Rules for terminating rental agreements in Spain
In Spain, relationships between landlords and tenants are governed by a special law that sets strict procedures for ending rental contracts. If a tenant does not notify the owner of their intention to leave the apartment within the prescribed deadlines, the contract is automatically extended under the same conditions. This can lead to unexpected prolongation of obligations for several years.
Notification deadlines and procedures
According to current legislation, once a rental contract is signed, the property may remain at the tenant’s disposal for up to five years if the owner is a private individual, or up to seven years if it is a legal entity. The extension occurs automatically unless the tenant notifies the owner at least thirty days before the contract expires. After this period, the so-called “tacit renewal” comes into effect, where the contract is renewed annually for another three years unless either party declares termination. The owner must give four months’ notice, while the tenant must give two. The notice must be in writing and sent in a way that confirms receipt, such as by registered mail or through a special postal service. If these requirements are not met by the parties, the contract is automatically extended for another year.
Additional extension options and exceptions
The latest legislative changes enacted with Law 12/2023 have provided additional safeguards for tenants facing difficult life circumstances. If a tenant can demonstrate economic or social vulnerability, they are entitled to request an additional one-year extension, provided the owner is a large property holder. During this period, the rental terms remain unchanged.
If the apartment is located in an area with high housing demand, the tenant may request an extension for up to three more years, one year at a time. This obligation for the owner remains in effect unless a new agreement is reached or if the apartment is needed for the owner’s own residence or that of close relatives, as established by law.
Impact of the changes on the rental market
The amendments are aimed at ensuring a balance of interests between property owners and tenants, as well as increasing legal certainty in the rental market. Adhering strictly to deadlines and notification procedures helps prevent disputes and misunderstandings related to lease extensions. The legislation promotes transparency and stability for all market participants.
