Could you be banned from renting your property out?
Buyers are advised that, if rental income is required to off-set mortgage and other ownership cost, they take special care to check the current and likely future rental potential of any property they might buy.
Owners may be unaware that, on the Spanish Island of Majorca, apartment owners in Palma are likely to be banned from renting-out their property to the lucrative tourist market, under new laws that could be in place this July. Houses will be excluded from the Palma ban
Whilst Palma is the first Spanish city to do this, to help local residents with access to long-term rental accommodation, there is local pressure across Europe to resist the Airbnb rental model, in particular. Rents on the Balearic island have risen 40% over the last 5 years as the yield from a series of short-term lets for property owners is attractive – as enabled by the likes of Airbnb.