As of April 3, 2025, Spain has implemented significant updates to its short-term rental regulations, aiming to address the housing crisis, regulate the tourism-driven rental market, and ensure compliance with local laws. These changes, primarily driven by amendments to the Horizontal property law (Organic law 1/2025) and a Royal decree effective from January 2025, introduce stricter requirements for property owners engaging in short-term rentals. This article explores the key aspects of the new laws, their implications for landlords and communities, and what steps property owners need to take to stay compliant.

Background, why the new regulations?
Spain’s rental market has faced increasing pressure due to the rapid growth of short-term rentals, particularly through platforms like Airbnb and Booking.com. A 23% increase in tourist rental flats in cities like Madrid has reduced the availability of long-term housing, driving up rental prices and exacerbating affordability issues. Additionally, many tourist flats operate illegally without proper licenses, prompting the government to act. The new laws aim to:

• Increase transparency in the short-term rental market.
  
• Protect long-term housing availability for residents.
  
• Empower local communities to regulate rental activities.
  
• Combat illegal rentals with stricter enforcement.
  
  

Key changes effective April 3, 20251.
Community approval for short-term rentalsOne of the most significant changes is the requirement for explicit approval from a property’s community of owners (comunidad de propietarios). Previously, short-term rentals were permitted unless explicitly prohibited by the community. Now, landlords must provide proof of a 3/5 majority vote in favor of short-term rental activity, documented in community meeting minutes. This applies to:

• New applications for tourist rental licenses (Viviendas de uso turístico, or VFT).
  
• Updates or renewals of existing licenses, including when a property changes ownership.
  

This shift empowers neighbors to decide whether short-term rentals are allowed in their buildings, addressing concerns about noise, security, and overuse of shared facilities. If a community votes against rentals, landlords may be unable to obtain or renew a VFT license, even in high-demand tourist areas.

2. Mandatory registration with a national database
Since January 2, 2025, all short-term rental properties must be registered through a centralized digital platform, the Single digital rental window (Ventanilla única digital de arrendamiento, or VUDA). Each property receives a unique identification number, which must be displayed in all advertisements on platforms like Airbnb or Booking.com. Key registration requirements include:

• Proof of ownership and compliance with local regulations.
  
• Details about the property, such as whether the entire unit or a portion is rented, the maximum number of occupants, and whether it has a valid license.
  
• Verification that the community of owners permits short-term rentals, per the Horizontal property law.
  

The registration number is valid for 12 months and can be renewed if all requirements are met. Non-compliance may lead to the withdrawal of the registration number. The system is fully enforced as of July 1, 2025, but the transitional period (January 2 to July 1) allows landlords to adapt.

3. Stricter penalties for non-compliance
The new regulations impose hefty fines for illegal short-term rentals, with penalties ranging from €10,000 to €600,000, depending on the severity of the offense. Violations include:

• Advertising properties without a valid registration number.
  
• Operating without a tourist rental license.
  
• Failing to comply with community approvals or local zoning regulations.
  

Online platforms are now responsible for ensuring listings display valid registration numbers and conducting random compliance checks. Failure to comply may result in penalties under consumer protection laws.

4. Regional variations, Andalusia and beyond
While the national framework sets the tone, regional governments have some autonomy in implementing these rules. In Andalusia, for example, the Junta de Andalucía has introduced specific restrictions starting April 3, 2025. Landlords in this region must navigate both the national registration system and regional VFT license requirements, which now hinge on community approval. Other regions, like the Comunidad Valenciana, have additional rules, such as a maximum 10-day rental period for tourist rentals and a ban on key boxes in public areas.
Implications for landlords and investorsThe new laws present both challenges and opportunities for property owners:

• Increased bureaucracy: Obtaining community approval and registering with the VUDA adds time and complexity to the rental process. Landlords may need to organize extraordinary community meetings or wait for annual general meetings to secure votes.
  
• Risk of license denial: Properties in buildings where communities vote against short-term rentals may lose their ability to operate as tourist accommodations, potentially impacting investment returns.
  
• Shift to long-term rentals: Some landlords may pivot to long-term or seasonal rentals, which do not require VFT licenses in many regions and offer more stable income, albeit at lower yields.
  
• Legal and financial risks: Non-compliance with the new rules could result in significant fines or the loss of rental income, making legal consultation essential.
  
  

Implications for tenants and communities
For tenants, the regulations aim to increase the supply of long-term housing by discouraging short-term rentals in residential areas. This could stabilize rental prices, which have risen by 13% nationally and 18% in tourist cities like Barcelona and Madrid. Communities gain greater control over their buildings, potentially reducing disturbances from tourist rentals and fostering more cohesive neighborhoods.

How to stay compliant
Landlords should take the following steps to align with the new regulations:

Check community rules: Confirm whether your community of owners permits short-term rentals. If not, organize a meeting to propose a vote, ensuring a 3/5 majority in favor.

Register your property: Use the Single digital rental window to obtain a unique identification number. Provide all required documentation, including proof of ownership and compliance with local laws.

Update licenses: If you hold an existing VFT license, verify that it meets the new community approval requirements, especially if transferring or renewing the license.

Consult a professional: Engage a real estate lawyer or property management expert to navigate regional variations and ensure compliance.

Monitor platform listings: Ensure all advertisements on platforms like Airbnb include the registration number and comply with local advertising rules.

The April 3, 2025, changes mark a significant shift in Spain’s approach to short-term rentals, reflecting broader efforts to balance tourism with housing affordability. While the regulations aim to create a fairer and more transparent market, they also introduce complexities that require careful navigation by landlords and investors. As regional governments continue to refine their rules and enforcement ramps up by July 1, 2025, staying informed and proactive will be crucial for anyone involved in Spain’s rental market.
For further details or assistance, property owners can contact legal experts.