The Rental Market in Spain: Holiday Rentals, Seasonal Rentals, and Long-Term Rentals under Regulation

→ Seasonal rentals in Barcelona have grown from 2.1% of total listings in 2019 to 14.4% in 2023: their relative share has increased sevenfold.

→ In Madrid, they have also grown exponentially, though less intensely: from 4% to 10% (3.5 times).

→ Meanwhile, the share of long-term rental listings among total advertisements has dropped in both cities to 84%, but more significantly in Barcelona (a decrease of 13 percentage points compared to Madrid’s 9.5 percentage points).

→ In Barcelona, the periods of sharper growth coincide with the announcement and implementation of Law 11/2020 regulating rents in Catalonia and the announcement of the Housing Law (introducing another potential regulation) along with Catalonia’s swift interest in adhering to it.

Additionally, we observe that the availability of individual room rentals within homes on the Idealista platform is similar in absolute terms in Madrid and Barcelona, but relatively more common and intense in Barcelona, particularly in lower-income neighborhoods in both cities. In these areas, the availability of long-term rental housing—which should meet habitability needs—is notably scarce in comparison.

This suggests a need to carefully consider the potential effects of any additional regulation on shifting housing supply towards other forms of rentals or sales, ensuring that new regulations are well-calibrated and effective in achieving the goal of improving access to stable housing.