Tourist licence clarification please!

Questions relating to buying or owning a property. Moving to Menorca Sub-forum: moving to, or living and working on Menorca
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Tourist licence clarification please!

Post by elainemeli » September 28th, 2021, 1:20 pm

Hello all,

We are interested in buying a property that we want to rent out through commercial sites such as AirBnb etc.

Can anybody please clarify what are the conditions of rental when you buy a property in a complex with a community licence, as we have been told that technically although you should only rent to family/friends etc on a community licence, many people do rent commercially using these??? Also does anybody know why some complexes do not allow owners to apply for an individual licence?

Also, lastly, sorry! most of the apartments for sale have an energy rating of G and have read that F is the minimum, so what would changes would be required to increase it to an F rating?

Thanks so much in advance for the clarification!

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Re: Tourist licence clarification please!

Post by Shuggie » September 28th, 2021, 3:17 pm

Most apartment complexes have an appointed “president” and hold an annual general meeting to discuss and agree issue. If you want to buy to rent as a holiday let it is vital you make the proper checks with a solicitor prior to committing to buy. I would also find out who the president of the complex is and approach them to check what the rules are in that complex. It’s understandable that some complexes, who have residential owners living all year, don’t want tourist. Would you like it if your neighbours changed every other week and made a lot of noise whilst there.

As far as EPC’s go, it’s hard to take an apartment up a grade in energy performance as most of these types of buildings were constructed for summertime living I.e. built in single block work, no cavity insulation and no insulation in the roof and no source of heating. It is possible to retro fit insulation to the outside of a building and possible to put insulation on the inside of a ceiling. You could also fit split air con units to provide a heating source in winter, BUT, if you are in complex this will all need permissions from local town hall and the president and other owners in the complex.

You can check if a property is able to apply for a tourist licence by using this website and inserting the Cadastral number.

I hate to dishearten you but what you are trying to do make perfect sense, but, there are many obstacles in your way and Menorca’s legal system and rules are nightmare to navigate even with a solicitor.

Good luck !
"Life should not be a journey to the grave with the intention of arriving safely in an attractive and well kept body, but to be in God's waiting room, beer in one hand, body thoroughly used up, totally worn out and screaming WOO HOO - What a Ride!"

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Re: Tourist licence clarification please!

Post by Gorson » September 29th, 2021, 11:18 pm

Given that every government is short of money now, and in the face of a very strong hotel industry lobby, the authorities are investigating unauthorised lets a lot more now and are actually matching up AirBnB listings to properties to see if they can be legally used as holiday lets. Doing this "on the quiet" is harder than it used to be and is a dangerous game. Not only could you be liable to fines but this income is taxable and you should submit a tax return form in Spain for it, even if under double taxation law you end up paying tax in the UK.

We let our flat out to friends/family only. Personally I would not take the chance buying anything that can't be legally let if you are relying on the income to pay for the property in any way.

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