The effects of rent control. International lessons and the Catalan case

Abstract

Rent control, a policy with more than a century of history, lies at the centre of current debates on how to address the global housing crisis. The main aim of this article is to examine its real effects by considering the specific policy design and the institutional and historical contexts in which it has been implemented. The article introduces an original analytical framework based on eight factors, which enables systematic comparison across models, the identification of regulatory loopholes, and a clearer understanding of the conditions under which rent regulation becomes effective. The methodology relies on an empirical review of real-world case studies and concrete policy reforms, avoiding abstract theoretical literature and meta-analyses. It analyses the historical evolution of rent regulation in Europe and the United States and presents the recent case of Catalonia, which offers a unique opportunity to observe the effects of a contemporary regulatory framework.
The findings show that, when well designed and effectively implemented, rent regulation is a powerful tool for containing prices, improving affordability, and strengthening residential stability, thereby helping to prevent displacement and reduce social inequalities. The evidence challenges claims that automatically attribute negative effects on housing supply or quality to rent regulation, demonstrating instead that variations in the rental stock —whether increases or decreases— arise primarily from broader structural and institutional shifts rather than from the mere presence or absence of price controls. The effects depend on institutional design, the scope of the regulation, the persistence of control between tenancies, and enforcement capacity. Thus, there is no single model of «rent regulation», but rather a constellation of approaches whose success relies both on regulatory architecture and on effective implementation.