Minimum legal period of 5 years.
Hi All,
Just a brief note to inform you of the latest changes in the law regarding the length of time that long-term rental contracts of residential properties are valid for. These changes are to protect the tenants and allow them to stay longer.
If you own a residential property and are thinking of renting it long-term, you need to know that by law there is a minimum rental period of 5 years that must be respected by the landlord.
This means that if you agree to rent your property for 1 or 2 years, the tenant will automatically have the legal right to remain in the property for up to 5 years, even if the period agreed in the contract is only 1 or 2 years.
Please note that the Law also allows tenants to leave the property after the initial 6 months of the rental period, just by notifying the landlord, even if the period of the tenancy agreed was 1 or 2 years.
For this reason it is advisable to agree to mention in the contract a compensation clause in favour of the landlord in case the tenant decides to use his legal right to leave the property after the first 6 months and before the end of the period agreed in the contract.
In conclusion: it is recommendable to use a solicitor to draft a sound rental contract when deciding to sign one as landlord or as a tenant. Our charges for drafting and negotiating rental contracts are 250 euros (21 % VAT included).
If you require assistance with this or any tax matters do not hesitate to contact us.
MARBELLA SOLICITORS GROUP
Jose M. Lopez-Avalos – Solicitor
Tel. 952 901 225 – mail@marbellasolicitors.com
