Rental licence in Spain applications & costs
Is it possible to have a rental licence in Spain get? And where do you apply for this and cuánto cuesta? Pedro tells how it is ☀️
If you want to rent out your home or property in Spain, you will need a rental licence. In Spain, this is called the Licencia Turística or Licencia de Alquiler Vacacional. Pedro explains how to get here.
What is a rental licence in Spain and is it compulsory?
A rental licence is basically proof that your home or property meets the legal requirements and rules for rentals. This can be practical things, such as an air conditioner or heater, but also a commitment from a complex or neighbourhood that renting is allowed. This prevents legal woes in the future!
Pedro is regularly told that you can rent out your property even without a licence. Practically speaking, this is true. But there are heavy fines if the authorities find out. After all, you have to tax to pay on your rental income. This cannot be done without a licence, and if you then rent out anyway, you are basically guilty of tax evasion. So the risk is yours!
Pedro will be happy to inform you if you plan to apply for a rental licence!
Benefits of a rental licence
There are definitely advantages to having a rental licence, both economically and legally. Consider:
- You are legally covered against objections, unscheduled checks by the municipality and charges
- You meet the requirements of Spanish tax authorities/tax authorities, for your income tax on rentals
- Transparency & higher rental prices. This is because you can name it, showing that you are an established party. Many times, this allows you to charge higher prices.
- Increase property value, as a licensed property will have a higher selling price. Please note, rental licences cannot be transferred just like that and often need to be renewed after a certain period of time!
How does applying for a rental licence in Spain work?
Rental licences are issued by the provinces (comunidades autónomas). These process and assess the application. When approved, they issue the licence.
The role of the municipality (e.g. the city) is to certify that your property meets the legal requirements for rentals. These include:
- The requirements of the VVE (in the case of a residential complex)
- Property requirements (water, electricity, etc. in order)
- Energy certificate
- Safety regulations
They have to send this statement to the province for approval. And this is exactly where municipalities can be obstructive...!
Indeed, they can obstruct the issuance by indicating that holiday rentals are not in the zoning plan.
Or they indicate that the property is of a certain classification, such as "finca rústica" or "finca no urbanizable". You can find everything about this in the article "Finca Rustica vs Urbana”
Location can also be an argument for refusing the rental licence. Old town centres or protected districts can be a reason to block tourist rentals.
How do you apply for the Spanish rental licence?
Basically, applying is a standard (bureaucratic) process. You need to provide various documents (including the municipality's registration), details of the property and details of you as the landlord. You also need to apply for registration for the Spanish tax authorities.
Pedro advises against applying for this yourself. You're better off calling in your (buying) broker or - even better - a legal specialist. An application that has been submitted and rejected cannot simply be reapplied for!
If your application is rejected, you can't just resubmit it! So make sure you get it right the first time. Pedro can arrange legal help.
What does a rental licence cost in Spain?
The price of a rental licence is not fixed. It varies per region, municipality and the help you hire. In practice, you will often spend around €700 to €1500, including hiring a specialist.
To this end, the following will be implemented and taken up:
- Home inspection completing the checklist for the technical requirements of the house.
- Documents preparation including collecting data (such as energy certificate, building inspection, note simple, etc.) and preparing documents for application.
- Submit & approve the actual application is submitted exactly as expected by the authorities. This speeds up the process. During the review, questions may be asked, which a legal specialist answers.
If all goes well, the rental licence will then be arranged quickly. Keep in mind, that a lawyer may also indicate in advance that the application has a small chance of success. The cost of the application is then at your own risk!
Your rental licence arrange it together with a lawyer?
Through holapedro, you easily engage a specialist to help you further with the application. They specialise in the legal substantiation of your application. How nice!
Or rather first ?
Cuánto cuesta a rental licence?
Want to know more about renting in Spain or Portugal?
Return on holiday home rental in Spain
You want to buy a property in Spain, have already done so and would like to know how much return on rental you can make on your purchase? Pedro tells you how this works and what you can expect.
