Platforms such as Airbnb, Home Away or Flipkey have boosted holiday or tourist rentals in residential areas, a trend that is becoming increasingly marked in various areas of Spain. For tourists and property owners, this type of rental offers many opportunities and benefits, but not so for neighbourhood communities.

Renting out your home to tourists can allow you to generate extra income, but you should be aware that renting holiday flats or holiday homes can be a problem in properties that have been set up as residential dwellings and where there is an active community of neighbours.

Can residents' associations prohibit holiday rentals?

This is a question that arises for many owners and also within many communities of neighbours. With the rise of holiday rentals, there has been widespread discontent in many communities about this activity.

It is important to bear in mind that, although it is not possible to prohibit the activity without just cause, neighbouring communities can limit or condition this tourist rental activity. This was established in the 1 March reform of the Horizontal Property Law by Royal Decree Law 7/2019 - EDL 2019/5763.

However, the regulation for the rental of dwellings for tourist use is not established in any state regulation, and is something that depends both on the location of the property and on the legislation of the autonomous communities.

According to the Horizontal Property Law, for a community of neighbours to prohibit the rental of properties for holiday use, it must be established in the statutes of the community. Modifications can be introduced, but in order to do so there must be a favourable agreement of three fifths of the total number of owners, and in communities such as in Catalonia there must be an absolute majority (80% of the owners).

Holiday homes and homeowners' associations: who wins?

The amendments to the Law on Horizontal Property do not directly empower the residents' associations to prohibit holiday rental activity without just cause. However, if there is a consensus among the majority of the owners and it is established in the bylaws or in a legal document registered in the Land Registry, such an agreement would be fully valid and holiday rentals in residential areas could be prohibited.

There are different cases of holiday homes in communities of neighbours. It is important that before renting your property you are aware of the regulations of the community in this respect, as well as the legislation in force, which may vary in each autonomous community of the country.