Thanks to a loophole in the new regional law Valencia is witnessing a surge in tourist apartments advertised on platforms like Airbnb. The legislation, introduced in August, classifies properties as tourist rentals only if they are leased for 10 days or less. To bypass this, landlords now offer minimum stays of 11 days, effectively sidestepping the need for a tourist rental license.
The Federation of Neighbourhood Associations of Valencia has raised concerns about this legal gap. By setting the minimum stay at 11 days, property owners can exploit the regulation. Consequently, they operate under the more lenient Urban Lease Law (LAU) which requires only a deposit and a rental contract, with no special licensing. This strategy allows tourist apartments to be rented in residential buildings, causing tension among local communities.
Residents call for immediate action
Residents are urging the regional government, the Generalitat Valenciana, to urgently amend the law. They want authorities to include occasional seasonal rentals under the same regulatory umbrella as short-term tourist rentals. They argue that seasonal rentals, whether for 11 days or three months, are fundamentally commercial activities and should require the same licensing as traditional tourist accommodations.
Impact on housing and community life
Neighbourhood groups are warning that this loophole threatens the availability of long-term rental housing and drives up prices. With more apartments switching to lucrative short-term rentals, residential areas are becoming increasingly saturated with transient visitors. Hence, impacting community life and driving locals out of their neighbourhoods.
Government’s response
The Generalitat Valenciana has acknowledged the issue and is reviewing the law to address these inconsistencies. In any case, the regional department reminds us that any rental not considered a tourist accommodation comes with its own requirements, such as the need to provide a deposit equivalent to one month’s rent. Regarding the dozens of apartments listed on Airbnb with a duration classified as seasonal, they claim to be unaware of the reasons behind this trend but emphasise that if fraud is detected, such practices are subject to penalties. Fines could range from €10,000 to €100,000, depending on the case.