Renting Out Your Property on the Costa Blanca: Which Rental Option Is Right for You?

Buying property on the Costa Blanca often starts with different goals. Some people buy an apartment as an investment, expecting to generate rental income. Others purchase a home for themselves but spend only a few weeks or perhaps one month a year here. The rest of the time, the property remains empty, even though it could be generating income.

There are several ways to rent out a property. The most common options are tourist, temporary (seasonal), and long-term rental. Each has its own advantages, disadvantages and requirements.

Tourist Rental

This means renting the property to holidaymakers for short stays, usually for a few days or weeks. For the Costa Blanca, this can be an attractive option thanks to the strong tourist demand.

Advantages:

• Potentially higher income;

• The owner can keep the property available for personal use;

• The property can be rented only during the most profitable periods.

Disadvantages:

• Constant communication with guests and management of bookings;

• Regular cleaning and linen changes;

• Check-ins and check-outs;

• Seasonal fluctuations in demand;

• More intensive property management.

  
  

What is required?

To use a property as a Vivienda de Uso Turístico (VUT), it must meet the requirements of the Valencian Community and the relevant municipality, including registration in the Registro de Turismo de la Comunitat Valenciana and the required urban-planning compatibility.

This is where one of the main difficulties currently arises. The fact that another apartment in the same building has tourist registration does not mean that a new registration can automatically be obtained for your property. Eligibility depends on the current planning regulations of the municipality, requirements affecting the building and other conditions.

In addition, during 2025–2026, the Generalitat has been carrying out a large-scale review of existing VUT registrations and cancelling registrations for properties that do not meet the applicable requirements.

For this reason, before planning tourist rental, it is important to check whether your specific property is legally eligible to be used as a VUT.

Temporary (Seasonal) Rental

This means renting a property for a defined period, for example, several months. It can be suitable for students, professionals, people temporarily working or living on the Costa Blanca, and those who need accommodation for a specific period.

Advantages:

• Fewer tenant changes;

• Less cleaning and day-to-day management;

• The property can remain available to the owner during other periods;

• A good balance between rental income and the possibility of using the property personally.

Disadvantages:

• Income is usually lower than successful tourist rental during the high season;

• The property cannot be used by the owner during the rental period;

• The temporary nature of the tenancy must be correctly documented.

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It is important to understand that temporary rental is not simply a long-term rental contract for a few months. There must be a genuine temporary purpose, and the contract must comply with the applicable legislation.

Long-Term Rental

This is the traditional option for owners who value stable income more than the possibility of using the property themselves frequently.

Advantages:

• Stable monthly rental income;

• Minimal tenant turnover;

• Less expense and administrative work;

• No need to constantly look for new tenants.

Disadvantages:

• The property becomes unavailable to the owner for a longer period;

• Choosing the right tenant is particularly important;

• Long-term residential rentals are subject to specific tenant-protection rules;

• Some owners are concerned about potential problems with okupas and difficulties recovering their property in cases of illegal occupation or serious disputes with tenants.

At the same time, legislation in this area is gradually evolving, and many property owners hope that further changes will make the protection of owners' rights and the process of recovering a property more effective.

Which Rental Option Is Right for You?

It all depends on your goals.

Use your property for only a few weeks a year?Tourist or temporary rental can allow you to generate income during the rest of the year.

Want maximum flexibility and are prepared to manage the property more actively?Tourist rental may be the most profitable option — provided the property is legally eligible for this type of use.

Want fewer management tasks while keeping the possibility of using your property for part of the year?Temporary rental may be worth considering.

Your priority is stable income with minimum involvement?Long-term rental may be the most suitable option.

Who Will Manage Everything?

Renting out a property is not just about finding a tenant. Someone needs to respond to enquiries, check potential tenants, prepare contracts, monitor payments, organise check-ins and check-outs, arrange cleaning and maintenance, and deal with problems when they arise.

This is particularly important for owners who live outside Spain or simply do not want managing their property to become a second job.

Keyhold.online helps property owners on the Costa Blanca rent out their properties and manage them on a day-to-day basis. We can help you choose the rental mode

l that best suits your needs and take care of the practical side — from dealing with tenants to monitoring the condition of your property.

Your property should generate income, not become an additional worry.