We analyze the impact it will have tax increases proposed and pending ratification in the general budget of the state, on the new and used housing. From the point of view of buyers, all persons who purchase a home from the second half of 2010 will have to pay more UN1% VAT. In a mortgage of 150,000 Euros is rising more than 2500 euros. The houses are second-hand property transfer tax instead of VAT will be raised by 1% from 8% The houses are taxed at the reduced VAT VPO so this type of housing is exempt from tax reform, like staples. To this we must add the loss of choice of relief for house purchase which for a standard mortgage can be an

additional cost of 2,500 euros each year for the redemption of the mortgage. Sellers also affected. The person who sells a house in 2010 and obtained gains below 6,000 euros will have to pay tax un19% whereas if the gains are higher than 6,000 euros to pay taxes to a single tranche of 21%. The promoters will also be affected by VAT increases which, according to the analysis, affect a considerable reduction in the stock of unsold homes. Complex scenario is emerging for the housing market.