How to Get Ready for Upcoming Changes to Vacation Rental Laws in the Canary Islands

The Canary Islands has introduced a new regulatory framework for Viviendas Vacacionales (vacation rental properties). These changes aim to balance tourism growth with the housing needs of local residents. Here's what you need to know to stay compliant.

1. Greater Role for Local Councils

Local councils (Ayuntamientos) now have the power to determine which areas are suitable for holiday rentals. This helps prevent over-tourism in high-density zones and ensures enough long-term housing remains available for residents. Keep an eye on announcements from your local council, as specific zones have not yet been defined.

2. Limits on Holiday Rental Build-ability

New construction faces stricter limits. A maximum of 10% of new buildings may be allocated to holiday rental use. Additionally, stricter restrictions will apply to "Green Islands," though it hasn't been confirmed which islands will fall under this category.

3. Prior Authorisations Required

All new holiday rental properties will need approval from the relevant Island Cabildo before operating. You'll also need to comply with upcoming inspection plans. This is an essential step before launching any new rental property.

4. Protected Land Off-Limits

Properties located in the following areas cannot be used for holiday rentals:

• National parks
• Nature reserves
• Areas of high environmental value

Note: Existing holiday rentals in these areas are not affected by the new prohibition.

5. New Sustainability and Quality Standards

The Canary Islands is raising overall quality and environmental responsibility standards. Expected requirements include:

• Minimum surface area of 35 m²
• Accessibility for people with reduced mobility
• Compliance with sustainability and quality standards (final list pending approval)

6. Rules for Existing Holiday Rentals

If you're already operating a holiday rental, you can continue indefinitely. However, your license cannot be transferred if you sell the property—it belongs to you personally, not the property itself.

For property managers: you may continue managing existing vacation rentals for 5 years, or up to 10 years if your operations comply with upcoming regulations. This point remains under discussion and may change.

7. Requirements for New Holiday Rentals

If you're opening a new holiday rental, be aware of these anticipated requirements:

• Minimum building age of 10 years (under discussion)
• Municipal authorisation from your local council
• Full compliance with all new safety, health, and environmental regulations
• Location outside protected or restricted areas

Stay informed about updates from your local council and the Island Cabildo to ensure your property remains compliant with all new regulations.