The reference rental price index, the main mechanism to limit rental prices for a segment of property owners, has now come into force in Bizkaia. This measure is applied in designated stressed areas of the territory, where average rents already surpass 800 euros and demand reaches 58,000 people. The indicator not only establishes a price range but also sets the maximum limit at which landlords can offer their flats for rent.

However, this tool is not applicable to all property owners. It will only apply to those considered large holders (owning five or more properties), those who have not put their property on the market for more than five years, or those who have never offered it before. In all three scenarios, the properties must be located in a stressed area.

As explained by a spokesperson for the Ministry of Housing, the index affects approximately «10% of rental contracts» that are signed. This means that 90% of flats are not subject to this cap but rather to the IRAV, the index calculated monthly by the INE, which establishes the maximum percentage by which owners can increase their rents when renewing a contract. Currently, this increase stands at 2.47%. In any case, the implementation of the index allows for the control of rental costs across all of Euskadi.

To find out the maximum price a property owner meeting any of the three aforementioned criteria can set for their flat, the Ministry of Housing provides a search tool. Users only need to enter the cadastral reference or street address and the main characteristics of the flat. This data will also enable tenants to verify if the property they intend to rent is priced above the legal limit. The index's entry into force is not retroactive and will only take effect from this Tuesday.