Renting Out Property in Spain: The Difference Between Tourist, Temporary, and Long-Term Rentals

Many who own properties in Spain consider renting it out. However, it is important to understand that there are different types of rentals — each governed by specific laws. This article explains the differences between tourist rentals, temporary rentals, and permanent (long-term) rentals under Spanish law.

If you own a home in Spain and are thinking about renting it out, it's essential to know the type of rental you’re offering. Spanish law differentiates between various types of rental agreements — and misclassification can lead to legal and financial trouble.

What Are the Main Rental Types?

1. Permanent or Long-Term Rental (“residential lease”)

-This type is meant for tenants using the property as their primary residence (“vivienda habitual”).

-Governed by the Ley de Arrendamientos Urbanos (LAU) – Spain’s Urban Lease Law.

-Contracts can be freely agreed upon but must be extended to a minimum of 5 years (or 7 years if the landlord is a company).

-Tenants receive strong protections, including renewal rights and restrictions on eviction.

-No special license is generally required for long-term rentals.

Precautions and Risks

-Contracts must clearly state that the rental is for use as a primary residence.

-Landlords must report and pay taxes on rental income in Spain.

-If the property is part of a homeowners’ association, local rules may apply.

2. Temporary Rental (“seasonal / temporary lease”)

-Not intended for use as a primary home — e.g., for work, study, or seasonal stays.

-Referred to in Spanish as “arrendamiento de temporada.”

-Temporary contracts don’t offer the same tenant protections as long-term leases.

-No fixed legal maximum duration, but contracts over 11 months may be reclassified as permanent.

-Legal reform proposals suggest capping temporary rentals to 12 months.

Important Considerations

-Contracts must specify the temporary nature and purpose (e.g., “for university exchange program from Jan to June”).

-Misclassification may give tenants long-term rights under LAU.

-Beware of generic “11-month contracts” — courts may still grant tenants 5-year occupancy.

-More flexible for landlords, but comes with faster tenant turnover.

Special Warning: Tenant Rights When Misclassifying Contracts

If you draft a rental agreement as "temporary" but the tenant uses the property as their main residence, Spanish courts may override the contract and grant 5 years of tenant protection (or 7 years for corporate landlords).

That means:

-The tenant can stay for 5–7 years — even if your contract was for 11 months.

-You won’t be able to terminate the agreement unless certain legal conditions apply.

Avoid this by:

-Clearly defining the rental as temporary, with a specific purpose and end date.

-Having the tenant sign a statement acknowledging the property will not be their primary residence.

-Feeling uncertain, seek assistance from a legal expert to draft or review the rental agreement.

3. Tourist Rental (“holiday / short-stay rental”)

-Short-term stays for holidays via Airbnb or similar platforms requires a tourist license.

-As of July 1, 2025, all short-term rentals must register in the National Register of Short-Term Rentals.

-Regional governments can impose strict limits or bans.

-Violations may result in fines or rental bans.

Key Requirements

-Valid license, safety measures, and energy certificate are often mandatory.

-Homeowners’ associations may prohibit tourist rentals in the building.

-License numbers must be displayed in all listings.

-Tax and legal obligations are stricter than long-term rentals.

Practical Tips for Property Owners in Spain

-Identify what type of rental you're offering before creating a contract.

-Include clear language defining the use and length of the stay.

-For tourist rentals: apply for a license and follow all local requirements.

-Check your community association’s rules — they may ban tourist rentals.

-Report all income properly according to Spanish tax law.

-Always seek legal advice if you're unsure about regional differences.

Summary

Renting out your Spanish property requires a clear understanding of rental categories. Is the property being used as a primary home, temporary residence, or for tourist accommodation? Each type has its own legal requirements — especially tourist rentals, which face tighter controls. If misclassified, landlords can face serious legal consequences, including long-term tenant rights or administrative fines.

Tip: File Your Taxes Easily with Estity

Renting out property in Spain also comes with declarations, regulations, and paperwork — but it doesn’t have to be complicated.

Estity offers simple and seamless tax filing for non recidents (modelo 210), whether you're renting to tourists or temporary.

Everything is handled digitally, with all your documents in one place — licenses, rental income, and taxes, fully compliant with Spanish legislation.

Legal texts together with Idealista, Svenska Magasinet, The Local