Number 6

Dear all

We are thinking of buying a property and renting it out as a holiday rental in the Valencian region.

I am reading conflicting reports on 'new' laws and regulations on holiday lets.
I understand that you must register your property as a holiday let.

However, I am not clear on what services you MUST provide and if you decide on which category your property is registered as - Standard, Primera or Superior - or this is determined by the size of things like you main bedroom etc.

It seems that in the Primera and Superior categories you MUST provide heating andair conditioning in every room (fixed units not mobile) including bedrooms.

In looking at the popular holiday lettings websites, only a very, very small proportion of these villas are complying with these requirements, including the one we will be staying in during August!

I wonder if anyone who is letting their property at the moment could guide us?

Many thanks

spainrico

'only a very, very small proportion of these villas are complying with these requirements,'
I think this says it all. The hotels jump up and down against unfair competition from the holidays rentals sector but basically, these rules are mostly ignored and not enforced. I would recommend paying tax on the income that is probably the biggest requirement.

Number 6

Thanks for your reply Rob - does this mean that if you do declare the rental income and pay tax on it then they see that you haven't got the relevant licenses - ie a bit of a Catch 22 situation?

Do you know if the rental websites insist on you having registered the property before they will list it?

spainrico

The tax man will not care about any licenses! It is just not how it works here! No all they want is listings.......again it is a cultural thing - no one 'polices' here it is up to you what you do and don't do. If the property has gas I would recommend a current safety certificate.

Rosemary

Hopefully snikpoh will be along soon and give you advice, he is a landlord so knows all of the legislation and what happens here.

Rosemary

snikpoh

Hi - Thanks Rosemary.

Some websites insist on a registration number before you can join and advertise whilst the majority are not as strict.

I tried to apply when the legislation first came out but nobody was interested - things have changed a lot since then. I recently downloaded the registration form and couldn't make head nor tail of some of the questions (and we speak both Spanish and Valencian). Took it to my abogada/gestora who said that I shouldn't bother. We would have to completely reform the place to be 'disability compliant' (meaning no steps, wider doorways etc.), would have to install a/c everywhere etc. etc. Her advice was simply to carry on declaring the income!

I'm still not comfortable with this but can't get answers to how to fill in the form nor what dispensations I would be allowed regarding the steps etc. (these are between all the rooms and are only about 4").


All-in-all, I understand that there are a number of basic issues (fire alarms, CO monitors, gas inspection certificate etc.) but if you meet these and declare the tax, then you should be OK.

Number 6

Thanks Snikpoh
That's just the kind of common sense, 'real world' advice I was after.

We want to be above board and compliant from the start, but just putting aircon in every room would mean we couldn't afford to buy in the first place.

Do you know how the 3 categorisations of 'standard', 'primera' and 'superior' are arrived at? Is it by the size of the main bedroom, the overall size of the house or is it a designation that the owner specifies?

Standard designations do not need aircon, wifi, heating in every room and a lot of the facilities which seem very over the top.

I still don't see the majority of villas for rent on the rental websites having these facilities.

snikpoh

Unfortunately, NO, it was this question that stumped me.

Take a look at this link to see if it helps;

Holiday rental licences in the Valencian Community

Number 6

It was this article which prompted by question and concern!

I've also read elsewhere that the maximum fine for not having a license and renting out is 90k euros and/or ban for the owner and property from renting for 3 years!!!

It seems as though the classifications are based on room sizes, and unless you are a 'superior' it just says 'air conditioning' to include ALL bedrooms. The Primera just has the aircon ticked. It's not clear if this one room, a number of rooms?

I even see that a Superior has to have a swimming pool!

This is really making me think twice about buying, or at least what I can afford to buy (which is probably nothing).

Number 6

I don't know what this means, but I wonder if this offers some flexibility for 'rural' houses:

c) Homes that are located in rural areas (these are governed by Article 48 of Law 13/2011 of 23 December and Decree 20/2002, dated 29 January, Tourism in Rural and Active Tourism).

?