In recent years, the rise of tourist rentals has sparked intense debate within real estate law and community living. The recent Supreme Court rulings numbers 1232/2024 and 1233/2024, dated October 3, 2024, have clearly established the authority of homeowners’ associations to regulate or prohibit this type of rental within their buildings. This article analyzes the most relevant aspects of the ruling and its implications for owners and tenants.
Legal Context
The Horizontal Property Law (LPH) governs relations within homeowners’ associations in Spain. However, the surge of tourist rentals, fueled by platforms like Airbnb, has created tensions between owners seeking to monetize their properties and those who prefer a quieter environment.
The Supreme Court Ruling
The Supreme Court, in rulings 1232/2024 and 1233/2024, addressed whether a homeowners’ association can adopt agreements prohibiting tourist rentals in their building. In this case, the high court confirmed that:
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Community Authority: The homeowners’ association has the power to regulate the use of apartments, provided these rules do not violate the law. This includes the ability to limit or prohibit tourist rentals if agreed upon by a majority.
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Required Quorum: To impose a prohibition on tourist rentals, a quorum of three-fifths (3/5) of the homeowners’ assembly is necessary.
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Nature of Agreements: The prohibition must be formally agreed upon in a homeowners’ meeting. Failure to comply with these agreements may result in legal action by the community.
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Retroactivity: The Supreme Court did not explicitly rule on the retroactivity of the prohibition, which we understand should be clarified in future decisions.
Practical Implications
This ruling carries several implications:
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For Owners: Those wishing to rent their properties as tourist accommodations should pay attention to their community’s decisions. A possible prohibition could affect the profitability of their investment.
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For Communities: Homeowners’ associations should establish clear rules and communicate them effectively. It is advisable to seek legal advice when drafting agreements to ensure compliance with the law.
Conclusion
The Supreme Court rulings 1232/2024 and 1233/2024 reinforce the power of homeowners’ associations to regulate the use of their properties, ensuring coexistence and the well-being of all members, but limiting the rights of foreign clients for whom such rentals were essential when considering investment in the country. It is crucial for both owners and tenants to be informed about their rights and obligations in this context.
