In the last years and with the outcome of the new online platforms dedicated to it, the new modality of short term touristic rentals has come to the market with extraordinary force. It is a touristic rental for short periods of time, even days. There has been always a rental of properties that has been called short term rental or holiday rentals but the simplicity that the new online platforms brought to the market in order to manage those short term rentals has changed the rental market. In fact, these new type of rentals are regulated under the “Properties for Touristic Use” heading.
In general, there is nothing to say to this new modality of rentals as every owner can and should do whatever he/she wants with his/her property: use it, keep it empty, rent for long or short term. However, this new rental type for short periods of time for, in general, holiday use has brought in many cases inconveniences, in many cases important ones, for the rest of the neighbors living in the same complex. The simple fact that those are short term rentals creates constant noises (luggage carrying), loss of security (lots of external people have access to keys of properties and common areas), properties controlled by third parties, dirt, etc. Additionally, the renters are people on vacation with different time tables and behaviors than the normal long term people living in the complex (night hours activity, loud music, loud volume conversations, etc).
Up to now, neighbors were defenseless on these situations but the different administrations (local, regional and national) have become aware of the reality and are starting to legislate to control not only the Short Term Touristic Rentals but also the number of units that can be dedicated to that activity in each complex/building.
· Initially, the Regions have established regulations to authorize a property to allow this Short Term Touristic activity on it. In the case of Andalucia, it is regulated by the Decree 28/2016 of February 2nd where the conditions and basic requirements for a property to be inscribed in the Registry of Properties for Holiday Rentals of Andalucia are stipulated.
· However, the most important step on the regulation and control of these properties dedicated to short term holiday rentals was established in 2019 with the Law 7/2019 of March 1st. This Decree establishes that from March 6, 2019, the communities can limit or condition the short term touristic rentals activity with the favorable vote of 3/5 of the owners. The same Decree also establishes the non retroactivity of the norm so those properties being used for short term touristic rental with rental licenses from the Junta de Andalucia obtained before the vote of the community are not affected by the decisions limiting the rental rights by the community.
· Furthermore, based on that Decree, the communities can agree on applying special community fees to those properties being used for short term touristic rentals. The increase in the fee can not be higher than 20% of the previous fee. Once approved by the General Meeting of the community, the agreements have to be registered at the Land Registry for third parties knowledge and have to be communicated to the owners of the properties dedicated to short term touristic rentals.
The short term touristic rental activity, with its pros and cons, has arrived to stay so it is always good that new norms are approved to regulate it. A stable legal framework to work with will not only protect the tranquility of those living in complexes with properties where the short term rental activities are carried out but also give a regulation for those wanting to get into this new business opportunity.
Jaime Franco
Franco Abogados—Law Firm—Anwaltskanzlei
www.francoabogados.com