Legal requirements for holiday rentals in the Canary Islands

September 2023

The Government of the Canary Islands, in connection with the Ministry of Tourism, Industry and Commerce, establishes the regulation of holiday homes approved in Decree 113/2015. The property must be furnished and equipped for the use of customers, in addition, it must be marketed, ceding the property temporarily and in its entirety to third parties.

In this article, we have compiled information on the legal requirements for holiday rentals in the Canary Islands, relying on the Regulation of the Tourist Accommodation Activity of 2010 and the Regulation of Holiday Homes of 2015. These must be complied with by the managing agency or channels to work, optimizing the service for the clients, the company and the owner.

It is important to note that regulations may vary, and it is always advisable to consult updated legislation or seek legal advice to ensure smooth compliance. These requirements are designed to ensure safety, quality and transparency in tourist bookings.

Publish your properties on Holidu

What requirements must a property meet in order to be rented?

It is essential to comply with the legal requirements for holiday rentals in the Canary Islands, let’s look at them in a little more detail:

• Occupancy license: it is mandatory because it ensures that the property is in optimal conditions of safety and services. The structural design of the rental must be distributed for optimal lodging, with spaces for basic equipment such as kitchen, bedrooms, toilet area, storage and access to telecommunication services. It must have the minimum measurements for its respective rental (at least 25 square meters).
• Responsible declaration: Owners or managers must submit a responsible declaration to the competent authorities, in which they undertake to comply with all applicable legal requirements and regulations.
• Liability insurance: it is mandatory to have liability insurance to cover possible damages during the guests’ stay.
• Basic equipment: The property must have a first aid kit and an interior lock on the main access doors. Bedrooms must have single or double beds with light and ventilation, as well as pillows and bedspreads. Bathrooms must be equipped with: mirror, hairdryer, bath towels, toilet paper, shower and towels. The kitchen shall have at your disposal: oven and/or microwave, coffee maker, dishes, napkins and cleaning utensils.
• Information for guests: owners must provide clear and detailed information on the characteristics of the dwelling, coexistence rules, available services and emergency procedures, among other relevant aspects.
• Tourism Registry: Owners must register their property in the Tourism Registry of the Canary Islands, and the General Tourism Registry of the Autonomous Community of the Canary Islands will provide a plaque that must be visible on the outside of the property. This registry allows the tourism authorities to have a control and follow-up of the tourist accommodations available in the Canary Islands.
• Complaint forms: it is necessary to know the opinions of users and solve problems for future guests.
• Price advertising: the rate must be published on the rental along with the corresponding date. The price must match the price published in all agencies, web platforms and advertisements of the property.
• Customer service telephone numbers: The Canary Islands Government requires a landline telephone number to answer customer’s questions, with an activity from 8:00 am to 8:00 pm respectively. The owner must fill out an information board with the numbers and addresses of the emergency services, such as Police, Firemen or Hospital Emergencies, which is a right of the client.
• Traveller registration: As a final requirement, all properties must complete a list of guest information from the time of arrival at the property, and this information must be sent to the island’s security force.

By complying with the legal requirements for holiday rentals in the Canary Islands it will be easier to get the tourist license, avoiding any kind of sanction. However, you have to take into account the type of property, whether it is a tourist apartment or a house, as in some cases the legal requirements vary.

Do you need a responsibility declaration?

The document of the responsibility declaration is the most important of all your documents as owner. It is to enable your property for tourist use, and it is processed within the Registry of Tourist Businesses and Activities of the Autonomous Community of the Canary Islands. The presentation of the document has a specific fee to be paid depending on the municipality in which your property or apartment is located.

What other documents do I need to process in addition to the declaration of liability?

After filing the declaration of liability, there are other documents and formalities to be taken into account. The most relevant are:

1. To present the accreditation of the property that accredits you as absolute owner, by means of its certification and giving way to the right to establish its commercial purposes.
2. The presentation of the Canary Islands General Indirect Tax (IGIC) is required, at the moment of obtaining the accreditation, it is annexed to the responsible declaration.
3. You must have the help of a technician to present the energy efficiency certificate, which certifies the electrical capacity of the tourist apartment. The document must be included in the contract.
4. The administrative authority of the Canary Islands requires the plans of the property and its current structure together with the general statement.
5. Then to legalize your property you must have a civil liability insurance policy, to formalize the declaration contract.

How to manage and process holiday rentals in the Canary Islands?

Holiday rental management can be a challenge for owners or people with little experience in the market, but we assure you that with this information you will be prepared to start your business success!

The professional help of companies dedicated to the management of holiday rentals guides you through the process of legalization and leasing. Many of them guarantee tax and local advice, so do not hesitate to consider the services to ensure the success of your property. With the management of holiday rentals, you will have a guide to undertake in this market.

• Guest registration book: owners of tourist dwellings in the Canary Islands are obliged to keep a guest registration book. This book must record personal data such as name, surname, nationality, date of entry and exit, passport or identity card number, and place of origin of the guests. This book must be available for inspection by the competent authorities.
• Complaint form: this sheet allows guests to file a complaint in case problems arise during their stay.
• Tourist lease contract: this contract should include relevant information such as the dates of stay, the agreed price, the rules of use of the property, the responsibilities of the owner and the guest, and any other relevant clauses.
• Communication of data to the Tourism Registry: this is done using a specific form in which the guests’ data and the dates of their stay are detailed.
• Settlement of taxes: the corresponding tax obligations must be complied with and the settlement of the applicable taxes, such as Personal Income Tax (IRPF) or the Canary Islands General Indirect Tax (IGIC), must be carried out.

Are there agencies that carry out the processing of properties?

There are some platforms such as Vrbo and Airbnb that in their list of services offer to carry out the documentation on behalf of the owner. On the other hand, if you wish to carry out the process on your own, we recommend you to contact an insurance company that can guide you in this area. These managers will primarily be responsible for:

• Prepare a holiday rental contract: The last step is to make a holiday rental contract where, according to the regulations established by the region, it contains the opening hours of the property, the number of users that can occupy the property and the rate to be paid with its respective IGIC. Keep in mind that the contract must be in Spanish and English without exception.

In addition, some examples of agencies and management companies that can help you with the legal formalities for your holiday rental include:

• Tourist consultancies: there are companies specialized in advising and management of tourist procedures in the Canary Islands. These agencies and consultants can take care of the administrative procedures, such as the registration of the property in the Tourism Registry, the presentation of the required documentation and the fulfilment of the legal requirements.
• Holiday rental management agencies: Some agencies specialize in the comprehensive management of holiday rentals, including legal formalities. These agencies take care of obtaining the tourist accommodation license, registering the property, drawing up tourist lease contracts and other aspects related to the rental of the property.
• Lawyers specialised in tourism: Lawyers specialised in the field of tourism and real estate regulations can provide legal advice and manage the paperwork for holiday rentals in the Canary Islands. They can assist in complying with all legal requirements and resolve any legal problems or discrepancies that may arise.

Publish your properties on Holidu