The Spanish Ministry of Consumer Affairs has opened an investigation into Alquiler Seguro, a real-estate company. It is suspected that the company charges tenants illegal fees. National consumer organizations, like Facua, reported abuses that were not in compliance with housing laws. In particular, the violation involves charging tenants fees for contract formalisation, property management and other costs that fall exclusively on the landlord as of 2023.
Alquiler Seguro will be fined between 100,000 and one million euros if the ministry finds it guilty. The amount of the fine depends on the severity of the case. Facua was alerted to a case in which a Madrid tenant was required to pay a month’s rent and 21% IVA for real estate services.
In times of housing crisis, such alleged abusive practices have become more common. This leaves those looking for a house in desperate situations. They are also at greater risk of being scammed. Alquiler Seguro has stated that they have stopped the practice, according to Facua. The government has taken action due to the increase in alleged irregularities over the past few months.
Alquiler Seguro’s response
Alquiler Seguro released a statement that assures clients of its “strict” compliance with the law. The company said that all services and processes are voluntary and audited. It also stated that services are available “publicly” on the internet.
The company stated that it adheres to the regulations that require that all costs associated with management and formalisation are borne by the landlord. Alquiler Seguro has stated that they are open to working together with the Ministry of Justice in order to initiate the sanctioning process.
Airbnb is subject to sanctions
Pablo Bustinduy from Consumer Affairs is investigating other agencies who are forcing tenants to accept services they have not requested and charging them illegal commissions. This new sanctioning method is part the investigation which began in October last year following complaints by the Sindicato de Inquilinas CECU, Facua (another consumer organization) and OCU. These complaints highlighted violations such as asking tenants for a commission to manage the lease, forcing them to purchase insurance or to provide services that they did not request.
Bustinduy, the head of the Consumer Affairs department, opened an earlier sanctioning procedure against Airbnb three months prior, in the same housing field. The case was filed because Airbnb, a platform for renting out tourist accommodations, has thousands of classified ads that are illegal. The case was opened because the platform refused to remove thousands of illegal advertisements when asked by the ministry.
Housing is a fundamental right protected by the law. The Ministry of Social Rights and Consumer Affairs has set an objective to protect consumer rights in housing.