Everything you need to know about holiday lets in Tenerife.

In the past few months, many people have been wondering if you can rent your property in Tenerife without problems because of the new legislation and it is difficult to have a clear answer, that’s why we decided to summarize the law and explain in which cases seasonal rental is permitted or prohibited. The development of rental platforms such as Airbnb, Homeaway, Booking …. caused the soaring of touristic rentals, which is why hotels have lobbied to keep them to a minimum or ban them to protect themselves from some form of competition.

Above all, it should be known that the legislation only concerns short-term rentals, ie rentals of less than 3 months. If you rent your property for 3 months or more, there is no restriction.

To rent for a short time, you will need a license of “Vivienda Vacacional”, which we will detail in a moment, you will have to communicate the data of your customers to the Police (just like the hotels that make a copy of ID cards at check-in) and you will of course have to pay your taxes. Most of the properties that you currently find on the various platforms do not fully respect these obligations, which does not mean that it is allowed and they expose themselves to heavy penalties. The controls, which did not exist a few years ago, have strengthened and eventually everyone should end up respecting these rules.


The most difficult and the most important point is therefore to obtain the license of “Vivienda Vacacional” (holiday home). By applying for the license, you must sign a responsible declaration that commits you to respect certain points of the tourist legislation and this is generally the easy part. Nevertheless, the new legislation limits enormously the properties for which one can obtain a license. The idea of ​​the decree of the Canarian government is to prohibit the seasonal rental for most properties and therefore to limit as much as possible the number of licenses issued. In order to obtain the license, your property must meet the following criteria:

  • Your property must not be in a condominium whose by-laws prohibit seasonal rental. There are few complexes that forbid it in their statutes but just a few.
  • If the property is in a complex managed by an operating company (called “explotadora”), type apart-hotel for example, you have the obligation to go through this company for rental. Which means that you will be able to rent short-term, but always through them. Conditions vary enormously from one company to another, which makes investment more or less interesting.
  • And finally the most difficult point. The license is only granted for independent properties or residential classified complexes and in all cases built on a RESIDENTIAL SOLE and not touristic. So that’s the biggest paradox of the legislation. Indeed, the demand for holiday lets is mainly focused on tourist areas, and yet the offer should focus on less tourist areas … There are, however, some places close to the sea as some areas of Los Crisitanos that are classified residential while others are not.

So how to do it? If your property is in a residential area, it will be possible to obtain a license and this should be fast. For properties located in touristic areas, even if it is stated to be prohibited, it is possible to apply for the license and initiate an appeal in case of refusal. Indeed, some specialized law firms, together with the Canarian Association of Seasonal Rental (ASCAV), succeed in most cases to obtain licenses for properties placed in touristic areas thanks to a European legislation that protects the owners and prevailing over regional legislation. So do not panic, and in the case of a recourse, process more expensive but profitable, renting is allowed until the final decision, process that takes 18 to 24 months.

If you are interested in buying a property in Tenerife and would like to rent the property all or part of the year, do not hesitate to contact us and we will study all the possibilities available to you.