Back in 1936, economist John Maynard Keynes wrote about the “euthanasia of the rentier,” a concept where capital becomes so abundant that investment returns naturally plummet. It seems the Spanish government is attempting a similar strategy with the housing market today. By creating policies that make renting out properties less profitable, officials hope to push landlords out of the market entirely.
While the intention is to reshape the landscape, the approach feels like it is attacking the wrong problem. The real issue is that while the government is busy discouraging private landlords, they have failed to provide any convincing, viable alternatives for those who need housing. Without a solid plan to replace these rentals, the strategy may just leave tenants with even fewer options.