For members


How to apply for Spain’s new €250 rent bonus for under-35s

The Spanish government has approved a new housing benefit for young mid-to-low income earners to get €250 a month towards the cost of rent. Here’s how to see if you’re eligible and how you can apply.

House share in Spain
Would you like to apply for Spain's new rental bonus for young mid to low earners? Photo: Wonderlane/Flickr

The Spanish government first announced the plan back in October 2021, but finally approved the scheme on Tuesday January 18th – the date which it also came into effect. 

The aid is set at €250 per month for a period of two years for each young person, as long as they have a regular source of income and their income doesn’t exceed €24,318 per year.

Its aim is to help young people in Spain move out of their parent’s houses and live on their own.

According to a study by the Spanish Youth Council (CJE) only 15.8 percent of young people under the age of 30 have moved out of home and the rest still live with their parents. 

This age group also has one of the highest unemployment rates in the EU at 31.1 percent (in the third quarter of 2021), according to the Active Population Survey (EPA). 

Not only this, but these young people also have the lowest salaries. According to the latest data from the Instituto Nacional de Estadística (INE) in 2020, this was €1,207 gross on average per month.

In total, the Spanish government calculates that more than 70,000 people will benefit from this initiative. 

Who is eligible to apply for the aid?  

In order to apply for the scheme and be granted the €250 monthly aid you must:

  • Must be between ages 18 and 35
  • Have regular a source of income. However, this cannot exceed €24,318 per year. This is equal to 14 payments a year of €1,737 gross per month or 12 payments of €2,026 gross per month.
  • The amount of rent paid cannot exceed €600 per month, although regions with particularly high rents that wish to extend it to €900 euros per month can do so.
  • The grant must be used to rent a place in which you as the beneficiary live in. In other words, you can’t sublet it.  

    Failure to comply with just one of these points means that you will not be entitled to the benefit.

How much will I receive? 

The maximum amount you can receive is €250 per month. The payments can only be used for the purpose of renting accommodation and nothing else. 

Can I benefit from the rental aid if I’m already receiving other benefits? 

Yes, the bonus is compatible with other benefits of the State Plan for Access to Housing 2022-2025.

If you do receive different two types of benefits, the amount received will be up to 40 percent of the difference between the rent of the home and the aid, with the joint limit (the sum of the two subsidies) equalling 75 percent of rental income.

You will also be able to continue to receive other types of social bonds such as the Minimum Vital Income (IMV) and other non-contributory Social Security benefits.

What if I rent a room in a shared apartment? 

You can benefit from this aid whether you live alone or share a flat. In fact, if you are sharing an apartment with others, all housemates can also request this help individually, as long as they meet the requirements.

In the case of renting a room, the maximum rent will be set at €300, although each region may raise this limit to €450 if they want to. 

How can I apply for the aid?

The rental benefit can already be applied for and came into effect on January 18th. It is retroactive, meaning that if you are eligible and your application is successful, then the aid will be backdated to January 1st 2022. 

You can apply either in person at the housing offices in each region or online by using your Digital Certificate.  

READ ALSO – Access all areas: how to get a digital certificate in Spain to aid online processes

To apply online, you must follow this link to the corresponding page on the government website.

After reading through to check that you meet all the requirements, you can click on the box in the bottom left-hand corner which says ‘Enlaces a Comunidades Autónomas’ or ‘Links to Autonomous Communities’. 

From here, you simply need to click on your region, where you will be taken to a regional website and given further instructions.

Be aware, that not all of the regions have set up the function to apply for this aid on their websites yet, so you may need to wait until they do or simply apply in person instead. 

How long will it take to receive the benefit?

According to the Minister of Transport, Mobility and Urban Agenda, Raquel Sánchez, it will be managed within a period of “a month and a half or two months at the most”.

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For members


Home insurance in Spain: How does it work and what does it cover?

Home insurance in Spain has policies which may differ from what you're used to in your home country. Here's why Spanish home insurance may surprise you in terms of what it covers, what it costs, key info and whether it's worth getting.

Home insurance in Spain: How does it work and what does it cover?

If you’re moving to Spain and purchasing a property or even renting, one of the first and most important factors to consider is purchasing home insurance.

According to the latest data available, approximately 23 percent of households in Spain are uninsured. That percentage corresponds to around 6 million homes.

But with low prices and the wide range of situations Spanish home insurance covers, there’s little reason not to get it.

Contracting home insurance is only essential in Spain when you acquire a mortgage. The current Mortgage Law requires you to take out this insurance if you are going to buy a house with a loan and is an essential requirement for banks to grant you the money.

If you’re renting in Spain, you’re not obliged to contract home insurance, but it still may be a good idea.

Your landlord may have buildings insurance, but you may still want to take out some type of insurance to protect your own belongings or the contents of the property. 

In the UK, home contents insurance covers your personal possessions against theft, fire or other damage, while buildings insurance covers the structure of your property if the tiles on your roof are broken in a storm for example, the outside is damaged by fire or a tree falls on part of your property.

In Spain, home insurance works slightly differently. Like in the UK and other countries there are different types of insurance. 

READ ALSO: Is getting rental default insurance worth it for landlords in Spain?

What types of home insurance are there in Spain?

The most basic is seguros de daños or damage insurance which is similar to buildings insurance in the UK. This will only protect the structure of your property. This would be damage caused by major events such as fires, explosions, flooding, acts of vandalism or subsidence and you should still check the smallprint to be sure of the conditions. With flooding for example, most insurers cover flooding damage caused by rainfall greater than 40 litres per square metre per hour.

The second tier is seguros multiriesgo or multi-risk insurance. This covers both your building and its contents and is one of the most comprehensive types of home insurance in Spain.

This type of insurance not only covers big incidents like fire or theft, but it also covers a whole range of minor issues, which is very different from the type of contents insurance in the UK.

Home insurance is only essential in Spain when you acquire a mortgage. Photo: Louis Hansel / Unsplash

It can cover for everything from a blocked sink to a burst pipe in the wall or a broken radiator. Sometimes it may even cover the breakdown of your white goods such as washing machine and fridge, depending on how old they are and what your specific policy says.

It’s also especially useful for flat owners as it covers against damage to your neighbours’ property if something inside your apartment is at fault.

For example, if your shower or toilet breaks and starts leaking into the flat downstairs, your insurance should cover the damage to your neighbour’s ceiling so that you won’t have to fork out a fortune for fixing someone else’s property.

Many major cities in Spain have historic quarters and some of its nicest-looking apartment buildings are some of the oldest too, so it’s particularly useful if your property is old and prone to needing fixing regularly. 

The third and highest type of home insurance coverage in Spain is all-risk home insurance, which has extended coverage that includes robbery on the street, damage to extra storage rooms outside the main property or coverage for cosmetic damage.

What you need to know

Keep in mind that when you do claim or after you have claimed a couple of times, it’s normal that the insurance company won’t want you to be their client anymore and will terminate your contract.

This shouldn’t be a problem, however, you will simply contract a new home insurance policy with a different company. It helps to go with a broker so that they can present you with different options to choose from, so you know what’s the best.

Be aware that every insurance company will have a slightly different policy so just because a certain item may have been covered on your old policy, it doesn’t mean that will be on the new one or be covered to the same amount of money.

What are some of the most popular home insurance companies in Spain?

There are many different companies that offer multi-risk insurance policies in Spain, both international and national companies. Some of the most popular are:

  • AXA Home Insurance
  • Generali
  • Zurich
  • Mapfre
  • Caser
  • El Corte Inglés 

How much does home insurance cost in Spain?

As the multi-risk policies cover so many different aspects, you would imagine that they’re very expensive. Surprisingly though, these are quite affordable at under €200 per year according to the Organisation of Consumers and Users (OCU).

The price isn’t too different from what you’d pay in the UK. Money Supermarket says that a combined home and contents insurance policy in the UK costs around £140 per year, but usually it will cover a lot less.