Legal Housing Reforms in Europe and in Spain as a Results of the International Crisis 2007

Abstract

This paper covers the causes and the consequences of the worldwide mortgage crisis of 2007 in the field of housing law. The identification of reckless mortgage lending and mortgage securitization as the main causes of the crisis and its spread throughout the rest of the world have reoriented housing law and jurisprudence towards the increase of consumer protection in the field of mortgage loans, both in Europe as well as in Spain. The efficacy of other reforms relating to housing, such as the regulation of rating agencies at EU level or the law of leases in Spain have, on the other hand, been more controversial.