Government increases rental aid to €300 per month: what it means for the Canary Islands
Finding affordable housing in the Canary Islands has become one of the biggest challenges for young people trying to move out of the family home. With property prices out of reach for most, renting is the only option, but rents across the islands, particularly in Tenerife and Gran Canaria, have soared to levels many simply cannot afford.
To tackle this, the Spanish Government has included in its State Housing Plan 2026–2030 a new Young Rent Bonus, increasing support for tenants under 35.
How the aid works
- Up to €300 per month for renting a main home.
- €200 per month for renting a room.
- In towns with fewer than 10,000 residents, which includes many Canary Island municipalities, the aid rises to €500 for homes and €250 for rooms.
The scheme is designed to make living in smaller communities more attractive, while also easing the pressure in major tourist areas where young Canarians are increasingly priced out.
Who can apply?
Applicants must:
- Be 35 or younger.
- Not own a home.
- Earn no more than five times the IPREM (around €33,000 annually).
- Higher income limits apply in cases of disability or special circumstances.
To avoid fuelling further price hikes, the aid will only apply to rentals costing up to €1,000 per month for a property or €600 for a room.
Why it matters in the Canaries
Rental costs in the Canary Islands are consistently reported as among the fastest rising in Spain, driven in part by the growth of holiday lets and high demand in tourist areas. Many young islanders are forced to delay leaving home, give up their studies, or move away in search of more affordable living conditions.
The new plan is expected to benefit thousands of young Canarians, particularly in smaller towns where higher subsidies are on offer.
Funding and duration
The bonus will run for two years, with the option to extend for another two. Nationally, the scheme will be backed by €7 billion, split between the Spanish Government (60%) and regional governments (40%), meaning the Canary Islands Government will manage part of the funds.
A further 40% of the total budget will go towards expanding public and affordable rental housing, with guarantees that any properties built or acquired under the scheme will remain protected for life.
In total, the plan could help up to five million young people across Spain, with the Canary Islands among the regions most in need of support due to its acute housing shortage and high rental costs.
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