| In a nutshell - You're in a hurry but you want to understand? Since 2024, obtaining a tourist license in Valencia has become almost impossible for a new owner. City Hall has suspended the issue of new licenses until further notice, while the Generalitat Valenciana (the autonomous government of the Valencian Community) is stepping up controls on already-registered accommodation.To operate a tourist accommodation, you need:A municipal report of urban planning compatibility;Registration in the Valencian Community's Tourism Register and obtaining the NRA(Número de Registro de Alquiler);Since July 2025, once the license has been obtained at local level, the rental must be listed at national level via the Ventanilla Única Digital. Terreta tip: In València, short-term rentals (less than 10 nights) require a tourist license. Don't have a license? Don't panic, all you have to do is offer stays of 11 nights or more, and you'll be able to rent out your accommodation legally via Airbnb (or any other platform)! |
In just a few years, Valencia has gone from a quiet provincial town to a symbol of Airbnb-style rental investment. The city, which became World Design Capital in 2022, then European Green Capital in 2024, now welcomes over 11 million tourists a year (2024), an activity that represents 16% of the Comunidad Valenciana's GDP .
In order to regulate the 50,000 tourist rentals (Idealista) available on the platforms and to encourage people to live together, standards have been adapted: obtaining a tourist license in Valencia has become almost impossible for a new owner.
Terreta Spain experts take stock.
Graffiti on a wall in Ciutat Vella, October 2025
Terreta Spain
What is a tourist license in Valencia?
The tourist license is an authorization issued by the Generalitat Valenciana (the Community government) in the form of a code that allows you to promote and rent out your property on platforms like Airbnb, or Booking.
Faced with the historic drop in the stock of residential properties available for sale (-78% compared to 2016, Idealista), the Generalitat has tightened the conditions for obtaining it in 2024.
Valencia City Council limits the number of tourist apartments in the city.
El Español, April 2025
To take in the sights and see why Valencia attracts so many tourists and investors, read our article: "A long weekend in Valencia".
Tourism license in Valencia: what does the new law say?
Coming into force in August 2024, Decree-Law 9/2024 regulates not only the type of lease, but also the minimum equipment, access conditions and reception of holidaymakers in tourist accommodation.
- The license is valid for 5 years and is renewable.
- A tourist license is required for stays of less than 10 days. For stays of 11 days or more, this requirement is waived.
- In tourist rentals, it is forbidden to rent room by room.
- Co-owners may object to tourist rentals.
- Only ground and second floors are eligible.
- It is not possible to obtain a license if a residential dwelling is located on the same level or below the dwelling concerned.
- Quotas have been introduced: no new tourist accommodations where they already exceed 8% of the population (of the district/neighborhood). Tourist rentals may not exceed 2% of the total housing stock in a given district. Only 15% of commercial premises per block may be converted into tourist accommodations. 50% of a condominium must be reserved for residential use.
- The accommodation must have a minimum of equipment (e.g. two cooking rings).
- The owner or operator must welcome holidaymakers physically and provide them with a 24-hour emergency contact and evacuation plan.
- Vivienda Túristica must be displayed at the entrance.
Obtaining a tourist license in Valencia: a simplified guide
Steps to apply for a tourist license in Valencia (VUT)
- Request for town-planning compatibility report to town planning department (town hall, Ayuntamiento).
- Preparation of an administrative file including :
- A responsible declaration that your home meets all legal requirements.
- A document proving the identity of the licensee (natural or legal person).
- Certificate of habitability.
- The list of tourist accommodations if you manage several.
- The previously obtained municipal urban compatibility report.
- The property's cadastral reference (which can be consulted on the Spanish land registry website).
- The complete file must be submitted to the Valencian Community Tourism Registry.
This can be done :
- Online, using an electronic certificate.
- In person, at the Valencia Territorial Tourism Department.
- Or by post.
- Once your application has been validated, you'll receive an official registration number (the famous NRA, Núméro de Registro de Alquiler), which you can use on all your rental ads (Airbnb, Booking, etc.).
- The tourist license must be updated every 5 years, ensuring that the accommodation remains compliant with town-planning and safety standards.
Practical information
- Price: in the city, procedures cost from €800 (including taxes and fees).
- Deadline: the Generalitat issues it within a minimum of 2 months.
- You can check whether the accommodation has been licensed on this site.
Spotlight on a rumour: is there such a thing as a tourist licence valid for life?
Prior to 2024, asLaw 15/2018 and the original regulations did not specify a license validity period, it was often said that the license was granted "for life" as long as it was not withdrawn for non-compliance.
Current regulations stipulate that all tourist licenses registered with the Valencian Community Tourist Register are now valid for 5 years. At the end of this period, the licensee must submit a complete new application. Renewal is not automatic: it may be refused in the event of non-compliance or a change in urban policy.
Would you like to discuss your project with our Terreta Spain advisors? We'd love to hear from you.
Licences paralyzed in Valencia
A transitional moratorium
Since the spring of 2024, permits have been officially paralyzed in the city: the town hall has stopped all new licenses being issued by the Generalitat until at least 2025, with an ultra-restrictive procedure.
To keep abreast of regulatory developments, or to be notified when the moratorium is lifted, visit Licencia vacacional, the industry reference for compliance and regulatory monitoring in Valencia.
Penalties for non-compliance with the new rules
The municipality has also considerably stepped up penalties for non-compliance. The risks are :
- Deletion from the register ;
- Suspension or even permanent loss of the license;
- Forfeiture of rental income;
- Fines of up to 600,000 euros.
In 2024, Valencia City Council filed 620 complaints against illegal tourist rentals. That's 7 times more than in 2023. There were 800 if we add the first 6 months of 2025. 1,000 apartments renting out without a license were also removed from platforms between 2024 and the first half of 2025.
Terreta Spain tips: the right strategies for investors
Buying an apartment with a license
Buying a property with a valid tourist license is still the best option, while checking that it complies with legal and regulatory requirements.
Bear in mind that after 5 years, the license will no longer be valid, and the necessary steps will have to be taken.
Beware of scams: many properties advertised with a tourist license are not 100% compliant: the license may not be renewable or may not meet all the new criteria.
If you're buying a property with a tourist license, it's a good idea to enlist the help of a real estate consultant, to avoid making the mistake of buying a property whose license won't be renewed. Expertise is key in this area. Contact our teams to find out more about your project.
Buying commercial premises
Buying commercial premises and converting them into tourist accommodation (once the moratorium freezing the granting of licenses has been lifted) is an option worth considering.
No license? Simply rent your accommodation for 11 nights or more.
A winning strategy is to rent via Airbnb for stays of more than 10 days. In fact, from 11 nights (and up to 1 year), the lease is no longer considered tourist, but seasonal, known as "de temporada" in Spanish. In this case, you can rent out your property legally, without needing a tourist license. You'll have no problem renting your property to tourists, students, expatriates or digital nomads.
- Bonus: with this type of contract, you can rent by the room.
Title: Apartment advertised on Airbnb for a minimum stay of 11 nights - and therefore without the need for a tourist license!
Betting on student rentals in Valencia: the right idea
Opting for a student rental is also an excellent way to combine investment security and cash flow: up to 50% more profitability than a traditional lease for an 80m2, 3-bedroom apartment.
Who can beat that?
To find out more, read our full article on student rentals in Valencia (link to our article once published).
To find out everything you need to know about the property-buying process, take a look at our practical information sheet.
Useful links
Registro de Viviendas de Uso Turístico (Valencia)
Registro de la Propiedad: +34 96 38 97 806
FAQ - Short-term rental in Valencia 2025
Is it still possible to invest in tourist rentals in Valencia?
Yes, but conditions have changed radically since 2024. City Hall has suspended all new licenses until further notice, making it virtually impossible for new investors to obtain them. Only alternative strategies remain viable: purchase of an already-licensed property, seasonal rental (more than 10 days) or student rental.
How do I obtain a tourist license in Valencia?
To run a tourist rental business in Valencia, you need a tourist license (VUT). To obtain it, you need to request an urban planning compatibility report from theAyuntamiento. Submit a complete file to the Generalitat Valenciana, which issues the license and the official number to be displayed. The license is valid for 5 years and must be renewed.
What is the maximum length of a tourist rental in Valencia?
Since August 2024, the maximum duration of a tourist contract in Valencia cannot exceed 10 consecutive days. Beyond that, the contractual regime switches to a temporary lease (up to 1 year), which is governed by different legislation. It is not possible to circumvent this limit by changing the traveler's name on the contract.
What are the penalties for unregistered rentals in Valencia?
The municipality has stepped up penalties for non-compliance: removal from the register, suspension or loss of license, confiscation of income and fines of up to several hundred thousand euros.
Can a condominium prohibit tourist rentals?
Yes, since August 2024, condominium approval has been mandatory for all new tourist accommodation. For existing licenses, this authorization becomes necessary at the time of the five-year renewal.
What are the alternatives to traditional tourist rentals?
There are three main strategies: buy a property that is already licensed (and check that it complies), offer seasonal rentals from 11 days to 1 year (no license required), or opt for student rentals, which offer comparable returns with fewer constraints.
How much does it cost to obtain a tourist license in Valencia?
Expect to pay a minimum of €800 for the entire process (town-planning compatibility report: €70-90, administrative costs, various certificates).
Why does Madrid attract so many students... and investors?
Spain's leading city, which has seen a real estate boom since the Covid pandemic, boasts average purchase prices of €5,677/m² and rental prices of €22.7/m² (Idealista), but the supply of student accommodation is no longer keeping pace with demand: rents are expensive and properties are highly sought-after by the 250,000 students living in the city(official figures).
For investors, this translates into sustained rental demand and attractive valuation prospects. A good playground if you can afford the entry fee.
Embark with Terreta's experts on a journey through student Madrid.
CARTE QUARTIERS ÉTUDIANTS MADRID
Madrid vs. other major Spanish cities: why invest here?
While Valencia and Barcelona appeal to young people because of their Mediterranean setting, Madrid stands out as a premium choice for student rental investment.
The Spanish capital is home to :
- High-quality universities: Complutense, Politécnica,Autónoma, IE Univeristy, Carlos III.
- The highest student demand in Spain: over 250,000 students, 20% of them international. They guarantee almost permanent occupancy of accommodation and a high level of rental pressure, which is obviously favorable to investors.
- A solid economy that attracts young people ready to launch their professional careers.
- Sustained property value: Madrid has seen strong price growth since the pandemic, driven by its economic attractiveness and the capital's dynamism on the European scene.
- A rich cultural life.
Investing in Madrid means betting on stability, value and prestige.
Top districts for student rental investment in Madrid
Moncloa - Aravaca: the ideal student rental investment
Located to the west of central Madrid, Moncloa is the emblematic district of university life. Immediately adjacent to the Cité Universitaire, it attracts a large number of Spanish and international students. The area boasts a lively atmosphere, local shops, numerous campuses and excellent transport links. What better place to live when you're young?
Why invest in Moncloa?
- There's no room for error here: the area is highly sought-after for traditional student housing and shared accommodation.
- Demand is structurally strong, and rental vacancies are rare.
- The city's biggest strength is its close proximity to the main universities (Complutense, Polítecnica, CEO San Pablo, Nebrija).
- Access to the center is also quick and easy, and the public transport network is comprehensive.
Focus on prices and profitability of student accommodation in Moncloa
- Purchase price per m²: €6,074/m² (+20.8%).
- Sustained rent: €21.3/m² (+8.2%).
- Gross margin: 4.2%.
| Beware: in this student DNA neighborhood, noise can be a nuisance for some of the more "consensual" tenants. |
Chamberí: an upscale, central student district
A refined, central neighborhood, Chamberí attracts affluent students with its typically Madrid atmosphere, quality architecture and location. Bars, crowded terraces in summer and winter, theaters, cinemas and a high quality of life: Chamberí has everything to win over young people, expats and locals alike.
Why invest in Chamberí?
- The address is sought after by a mixed public: students and professionals, which is reassuring for an investor.
- Close proximity to Complutense, Polítecnica, Pontificia de Comillas and ICADE.
- The sector is premium and its rental market dynamic.
- The heritage value is strong and the potential for development is clearly good.
Focus on prices and profitability of student accommodation in Chamberí
- Purchase price per m²: €8,317/m² (+19.2%).
- Rental: €25.5/m² (+8.5%).
- Gross profitability of 3.7%.
| Is Chamberí chic? Yes, but sharing a flat is the smart way to boost your income. Don't hesitate to give it a try! |
Lavapiés - Embajadores: cultural diversity and urban effervescence
Lavapiés is a cosmopolitan district undergoing a complete transformation. It shines with its young, alternative and authentic atmosphere, its cultural melting pot and its still affordable property prices. Perfect for students who prefer to live in the heart of Madrid rather than glued to the lecture halls.
Why invest in Lavapiés?
- Strong student demand thanks to rapid access to Madrid's main university centers and language schools(Escuela Oficial de Idioma de Madrid).
- Its lively nightlife is ideal for unwinding after a long day at university.
- The market is buoyant for investors looking for yield and medium-term capital gains.
Focus on prices and profitability of student accommodation in Lavapiés
- Price per m²: €6,111/m² (+22.2%).
- Attractive rent: €25.7/m² (+11.7%).
- Gross profitability of 5%.
| The return on investment is very attractive for Madrid intramuros. If you opt to share, you could boost your return even further. |
Malasaña - Universidad: Madrid's hipster epicenter
A neighborhood that never sleeps, a trendy atmosphere and rents that go up fast: welcome to Malasaña. Trendy vintage cafés, bohemian ambience, underground culture, concert halls and art galleries: this area in the center of the capital attracts a young, international population. More expensive than Lavapiés.
Why invest in Malasaña?
- It's a dynamic, high-demand neighborhood, with maximum occupancy all year round.
- Valuation is stable, and we're targeting student-oriented furnished/seasonal rentals.
- The area benefits from good transport links.
Focus on prices and profitability of student accommodation in Malasaña
- Price per m²: €7,661 (+14.5%).
- High rents: €27/m² (+8.8%).
- Gross profitability of 4.2%.
Tetuán: Madrid's new high-potential cosmopolitan district
Tetuán is a neighborhood in the throes of change. In 2025, it's a good mix of family atmosphere, student population and new economic dynamism. Prices are still affordable, which makes everyone happy.
Why invest in Tetuán?
- In Tetuán, demand is strong, thanks in particular to a young population, the development of coliving - a premium version of shared accommodation, often with additional services such as cleaning, coworking spaces, etc., and flexible lengths of stay - and a new urban vitality.
- Close to the Polítecnica.
- In this area, there is significant potential for value enhancement in the medium term.
Focus on prices and profitability of student accommodation in Tetuán
- Price per m² on the rise: €5,643/m² (+20.8%).
- Rents at €22.2/m² (+10%).
- Gross margin: 4.7%.
Usera: betting on student emergence
Usera is a popular district well connected to the center by metro. The area is attractive for its competitive prices, diversity and proximity to university centers.
Why invest in Usera?
- In Usera, there's a popular segment for student rental investment in certain fast-growing areas.
Focus on prices and profitability of student housing in Usera
- Attractive prices: €3,177/m² (+21.8%).
- Average rents: €19.1/m² (+8.9%).
- Outstanding gross margin of 7.21.
| In Usera, profitability is in turbo mode, but be careful to select the right location, as the potential here varies from one sector to another. We strongly advise against investing in these emerging areas without the support of an expert. Follow my lead to find the expert. |
Boost your returns with a student flat-share in Madrid
Good to know, a recent 2024 study by Savills Aguirre Newman, a leading UK-based real estate investment group, estimates that co-location could increase returns by 20% to 40% over traditional residential rental. This is colossal.
In university towns where accommodation is expensive, shared flats are popular with students, especially foreigners, looking for low rents, large communal spaces and the chance to meet new people. A bit like the famous film L'auberge espagnole, starring Romain Duris.
On the landlord's side, it maximizes rental income and reduces vacancies. But beware, not everything is rosy: this type of rental involves increased management: more staff turnover, investment in furniture and maintenance.
Terreta Spain tips for investing in student accommodation in Madrid with peace of mind
- If you're looking for peace and quiet rather than profitability at any price, it's best to go for small spaces (studios, T2s) and avoid sharing.
- Always opt for a property close to transport links. Isolation is a real problem for young students.
- Think about renovating the apartment and furnishing it. This will make the apartment more attractive to solvent tenants. Good news: Terreta Spain can also take care of your renovation. Contact us for more information.
- Delegate rental management to avoid being overwhelmed.
- Sharing a flat is a great idea if you have the right backbone or if you're well accompanied (by Terreta).
Ready to invest in Madrid's student districts? Terreta Spain is your one-stop shop for buying, renovating and renting. Ask for a personalized study.
Want to find out more about real estate in Spain's capital before taking the plunge? Go further with our selection of articles:
- The ultimate Terreta Spain guide to Madrid's neighborhoods
- Madrid 2025: the new European capital of real estate investment.
- Madrid, Barcelona or Valencia: where to invest in 2025?
Conclusion: Madrid, the capital of student investment
Every year, Madrid consolidates its status as a leading university metropolis. The 250,000 students who populate its campuses guarantee foreign investors attractive returns in a city where quality of life rivals that of Europe's greatest capitals.
Whether you're banking on the rental security of Moncloa, the cultural effervescence of Malasaña or the emerging potential of Usera, one thing's for sure: student rental demand won't dry up, and Madrid is continuing its real estate upward trend.
At Terreta Spain, we guide foreign investors through the entire process, from identifying promising sectors to property selection, renovation work and comprehensive rental management. Contact us to make your Madrid investment project a reality.
And for those who would like to know more about the different stages involved in buying property in Spain, our team has designed a practical fact sheet dedicated to buying property in Spain.
FAQ : Where to invest in Madrid's student districts: the insiders' guide
Which neighborhoods are best for student rentals in Madrid?
Moncloa, Chamberí, Malasaña, Lavapiés, Tetuán and Usera are among the most sought-after.
What is the average purchase price per m² and rental yield in Madrid's student districts in 2025?
In 2025, the average purchase price in Madrid's student neighborhoods will range from €3,100/m² (Usera) to over €8,000/m² (Chamberí), with an average of around €5,700/m². Rents range from €19/m² to over €27/m², depending on the area. Gross rental yields range from 3.7% (upmarket districts) to over 7% (Usera, Puente de Vallecas). Moncloa, Tetuán and Lavapiés also offer good compromises at around 4 to 5%, thanks to student demand and shared accommodation, which is highly sought-after in the capital.
Should you invest in old or new property in Madrid?
Older properties often offer higher returns, provided they are renovated, while new properties are attractive for their ease of management.
Is it possible to manage a shared flat remotely?
Yes, many professionals like Terreta Spain offer complete management.
Madrid or Valencia as an investment destination?
Madrid has higher rental demand and higher rents, while Valencia remains more affordable - the choice depends on your objectives.
