HOLIDAY RENTALS IN MALLORCA

Holiday Rentals in Mallorca

A High-Yield Investment Opportunity

Mallorca is not only one of Europe’s most popular holiday destinations, but also a highly attractive location for real estate investment. Holiday rentals allow owners to benefit from strong demand for exclusive accommodation and generate solid income throughout the year.

However, it is essential to understand the legal framework and the different types of rental licenses before using a property for tourist rentals.

Types of Holiday Rental Licenses

In Mallorca, there are mainly three types of tourist rental licenses: ETV, ETVPL, and ETV60. Each one is designed for different property types and usage conditions.

ETV License (ETH365_uni)

The ETV license is the most comprehensive option, allowing year-round holiday rentals without seasonal restrictions. It is exclusively available for detached homes such as villas and independent fincas.

It is also the most expensive option, with an approximate cost of €3,500 per guest place. This means a property for two guests may cost around €7,000, while larger villas can reach significantly higher amounts. Each owner can hold a maximum of three ETV licenses.

ETVPL License (ETH365_pluri)

The ETVPL license works similarly to the ETV license, allowing year-round tourist rentals but requiring renewal every five years.

It is intended for apartments in multi-unit buildings and therefore does not apply to detached houses. In this case, approval from the homeowners’ association is mandatory before renting out the property.

Although new licenses were previously issued, they are now heavily restricted, making existing ones particularly valuable in the market.

ETV60 License

The ETV60 license allows holiday rentals for a maximum of 60 days per year, split into two non-consecutive periods (excluding July and August).

There are two versions: one for detached houses and one for apartments. In both cases, the license must be renewed every five years, and in apartment buildings, approval from neighbors is also required.

Legal Requirements and Key Considerations

If new rental licenses are issued in the future,To rent out a property in Mallorca, several administrative and technical requirements must be met. Common documentation includes:

• Certificate of habitability
• Energy efficiency certificate
• Proof of property tax payment (IBI)
• Waste collection tax payment
• Compliance with urban planning regulations

In many cases, the property must also have been used as a residence for a minimum period before a license can be granted.

As tourism regulations in the Balearic Islands may change frequently, professional legal advice is strongly recommended.

When purchasing a property with an existing license, it is essential to carefully review all documentation to ensure the license is valid and compliant with current regulations. A legal expert should verify all details before completion.

High Demand and Strong Rental Potential

Demand for high-quality holiday rentals in Mallorca continues to grow year after year. Millions of visitors prefer private villas, modern apartments, and charming fincas over traditional hotels.

Properties with sea views, prime locations, or natural surroundings such as the Serra de Tramuntana are especially sought after.

Professional property management can significantly increase profitability by optimizing marketing, bookings, cleaning, and guest services. At the same time, owners retain the flexibility to use their home whenever they wish.

In summary,

Holiday rentals in Mallorca remain a highly attractive investment opportunity, but they require a clear understanding of regulations and careful planning.

Given the strict and evolving legal framework, expert guidance is strongly recommended before investing or renting out a property.

At LIVING POLLENSA, we not only help you find the perfect property, but also advise you on all legal and practical aspects of holiday rentals in Mallorca. Contact us for personalized advice.