The Community of Madrid is preparing a comprehensive housing action plan for 2026/2027, incorporating 15 targeted measures designed to ease the process of purchasing a first home, increase the availability of rental apartments, and reduce construction timelines on available land throughout the region.
“My First Home” Program Expansion
A key highlight of the plan is the extension of the eligibility age for the “Mi primera vivienda” (My First Home) program to 50 years old. Previously limited to buyers under 40 and applicable only to resale homes, this program now offers 100% mortgage guarantees for both new and resale properties. This extension aims to broaden support for residents purchasing their first home and significantly increase the number of beneficiaries.
This change follows a July 2024 update to the program, which adjusted initial requirements to better reflect current social and economic realities. Notably, large families and single-parent households can now benefit from the program without any age restrictions.
Housing Opportunities for Youth: Vive Solución Joven
To promote youth emancipation, the region will add 1,000 new homes to the Vive Solución Joven plan, raising the total to 5,500 units. This expansion includes incorporating municipalities such as Alcalá de Henares and Villanueva de la Cañada, alongside bolstering projects within Madrid city, particularly new developments in the Aravaca area.
Overall, the Vive plan will increase its affordable rental housing stock to 14,000 apartments across more than 20 municipalities, with approximately 5,000 already delivered.
Incentives for Long-Term Rental Landlords
The plan also aims to protect both property owners and tenants by enhancing incentives under the Alquila program. These incentives are designed to reward landlords who commit their properties to the long-term rental market, encouraging a more stable and accessible rental environment.
Plan Comparte: Intergenerational Housing Solutions
The introduction of Plan Comparte will facilitate shared housing arrangements between older adults and young people, helping to ease housing access for groups facing significant market challenges. All homes participating in this program will receive quality seals certifying compliance with the highest safety standards.
New Law on Territorial Planning, Urban Development, and Land
A cornerstone of the housing strategy is the forthcoming law on spatial planning, urban development, and land use. This legislation aims to increase affordable housing availability and streamline administrative procedures. A regional housing land plan will identify suitable plots for new urban developments, addressing concerns that the 30,000 new homes built annually in Madrid could exhaust available land within a decade.
The new Land Law will simplify land-use procedures, making land more accessible for housing development. It will unify urban planning and spatial planning regulations, replacing two existing laws with a single, more flexible framework expected to be approved by early 2027.
Currently, only 21 of Madrid’s 179 municipalities have updated their urban plans, hindered by the complexity and lengthy approval process of General Urban Development Plans, which typically take 10–12 years. The new law proposes replacing these with municipal strategic plans, reducing approval times to 4–6 years and cutting the drafting period from 7 years to as little as one year.
The legislation also includes a special regime for small municipalities and specific measures for urban regeneration, enabling district refurbishments and improvements to public and private spaces.
For plots designated for social housing, the law permits a 10% increase in buildable area and a 20% increase in density without requiring changes to the urban plan. This provision is expected to add 15,000 new affordable homes over the next four years, supplementing the 140,000 already planned.
Support for Vulnerable Families
The Social Housing Agency (AVS) will expand its housing stock for vulnerable families by increasing the number of homes built during the current legislative term to 2,100, including an additional 500 units in Madrid city. Construction is already underway on 840 homes in Majadahonda, Móstoles, Rivas-Vaciamadrid, Villa del Prado, and Madrid itself.