Spain Tourist Rentals Drop 12% After Government Crackdown

by Chief Editor

Spain’s Tourist Accommodation Market Contracts: A Sign of Things to Come?

The number of holiday apartments available in Spain is shrinking, according to the latest data from the National Statistics Institute (INE). November 2025 saw 329,764 tourist apartments across the country – a 12.4 percent decrease year-over-year, and a 13.6 percent drop since May 2025.

Government Crackdown Fuels the Decline

This decline coincides with the Spanish government’s intensified efforts to regulate the short-term rental market. A mandatory registration system for tourist rentals, implemented in July 2025, is a key driver. As of early January 2026, 299,754 properties had successfully registered, even as another 16,581 had a provisional code. However, a significant 84,250 applications – representing a 21 percent rejection rate – have been denied.

Common reasons for rejection include lacking the necessary tourist license, failing to secure the required approval from homeowners’ associations (a 3/5 majority is now often required), or the property being designated as a protected dwelling intended solely for primary residence.

Regional Variations: Andalusia Bucking the Trend

While the overall trend is downward, some regions are experiencing different outcomes. Andalusia registered a 1.2 percent increase in tourist apartments year-over-year, with 91,757 units. This contrasts sharply with declines in other popular tourist destinations.

Other regions with significant numbers of tourist apartments include the Canary Islands (49,676, down 3 percent), Valencia (48,411, down 25 percent), and Catalonia (46,915, down 11 percent). The Balearic Islands, Galicia, and Madrid have also seen substantial decreases, with declines of 19.8 percent, 22.5 percent, and 26 percent respectively.

Provincial Hotspots and Cooling Markets

Málaga remains the provincial leader with over 48,200 tourist units. Alicante (almost 30,000), Las Palmas (27,336), and Santa Cruz de Tenerife (22,340) also boast high numbers. However, the data reveals a broader cooling trend, with many provinces having fewer than 3,000 tourist units by the end of November 2025.

Impact on Accommodation Capacity

The reduction in tourist apartments has impacted overall accommodation capacity. The total number of beds in tourist accommodation in Spain fell to 1.62 million in November 2025, a 14 percent decrease from the 1.89 million recorded in November 2024. The average number of beds per apartment also decreased, from 5.04 to 4.93.

Recent Enforcement: Further Restrictions

The government’s commitment to regulating the sector is ongoing. Just last week, Spain ordered online platforms to remove a further 86,275 illegally listed short-term rentals, signaling a continued push to enforce the new rules.

What’s Driving the Change?

The Spanish government, along with local city councils, is actively working to reduce the number of tourist accommodations due to the ongoing housing crisis and local resident concerns. Cities are also introducing stricter rules for obtaining tourist licenses, including requirements regarding floor level, separate entrances, and permitted locations. Homeowners’ association approval is now often mandatory for properties within communal buildings.

FAQ

Q: What is the EU’s Entry/Exit System (EES)?
A: The EES is a biometric identification system being rolled out across EU borders, including in Spain. It requires non-EU citizens to provide fingerprints and facial scans upon arrival.

Q: What is the “Spain in Freedom” commemoration?
A: This is a year-long series of over 100 cultural and educational events marking the 50th anniversary of Francisco Franco’s death.

Q: Do I need a tourist license to rent out my property in Spain?
A: Yes, a tourist license is now mandatory for legally operating a short-term rental property in Spain.

Q: What happens if I list my property illegally?
A: Online platforms are being required to remove illegal listings, and property owners may face fines or other penalties.

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