Can the community of owners prohibit rental flats?

Can the community of owners prohibit rental flats?

The rise of tourist rentals has transformed the real estate landscape in many cities and coastal areas, generating new opportunities, and also new questions. One of the most common is if a community of owners can prohibit one of its neighbours from renting out their home as tourist accommodation.

The answer is not entirely simple, as it depends on several factors, such as regional regulations, community statutes or the type of housing. Below, we explain it clearly.

What does the law say about tourist rentals?

Since 2019, the Horizontal Property Law allows a community of owners to limit or condition the tourist use of homes by agreement in a meeting. To do this, a majority of three-fifths of the total number of owners is required, which in turn represent three-fifths of the participation quotas.

It is important to understand that it cannot be retroactively prohibited if that tourist use already existed before the restriction was approved. A long-term rental (more than 30 days) cannot be prevented either, as in that case it is not considered a tourist rental.

Can tourist use be completely banned?

Yes, but only if the community statutes clearly specify it. If the statutes establish that flats cannot be used for uses other than residential, or expressly prohibit tourist use, this clause can be legally valid.

On the other hand, if there is no such prior limitation in the statutes, the community can only limit or condition, but not directly prohibit the holiday rental entirely.

What limitations can the community impose?

While not prohibiting tourist use, the community can:

  • Establish surcharges on common expenses of up to 20% for those who carry out this type of activity.
  • Require that certain coexistence requirements are met (such as entry and exit at specific times, limited use of common areas, etc.).
  • Report to the City Council if you consider that the activity is not legally registered or causes repeated nuisance.

These decisions must also be passed with the aforementioned reinforced majority.

What if I want to buy a property to rent it out to tourists?

If you are thinking of investing in a home for tourism purposes, it is essential that:

  • Consult the statutes of the community before signing the sale.
  • Verify that the regional regulations allow this type of use in that area.
  • Please be aware of any potential regulatory changes that may affect this activity in the future.
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