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New Laws For Holiday Rental Properties on the Costa Del Sol

New Laws For Holiday Rental Properties on the Costa Del Sol

Kelly Summerell Kelly Summerell
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Andalusia’s Tough New Tourism Law

What It Means for Holiday Rentals Across the Costa del Sol and the Guadalhorce Valley — and How to Get Legal Before new Fines Hit Hard.

Andalusia is entering a new era of tourism regulation, and the impact is being felt far beyond the beaches of the Costa del Sol. Here in the Guadalhorce Valley, in towns such as Coín, Álora, Alhaurín el Grande, Cártama and Pizarra, local property owners, holiday let hosts and rural tourism operators are now asking the same question.

How do the new holiday rental laws affect landlords in Andalucia?

The Junta de Andalucía’s proposed Sustainable Tourism Law represents one of the biggest shake-ups in the region’s rental market in decades. It is being described across Spanish and international media as a turning point, a move that will finally bring tourist rentals onto the same regulatory footing as hotels, aparthotels and other formal accommodation providers.

For many, it will be a welcome step that cleans up the market and protects long-term residents. For others, especially those renting quietly “under the radar”, it is a loud wake-up call.

Mediterranean Homes has taken a deep dive into what the new law contains, why it matters, and most importantly, how owners can become fully legal before fines escalate sharply.

The headline of the new legislation is simple:

Andalusia is no longer tolerating unregistered or non-compliant holiday rentals.

The sanctions system is being completely overhauled, with fines increasing dramatically:

Minor infringements

Up to €10,000

Previously capped at €2,000.

Serious infringements

Between €10,000 and €100,000

Operating a rental “clandestinely” carries a minimum fine of €25,000.

Severe infringements

From €100,000 to €600,000

  • Covers: 
  • obstructing inspectors
  • providing false information
  • ignoring registration obligations
  • running multiple illegal units

These figures reflect the Junta’s position that the tourist rental industry is now too large and too important to operate informally.

With over 100,000 registered VUTs (Viviendas con Fines Turísticos) in Andalusia and many more suspected to be unregistered, the region is moving quickly to professionalise and stabilise the sector.

Why the New Law Has Arrived Now

Three major forces are pushing this change:

1. Housing pressure across Andalusia

In Málaga, Seville, Cádiz and Granada, and increasingly inland, residents are being priced out of their own communities. Holiday rentals compete directly with long-term housing, and local councils have been demanding stronger tools to respond.

The Guadalhorce Valley, once seen as insulated from coastal pressures, is now firmly on the map for digital nomads, remote workers and Airbnb travellers.

2. Protecting Andalusia’s tourism reputation

The Junta wants high-quality, reliable accommodation. Poorly managed or illegal holiday lets damage the visitor experience and undermine the region’s brand.

3. An ongoing political conversation around affordability

As the separate Andalusian Housing Law progresses through Parliament, tourist rentals remain a central part of the debate.

Regulation, not over-restriction, is the chosen path.

Digital Monitoring: The Real Game Changer

While fines grab attention, the most transformative element is tourism intelligence powered by digital monitoring.

The Junta will now automatically compare:

  • Airbnb listings
  • Booking.com listings
  • Social media adverts
  • Property portals
  • Municipal records
  • The official Tourism Registry

If a property appears online without a valid VUT number, inspectors will be alerted automatically.

For years, some owners in rural inland areas assumed they were invisible to inspectors.

That is no longer the case.

Location no longer protects you, compliance does.

The Impact on the Inland Costa del Sol and Guadalhorce Valley

The Guadalhorce Valley is one of Andalusia’s fastest-growing rural tourism destinations. Visitors increasingly prefer authentic inland stays over crowded coastlines, and many overseas owners have relied on seasonal rentals to supplement their income.

However, several trends are now taking shape:

Town Halls in Coín, Álora and Alhaurín el Grande are fielding more complaints about noise, parking, over-occupation and unregistered tourist traffic.

Rural fincas, annexes and converted outbuildings are under closer scrutiny.

More buyers are asking whether a property is legally rentable before making an offer.

Sellers with fully compliant VUT licences are achieving stronger prices due to higher buyer confidence.

The new law will accelerate all of these.

Mediterranean Homes has simplified the full process for owners who wish to continue renting legally and safely.

STEP 1 — Ensure Your Property Meets the Basic Requirements

A legal VUT must provide:

  • Air conditioning (when open in summer)
  • Heating (when open in winter)
  • Natural ventilation
  • First aid kit
  • Clean linens and adequate furnishings
  • Complaint forms (hojas de reclamaciones)
  • An information file or digital guide for guests

Rural homes may instead need a Alojamiento Rural licence, we can help determine which applies.



STEP 2 — Submit the “Declaración Responsable” to the Junta

This is your legal declaration that the property meets all requirements.

It is completed online through the Andalusian Tourism Registry.

Once submitted, you instantly receive your VUT registration code, for example:

VFT/MA/12345

This number must appear on every advert. Without it, you are considered illegal.


STEP 3 — Register With the Police for Guest Identity Reporting

Spain requires all tourist hosts to log guest details within 24 hours of arrival.

You must register with either:

  • Guardia Civil (rural areas)
  • Policía Nacional (urban areas)
  • They will issue access to the secure online portal where all check-ins are recorded.
  • Failure to log guests is one of the quickest ways to receive a fine.


STEP 4 — Ensure All Safety Standards Are Met

The property must include:

  • A visible emergency number sheet
  • Accurate house rules
  • Fire extinguisher
  • Information pack
  • Parking and noise guidelines
  • Clear occupancy limits


STEP 5 — Declare All Rental Income Correctly

Non-resident owners must file Modelo 210.

Residents must declare rental income in full with appropriate deductions.

Tax compliance is treated separately from tourism compliance, so both must be correct.


STEP 6 — Confirm Your Community of Owners Allows VUTs

Urbanisations can limit new tourist rentals by a 3/5 vote. If yours has restrictions, we can review the statutes and advise.

STEP 7 — Keep Your Listing and Records Up to Date

Inspectors may visit:

  • At random
  • After a neighbour complaint or following digital detection

Stay compliant by keeping:

  • Guest logs
  • Maintenance records
  • Updated information sheets
  • Registration documentation 

Common Mistakes That Will Trigger Fines Under the New Law

From our experience, these are the most frequent issues that trap owners:

❌ Advertising before receiving a VUT number

❌ Using an annex or conversion without confirming legality

❌ Over-occupancy

❌ Failure to register guests with police

❌ Listing on social media without the registration code

❌ Not declaring income

❌ Failing to update the Junta after renovations

❌ Renting on rural land without the correct classification

These are exactly the issues the new law is designed to target.

Why Compliance Is Not Just a Legal Obligation, but a Strategic Advantage

As the market becomes more regulated, compliant holiday rentals will:

  • Achieve higher trust
  • Be favoured by platforms like Airbnb
  • Attract higher-quality guests
  • See fewer cancellations
  • Be valued more highly when selling
  • For sellers, a registered VUT is already a selling point.
  • For buyers, registration is now a key due diligence requirement.
  • For landlords, compliance protects your investment and avoids enormous fines.

Trusted Local Partner for Full Service Holiday Let Management

As Andalusia’s new tourism regulations come into force, many property owners are choosing to work with a professional management company to ensure full compliance and to maximise rental income without the day-to-day workload.

To support our clients, Mediterranean Homes proudly recommends Pass the Keys Mijas, led by Glenn Parrish, Managing Director.

Pass the Keys is one of Spain’s leading short-term let management providers. Glenn and his team cover both the Costa del Sol and the inland areas, offering a complete service that includes:

  • Full holiday let onboarding and compliance checks
  • Assistance with VUT legal requirements and registration
  • Professional listings across more than twenty booking platforms, including Airbnb and Booking.com
  • Guest screening and twenty-four-hour guest communication
  • Hotel quality cleaning, laundry and property care
  • Dynamic pricing to maximise occupancy and income
  • A secure owner portal with real-time photographs, bookings and revenue reports

For owners who live abroad, or simply prefer a hands-off rental solution, Pass the Keys offers a genuinely professional service that protects your property, enhances guest experience and ensures compliance with the new Andalusian Tourism Law.

Important Note and Disclaimer

Mediterranean Homes recommends Pass the Keys Mijas based on our positive experience, their strong reputation and the high standards delivered under the management of Glenn Parrish.

However, Pass the Keys is an independent company, and any management contract you enter into is strictly between you and Pass the Keys. We encourage all property owners to read the terms and conditions carefully, including service levels, fees and cancellation clauses, to ensure they meet your individual needs.

Mediterranean Homes does not receive any commission for this recommendation and is not responsible for the performance of any third-party provider. Our intention is simply to guide clients towards reputable and reliable support as regulations evolve across Andalusia.

The message from the Junta is clear...

“If you operate legally, you are welcome. If you operate illegally, the consequences will be significant.” 

Mediterranean Homes is here to help you stay on the right side of that line, and make the most of a professional, sustainable and fast-growing tourism market.

From left to right. David Burgess, Kelly Summerell (CEO), Tyler Summerell and Eva Gutiérrez 

Disclaimer: At Mediterranean Homes, we share information in good faith to help our clients, residents and wider community stay informed. All details are accurate to the best of our knowledge at the time of writing; however, events, regulations and market conditions can change, and some information comes from external sources outside our control. We always encourage readers to check official or professional guidance where needed.


Holiday Rental Investment Opportunities

If you are searching for a property to purchase with the view to turn it into a holiday rental investment property on the Costa del Sol or the Guadalhorce Valleycontact Mediterranean Homes, as we have some properties that are marketed discreetly and therefore are not available to view on our website or proeprty portals.View all properties for sale

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