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A new law, Royal Decree 28/2016 that regulates vacation rental properties and modifies the existing regulation for vacation rental properties came into force on May, the 12th, 2016.

Any properties that are located a residential area that is being advertised for rent to tourists (short term rents, less than two months to the same person) should comply with the regulations of this law. According to this law, the advertising could be through travel agencies, intermediaries or any other that includes the possibility of booking the property.

The properties that are excluded from the application of this law are the following:

Properties that are being rented out without any economic compensation (if you let your family or friends using the property for free)
Long term rentals (the properties that are rented out to the same person for the period that exceeds two months in the year in continues way)
Rural properties that are ruled by its own regulations.
Owners with three or more properties located in the same residential complex (those also are ruled by another legislation)

According to this law the properties should meet the following minimum requirements:

To have First Occupancy License
The rooms should have direct exterior ventilation and blinds system in the windows
The property should be sufficiently furnished and equipped for the normal use
The property should have air condition and heating systems (fitted system not portable devices)
First Aid Kit.
To have at tenants disposition brochure (or any other format) with the information related to the area, indicating restaurants, leisure places, shops, parking, medical services, public transport in the area, a guide with events information and plan of the town.
Complaints book.
The owner has to take care of cleaning service prior to arrival and after the departure of the tenants.
Supplying bedding, towels and household goods in general, as well as spare sets.
Providing a contact number to be available to answer questions or issues regarding the property.
Supplying information and instructions for electrical appliances.
Informing the tenants about the rules in relation to the use of facilities, pets or smoking restrictions.
The owners have one year to comply with these minimum requirements.

Each rental has to be formalized in the corresponding rental agreement which should include at least the following information:

Personal details of the owner and tenant/s
Registration Code of the Property given by the Authorities
Number of persons that will occupy the property (maximum capacity would be 15 people, in any case not more than 4 people per room)
Entry and departure date
The price
Contact telephone number

The terms of the rent are subject to the agreement of the parties. The terms of price, reservation, and payment or other terms must be stated in detail in the confirmation of the booking. Proof of advance payments must be provided, if applicable. In case the parties have not agreed to other terms, the owner may request an advance payment as a deposit up to a maximum of 30% of the total price unless previously agreed.The same way, in the case of lack of individual parties agreement, If the tenants cancel their reservation up to 10 days beforehand, the homeowner may keep up to 50% of the deposit. If the cancellation is made with less than 10 days to spare, they may keep the entire advance payment. If it is the owner who cancels the reservation up to 10 days beforehand, he must return the entire advance payment to the tenant. If the cancellation is made less than 10 days beforehand, he must compensate the tenant with 30% of the price of the contracted stay. If the rental is cancelled by either party for substantiated reason or force majeure, no compensation will be due. The owners are obliged to keep the copy of each contract for eventual inspection purposes during one year. The clients on their arrival will have to present their identification documents (passport or ID Card) and fulfil the corresponding “check in” document.

REGISTRATION

The owners of properties in order to start or comply with this new regulation are obliged within three months from the date of publication of the Law (took place on the 11th of February) to present the corresponding declaration in Registry of Tourism of Andalucía (Registro de Turismo de Andalucía) that will contain the following information:

Property details including cadastral reference and the maximum capacity as stated by the first occupancy license.
Personal details of the property owner, whether an individual or a company, including contact address for notification.
Identification of the person or entity that exploits the property (if different to the owner)

Once the registration has been completed the registration number of the property will be assigned by the Registry of Tourism of Andalusia and from there on this number must be indicated in all promotional materials or advertising of the property.

The Registry of Tourism of Andalusia must be notified of all rental activity and changes – both commencement and cessation.

NON-COMPLIANCE. FINES
Non-compliance of the regulations could involve substantial fines that could go from few hundred to a dozen of thousands.

MW ASOCIADOS

MW ASOCIADOS
Calle Jesus Puente 27
Edif. Terrazas de Banus
29660 Nueva Andalucia, Marbella
www.mwasociados.com
Tel. 952908148

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