Spain loses 23,000 long-term rentals as landlords switch to seasonal lets

Roughly 23,000 long-term rental homes are expected to vanish from Spain's market in 2026 as landlords switch to tourist and seasonal lets or sell outright, per the country's Rental Observatory.

The 23,000-home drop

The Observatorio del Alquiler pegs the 2026 loss at 22,927 units, on top of the 25,836 permanent rentals that disappeared in 2025, the Olive Press reported. A Fotocasa survey of landlords whose contracts expire in 2026 shows 43% plan to pull the property from long-term renting: 16% moving to seasonal contracts, 11% to tourist lets, the rest selling or leaving units empty.

The squeeze is happening even as tourist-flat supply itself shrinks. Idealista counted a 12% year-on-year drop in listed tourist flats to under 330,000 and about 84,000 tourist homes failed to secure required registration in 2025. Fewer holiday rentals hasn't fed back into the long-term pool.

What it costs a nomad

Madrid and Barcelona long-term listings already run €1,400 to €1,800 ($1,512 to $1,944) a month for a one-bedroom in central districts. A seasonal contract on the same flat typically prices 20% to 40% higher and locks the tenant into stays of one to 11 months without LAU protections on renewal or rent caps. On a €1,500 base, that's roughly €300 to €600 ($324 to $648) extra per month or €3,600 to €7,200 ($3,888 to $7,776) a year, for anyone forced off a standard annual lease.

Room rentals aren't a clean workaround either. A January 2026 government decree caps combined room rents at the cost of an equivalent full flat and tightens seasonal-lease rules in high-demand zones, Reuters reported, though enforcement varies by autonomous community.

The legal backdrop

Two shifts frame the pivot. Since April 3, 2025, new tourist rentals need 60% homeowner-association approval under the reformed Horizontal Property Act. Then on May 21, 2026, the Supreme Court struck down the national tourist-rental registry created in July 2025, handing registration powers back to the regions. Owners now deal with regional tourism registries directly, which has made the seasonal-lease route, legally simpler than a tourist license in most communities, the path of least resistance.

Anyone hunting a year-long lease should budget for the seasonal premium and start early. The Spain guide covers regional rental rules in more detail.