If you are a landlord and are considering putting your property for rent, you are in the right place.you are in the right place. In this blog post, we will explore in detail the world of renting from a landlord’s perspective, highlighting the crucial aspects to consider and how our experience and expertise can ensure a smooth and successful experience. In addition, we will keep you updated on the specific regulations in the Valencian Community and the new Rental Law, as well as the differences between a long term rental and a tourist rental.

What is important when renting your property?

1. Profitability and financial security: Renting a property can be a lucrative investment, but it also carries risks. Carefully evaluating the potential return and ensuring the financial security of the investment is essential to avoid unpleasant surprises in the long run.

   In short, you should understand that putting your property up for lease should give you benefits or, at least, cover the expenses of such housing. Otherwise, you could risk your financial stability without a clear purpose.

2. Selecting reliable tenants: Finding reliable tenants is critical to maintaining the integrity of the property and avoiding legal or maintenance problems. Conducting a thorough background check, assessing financial solvency, and clearly stating rules and expectations from the outset are crucial steps.

   You must understand that the tenants are going to be the new family of the home, so you will be opening your home to strangers that you must get to know. Some points to take into account may be: economic stability, family situation, the existence of pets in the family, and more.

   Don’t worry, in this case the real estate agency will make sure that the tenant’s profile is the right one according to your requirements.

3. Maintenance and customer service: Keeping the property in top condition and providing exceptional customer service are key aspects of attracting and retaining quality tenants. Responding quickly to maintenance requests and efficiently handling any problems that may arise contributes greatly to both owner and tenant satisfaction.

   In the case of a tourist rental property, it is important to have a cleaning service that keeps the property in order. As well as, our agency will pay attention to all those tenants and to the communication between landlord and tenant. In other words, the real estate company takes on the role of intermediary with the objective of maintaining a stable relationship between the owner and the tenants.

Spanish rental regulations

Valencian Community

The regulations related to leasing are mainly governed by Law 29/1994, of November 24, 1994, on Urban Leases (LAU), together with complementary regional decrees and provisions.

Key aspects of the regulations in the Valencian Community:

• Duration of the contract: Residential rental contracts have a minimum duration of 5 years if the lessor is an individual, and 7 years if the lessor is a legal entity, with automatic extensions of one year up to a maximum of 7 or 11 years, respectively.

• Deposit: The deposit is limited to two months’ rent in the case of dwellings, and to three months’ rent in the case of non-dwelling rentals.

• Updating of the rent: Rent may only be updated annually in accordance with the Consumer Price Index (CPI), unless otherwise expressly agreed.

• Eviction for non-payment: The process of eviction for non-payment has been simplified, allowing the owner to initiate the process within three weeks from the payment request.

• Registration of rental contracts: Since 2020, it is mandatory to register all housing rental contracts in the Registry of Rental Contracts of the Valencian Community (REVAL), within 30 days after signing. The purpose of this registry is to provide greater transparency and legal certainty to rental contracts.

New Rent Law – Updated to 2024

Changes and updates to the Rent Act of 2023:

Regarding the changes that have already been made, during 2023, there are a few highlights that remain of great interest to our readers:

• Duration of the contract: The minimum duration of housing rental contracts is established at 5 years if the lessor is a natural person, and 7 years if the lessor is a legal entity. The possibility of agreeing contracts for a term of less than one year was eliminated, unless the lessor justifies specific housing needs.

• Deposit: The law limits the deposit to two months ‘ rent in the case of residential rentals, and to three months’ rent in the case of non-housing rentals.

• Updating of the rent: Rent may only be updated annually in accordance with the Consumer Price Index (CPI), unless otherwise expressly agreed.

• Eviction for non-payment: Eviction proceedings for non-payment have been expedited, allowing the owner to initiate the process within three weeks from the payment request.

Differences between a Long Term Rental and a Vacation Rental

It is important to understand the differences between a long term rental and a vacation rental in order to choose the option that best suits your needs and preferences as an owner:

• 
  Long-term rentals
  This refers to housing rental contracts that have a minimum duration of 5 years (in the Valencian Community) and are mainly intended for long-term residents (minimum one-year contract). These leases tend to offer greater stability and security for the landlord, with stable monthly rents and lower tenant turnover.

• 
  Tourist rentals
  This refers to short-term rentals, generally intended for tourists looking for temporary lodging during their vacations. These rents tend to generate higher revenues per night, but are less stable and predictable. In addition, they may require more active management and higher tenant turnover.

At Antaal Life we can help you!

At Antaal Life, we are committed to ensuring that every aspect of your rental agreement complies with current legislation and is tailored to your specific needs as a landlord. Whether you are interested in a long term or tourist rental, our team, led by Veronica, is fully trained and updated on the latest regulations, which guarantees a legal and transparent management of your property.

And don’t worry about the tourist license of your property, we have our own license of tourist housing manager:

EGVT-853-A

Whether you need advice on contract drafting, bond management or dispute resolution, we are here to provide you with the support and guidance you need.

Trust us to make your rental experience successful and hassle-free!