Can I, nowadays, rent my own home in Mallorca as a Holiday Rental and buy tourist beds for it?

At Legal Steps, lately and despite the current Pandemic situation, or precisely because of it, we are receiving quite a few inquiries from non-resident homeowners who intend to rent their home for a couple of months under the possibility called ETV60.

As its name suggests, the ETV60 modality allows owners to rent their home for two months a year. The remaining ten months are left for their private use.

The answer is that, in principle, an owner can rent his home on a holiday rental basis, but there are requirements that in many cases are not easy to meet.

The main drawback appears when we advise that the home that the client wants to rent has to be the owner's primary residence. The owner has to be registered in the house. In other words, this modality is not allowed for second homes. This requirement would apply in the case of clients who reside almost the whole year here (or at least are registered here, are tax residents in Spain, etc.), but who want to travel to their native country to spend a few months, and want to use two months to rent the house. By the way: those months, nowadays, cannot be July and August together.

If that is the case, we can enter into other “minor” requirements, but no less important, for example: the house cannot be new, that is, it must have five years of private use; the house must have a bathroom for every four beds (the number of beds is marked by the habitability certificate of the house); the house must have an individual water meter; the owner needs the permission from the Community of Owners if it is not a Single Family Housing isolated; the owner you must have the permission of the City Council, which corresponds to a certificate from the same that the house is in an area suitable for marketing as a holiday rental, and so on.

If these requirements are met, along with others that we do not mention so as not to bore the reader, the owner could go to the Consorcio de Bolsa de Plazas to purchase the tourist beds. Nowadays, the owner has to pay € 291.67 for each bed, for a period of five years. For example, if according to the certificate of occupancy, the house has six beds, 1,750 euros will have to be paid to be able to market the house for five years under de ETV60 modality.

The price of the tourist bed is much lower than that of the one for full time modality, which is 875 euros for each bed (for five years), or that of the Single Family Housing isolated, which is 3,500 euros for each place, but in that case with not subjection to the five-years term.

In summary: nowadays, despite the fact that the opposite is often heard, it is still possible to acquire tourist beds and legally market a home on a Holiday Rental basis.

Despite this possibility, there are those who choose to pretend to use the seasonal rental instead of the Holiday Rental. The seasonal rental, not Holiday Rental, is subject to the Ley de Arrendamientos Urbanos (the Urban Leasing Law). But usually, those who use this figure do so fraudulently. In the event of a complaint or inspection, if the house is rented for short periods, if it is rented to tourists, if it is advertised on Holiday Rental websites, etc., it will be very difficult, if not impossible, to prove that this rental was not for tourist purposes.

In any case, there are various grey areas that are always worth exploring before deciding on one modality or another. At Legal Steps, an office specialized in Real Estate and Tourism Law, we are at your entire disposal!