Re: Long term rentals – beware

#58482
Anonymous
Participant

Hi there

I would say be very careful about long term rental. Under Spanish Law anything over 11 months gives the renter a huge amount of rights (I speak from bitter experience) and you could end up selling your property to the renter for peanuts.

And dont believe what many agents will tell you – if you make a continuation in the contract you have effectively given them more than 11 months and therefore they have these rights. It is now also possible that any contract longer than 6 months is also potentially difficult to get the tennants out. There are ways around it of sorts but these are difficult.

So beware if you are going to rent out long term. I got burnt myself last year and although eventually managed to get them out it was a costly process. And whatever you do – do not ever rent out unfurnished – do so at your peril.

Some advice

1. Dont rent to a family with children – even if they dont pay you will never get them out
2. Dont rent for more than 11 months and force them to leave after this period
3. Ensure in your contract you stipulate the place is your home and you will be returning at the end of the peirod
4. Do not EVER let a place unfurnished – the court will then take the view that because the tenants provided furniture they could not be on a short term holiday let therefore have the right to stay – this can be up to five years.
5. If you want to sell your property in the meantime you MUST offer this to the tennants first. They have the right to buy it from you at the market value at the time you first arranged the contract plus interest – not market value today.

I found all this out when I went to court last year to remove my tenants because they had not paid yet again. My agent told me it would be no problem because they were on an 11 month contract, the court told me they have the right to renew (bear in mind they hadn’t paid me for half the time they were there).

I advise you to proceed with caution if considering long term lets. It is a minefield – do not get your hands burnt. This is the reason that there is a lot of people looking and no-one offering. The law in Spain is worse than the UK

Regards

Vince