Legal requirements for holiday rentals in the Balearic Islands

September 2023

If you are interested in the legal requirements for holiday rentals in the Balearic Islands, also known as Estancias Turísticas en Viviendas (ETV), this information is for you. It is important to take into account the laws and regulations made up by the islands of Mallorca, Formentera, Menorca and Ibiza.

A relevant decree for holiday rentals in the Balearic Islands is Decree 13/2017, of February 17, which establishes the requirements for properties for tourist use. It includes aspects such as obtaining the tourist license, obligations of owners, habitability and safety conditions. The most updated is Decree 3/2022, of February 11, approved as a matter of urgency by the Government Council of the Balearic Islands due to new sustainability measures. The update established a maximum period of time of 4 years in which it will not be possible to process registrations for tourist holiday homes, nor allow the exchange of vacancies between managers and owners.

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What are the tourism regulations in the Balearic Islands?

There are decrees and regulations in the Balearic Islands that establish the legal requirements for holiday rentals, some of which are relevant:

• Decree 20/2015, of April 17: this decree regulates, and establishes the requirements and procedures necessary to obtain the tourist license, as well as the conditions of quality, safety and other requirements that must be met by properties intended for holiday rentals.
• Decree 35/2016, of June 23: establishes the legal regime for the commercialization of tourist stays in properties for tourist use in the Balearic Islands. It takes into account the rights and obligations of owners or guests, commercialization, inspections and sanctions in case of non-compliance.
• Decree 8/2012, of March 16: establishes special requirements and conditions for tourist properties located in rural areas.
• Decree Law 3/2022, of February 11, 2022, introduced several modifications. Would you like to know the most important ones?

What does Decree Law 3/2022 of February 11 provide for?

It establishes sustainability measures for tourism, creating regenerative tools for tourism activity in its territory and society. Among its modifications, the following stand out:

Law 8/2012, of July 19, 2012

• Avoid overcrowding by accommodating only the number of people allowed by the available vacancies. 
• Main rental access visible with accreditation of quality marks, maximum capacity and other informative requirements.
• All accommodations must meet a series of cleanliness requirements for sustainability.
• The omission in any data or document in the responsible declaration of the beginning of activity implies the cancellation of the tourism license.
• The publicity must be done when the responsible declaration of the start of activity is issued.
• Each property must use its respective category, i.e. rural properties, apartments, villa or any name provided by the tourist office in the Balearic Islands. 
• If there are alcoholic beverage dispensers in the homes, they may only be used by the staff of the establishments.
• A thorough cleaning must be performed prior to guests’ visit.
• As of May 1, 2023, each owner or manager must have a tourism administration record book where the date and identification of the guest and each of his companions are entered.

Each one of these modifications is aimed at reducing the carbon footprint of tourism activities, using water resources and avoiding excess energy consumption.

How to differentiate a Tourist Home Stay from a Tourist Apartment in the Balearic Islands?

In the Balearic Islands, there is a difference between “Tourist home stay” and “Tourist apartment”. 

• The tourist stay in a property: refers to renting a property completely, without offering additional services such as daily cleaning or reception. To use a conventional property for tourist purposes for a period of time.
• Tourist apartment: refers to tourist accommodations located in buildings or complexes that offer additional services such as reception, cleaning and hotel-like amenities. Mostly in tourist areas for short periods of time.

In addition, both must have the following characteristics as legal requirements: 

1. Urban Leases Law (LAU): the LAU regulates lease contracts in Spain, in the Balearic Islands, contemplating specific regulations.
2. Tourism Law of the Balearic Islands: it establishes that the owners must obtain their tourist license to be able to rent their properties for tourist purposes.
3. Tourist license: it is mandatory to have a tourist license issued by the Government of the Balearic Islands, guaranteeing the safety and quality requirements established by law.
4. Minimum stay: there is a mandatory minimum stay for holiday rentals in the Balearic Islands, depending on the time of the year and the type of property.
5. Tourism registration: registration is mandatory and allows the authorities to have control over tourist rentals.
6. Taxes and fees: owners are required to declare the income generated and pay the corresponding taxes. 

How are suitable areas determined in the marketing of tourist stays in the Balearic Islands?

Varies according to the regulations of each municipality, learn more about the most relevant ones!

Menorca

• General Urban Management Plan (PGOU): the PGOU in each municipality establishes planning and land management guidelines assigned to specific areas for tourism development, and others where the commercialization of tourist stays is prohibited.
• Heritage and environmental protection: Heritage and environmental protection criteria are considered to restrict the rental of tourist stays in specific areas, in order to preserve these spaces.
• To verify the data: in the Consell Insular de Menorca, you must verify the property and request a tourist license.
• Impact on the local community: in areas where mass tourism may have a negative impact on the community, restrictions or limits on holiday rentals in this area of the Balearic Islands may be established.
• Tourist carrying capacity: criteria based on studies and analysis of areas suitable for the commercialization of tourist stays.
• Registration of the start of tourist activity: due to the urgent measures for the sustainability and circularity of tourism, it is necessary to be registered in the DRIAT (Responsible Declaration of Start of Tourist Activity).

Palma

• Plan General de Ordenación Urbana (PGOU): the PGOU of Palma de Mallorca defines the territorial planning and ordination, as well as the development zones or areas where the commercialization of tourist stays is limited.
• Residential areas: restrictions may be established in residential areas, especially where local residents predominate, to limit or regulate the rental of tourist stays while preserving the tranquillity and quality of life of the community.
• Consolidated tourist areas: where there is an important presence of tourist activities, the commercialization of tourist stays is allowed.
• Heritage and environmental protection: criteria for the protection of the city’s cultural, historical and environmental heritage are taken into account.
• Impact on the community and facilities: it is necessary to take care of the coexistence with citizens and offer facilities to guests that do not affect them.

Formentera

• General Urban Development Plan (PGOU): allocates areas for tourism development.
• Residential zones: restrictions where local residents predominate, to preserve the tranquillity and quality of life of the community.
• Environmental conservation: involves protecting ecologically valuable and especially vulnerable areas.
• Tourist carrying capacity: capacity to receive and serve tourists without causing negative impacts on the natural environment, ensuring a balance between tourism and sustainability.
• Impact on the community and facilities: varies according to the regulations imposed by the municipality of Formentera.

Ibiza 

• Plan General de Ordenación Urbana (PGOU): the PGOU of Ibiza establishes the planning and land management guidelines.
• Residential areas: restrictions in residential areas.
• Consolidated tourist areas: in specific areas of Ibiza that have been identified as consolidated tourist areas the rental of tourist stays will likely be permitted.
• Tourist carrying capacity: the capacity of infrastructure and services for a given number of tourists must be taken into account, without negatively affecting the environment.
• Impact on the community and facilities: in areas where tourist rentals may have a significant negative impact on the community, restrictions or limits may be established.

Mallorca

• Plan General de Ordenación Urbana (PGOU): the PGOU of Palma de Mallorca defines the territorial planning and ordination, as well as the development zones or areas where the commercialization of tourist stays is limited.
• Residential areas: restrictions may be established in residential areas, especially where local residents predominate, to limit or regulate the rental of tourist stays while preserving the tranquillity and quality of life of the community.
• Environmental conservation: Mallorca has a unique ecosystem, environmental conservation criteria are considered to determine the areas suitable and not suitable for the rental of tourist stays. 
• Capacidad de carga turística: evaluar la capacidad de carga turística de las diferentes zonas de Menorca. 
• Tourist carrying capacity: to evaluate the tourist carrying capacity of the different areas of Menorca.
• Heritage and environmental protection: criteria for the protection of the city’s cultural, historical and environmental heritage are taken into account.
• Impact on the community and facilities: it is necessary to take care of the coexistence with citizens and offer facilities to guests that do not affect them.

According to the requirements of the Balearic Islands, it is not necessary to sign an accommodation contract, only the laws and decrees in force must be respected. Nevertheless, it is advisable to give complete information to the guests as price and conditions when staying in your property to avoid problems, besides having the documents in order to avoid sanctions by the Community of the Balearic Islands.

On the other hand, since January 1, Decree 933/2021 establishes that property owners must provide the following information to guests:

1. When receiving minors, indicate affinity.
2. Identify payment methods.
3. On-site CHECK-IN to verify original documents.

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