are sort've working as intended in that they deter renters. Unfortunately it also isn't working as intended in that it's not encouraging primary residency. So you end up with the worst of both worlds: neither renters nor homeowners.
Personally, I am strongly of the opinion that renting for more than a temporary amount of time should be very strongly discouraged; that people should own their place of residence; and the correlation that there should be very few landlords over renters. But I can see how that can be bad for some types of economies...
Yes. Why should anyone have free income? That idea is backwards to a functioning economy.
> That way the pensioners have an income to live on — without slowly draining their savings — and the young people have a place to live without having to take out a huge loan.
Here's a better solution: group of pensioners getting together and buying an apartment block. Then instead of renting it out, they rent-to-own. Renting there builds equity. Moving out means an opportunity to sell the equity, with a guaranteed floor that the landowners would buy back. At some point the equity means you own your unit.
In places with rapidly rising housing prices and strict rent control, it would be better for a speculator to hold the property empty rather than rent it. If you rent it, you lock in the rental price, even if prices go up a lot. If you keep it empty, you can wait until it appreciates the amount you want, and then rent or sell it.
Spain isn't known for its efficient court system.
Letting good property sit empty when there's affordability crises because it's an "investment" and you're just waiting for the ability to charge more, say, is tragic.
I'm currently in the market for a home (SFBAY), one that could also house my aging parents in the future, so that they're not forced to move away to a LCOL location if they don't want to. Because of this, I'm looking at purchasing a duplex or a home with an in-law unit.
Due to extremely powerful tenant protection laws in the city I'm looking to buy in, I am not considering purchasing units that are tenant occupied, and am willing to pay a significant premium for a vacant unit vs an occupied one.
This isn't a comment on tenant protection laws themselves, but a note that both sides value a vacant unit over an occupied one in highly regulated markets.
I knew a realtor in the Bay Area who specialized in selling homes with existing tenants. He had a lawyer who specializes in owner move-in evictions.
He could find buyers properties at a substantial discount and then guide them though the eviction process. Buyers, if patient enough, could buy a $1M home for $800k plus $50k in legal costs/buyout funds.
It has been worse recently because of moratoriums on evictions (due to covid). In many cases, that meant that the people occupying the dwelling had no incentive to pay anything at all, and no process existed to remove them.
Granted, if it's a primary residence, you have your driver's license and neighbors to back you up. But what if it's an investment property? What if the squatters have been there long enough to have their ID say the address?
If you own the property, then that's public record and can be easily looked up. Once they verify you own the place, police are going to believe you if you say these people are squatters not renters, and they'll have trouble producing documents otherwise. I'd also love to know what percentage of squatters end up getting IDs with addresses to places they don't own, which also requires btw proof of residence (deed AND other forms like a utility bill with your name on it).
If that were true then land lords could evict someone just by calling them a squatter. More to the point, everything you're saying is about making a judgement based on evidence. Police collect evidence, courts make judgements based on that evidence.
I don't need an ID with a to turn on the gas and electric. Or, I haven't anywhere I've been.
I don't think it'd be hard to get an ID anywhere I can pick the mail, to be honest. I don't recall needing a document like a lease to get my last drivers license.
But then, I'm not squatting, and given that I try to keep a reasonable credit record and avoid court, I'm not disposed to start squatting.
This then runs into obvious problems when the police use it as an excuse to just not bother with short-term situations that obviously don't fall under actual squatter's rights precedents.
And don't get me wrong: it's mostly hypocrisy IMHO, but real defense, like e.g. making sure laws like this don't pass, it's marginal. It's common, at least in Spain, for leftist politicians and media personalities, which tend to be the ones proposing pro-squatter bills, to have large and/or multiple houses.