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  • According to Spanish law, both private individuals and legal entities, residents and non-residents may rent any property. For more detailed advice on specific issues, please contact our office.

 

RENTAL OF REAL ESTATE 

In Spain, relationship between the lessor and the lessee is governed by the Urban Lease Act 29/1994 of November 24

  • The terms, conditions, and rental price are not regulated by the laws and are freely set by mutual agreement of the parties; therefore, each contract shall be signed individually and deserves special attention.
MAJOR TYPES OF RENTAL
  • Rental of real estate exclusively for primary and permanent residence followed by postal registration of the property address (Art.2 LAU)
  • Rental of real estate for non-permanent or partial residence. Rental of non-residential premises to be used for professional, cultural, and commercial activities (Art.3 LAU). Use of this contract is not valid for tourist rentals 5 LAU (e).

 

It is necessary to take into account significant changes in the Urban Lease Act 29/1994 introduced by new Act 4/2013. Briefly on Major Changes in the Law:

  • The period of the contract validity. Contract extension. Increase in rent charges (Art. 9,10,18 LAU)
  • Premature termination of the contract (Art.11 LAU)
  • Registration in the Register of Property. (Art.7 LAU)
  • Guarantee. Return. (Art.36 LAU)
  • Certificate of Energy Efficiency (Real Decreto 235/2013). Certificate of technical compliance for reoccupation (Real Decreto 151/2009 and 141/2012).

 

 TOURIST RENTALS

In each region of Spain, tourist rental has its own subtleties. In Catalonia, the rental process is governed by the document Decret 159/2012 since November 2012, and is subject to licensing. In Barcelona, issuance of tourist licenses has been suspended since May 2014.

The official definition of this type of rental reads, “Tourist rental is the property, which is let to third parties for a period not exceeding 31 days, two or more times a year.”

Registration of “tourist license” takes place at the Municipality of the real estate location. The owner must prove the suitability of the housing for rent after which he/she is issued license. 

Checklist for the Lessor

  •  Complete any construction or renovation work
  • Negotiate the term and extension of the contract
  • Keep the property in a clean and well maintained condition
  • Prepare guidelines for household equipment, maintenance, alarm, etc
  • Make a list of emergency and urgent contacts
  • Describe and agree on the state of the real estate
  • Provide copies of all keys
  • Agree on the availability of the real estate insurance
  • Comply with all clauses of the contract and the Law

Checklist for the Lessee

  • Provide the documents proving solvency
  • Negotiate the terms and extension of the contract
  • Have a bank account for payment of utility services
  • Describe and agree on the state of the real estate
  • Pay the rent charges on time
  • The possibility to include the rent charges in the costs line while submitting the income statement for the year (IRPF)
  • Agree on the availability of the real estate insurance
  • Return the real estate in the same condition that it was accepted
  • Comply with all clauses of the contract and the Law