REAL ESTATE MARKET

Tourist rental in Ibiza: discover the changes in the LAU and the new government decree

The modification of the LAU to combat fraudulent seasonal and room rentals returns to Congress after being vetoed by Junts and the Government rushes the decree that will force the platforms to require the new mandatory identification number for each property or room.
Inspecciones contra el alquiler turístico ilegal en Ibiza.
Inspecciones contra el alquiler turístico ilegal.

The Congress of Deputies will resume this week the debate on the bill submitted by Sumar, ERC, Bildu, Podemos and BNG to curb the fraudulent use of temporary rental contracts and rooms, amending the Urban Leases Law (LAU).

Junts, which prevented its processing three months ago, now supports the text after agreeing on technical changes. The PSOE has also confirmed its support. The regulation proposes that temporary contracts of more than nine months or that chain two consecutive renewals are considered rentals of habitual residence, applying the protections of the LAU. In addition, it guarantees the respect of autonomic legislations, which ensures the favorable vote of formations such as the PNV and Junts.

Digital control in the regulation of the Ministry of Housing

The parliamentary debate coincides with the development of the decree of the Ministry of Housing and the Urban Agenda, which seeks to implement a mandatory digital registry for temporary, tourist and room contracts.

The system, operational from January 2025, will require owners and platforms to include an annually renewable registration number. “It will be a key instrument to combat fraud,” the Ministry points out. In addition, temporary contracts will have to specify and justify their cause (work, studies, etc.) and landlords will have to prove it. Platforms that publish ads without the registration code will be sanctioned.

Expected impact on the real estate market

These measures are intended to combat practices that circumvent price limits and mandatory extensions, facilitating rent increases every few months. The Government foresees that the decree will make it possible to differentiate between legitimate temporary contracts and disguised abuses. In addition, it promises to prioritize access to regular rental housing, limiting the impact of illegal tourist accommodations. This regulation comes at a critical moment for the housing market in Spain, marked by the debate on accessibility and price control.

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Automatic Translation Notice: This text has been automatically translated from Spanish. It may contain inaccuracies or misinterpretations. We appreciate your understanding and invite you to consult the original version for greater accuracy.

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