CONSULTATION.
Dear lawyers. Last year I bought a flat in Javea, to be used as a tourist rental during the summer season. Recently, I have received a letter from the community of owners warning me of legal action for the trouble “supposedly” caused by my tenants. A meeting is to be held soon to discuss this issue. Apparently, tourist rentals are not allowed in the community, or so I have been told. They also want to increase the community fees only for me. Is it true that they can do that?.
Response.
Dear reader, thank you for your enquiry.
Tourist rentals are a very problematic issue, that we have addressed several times in the last five years. We are not familiar with your particular situation and that of your community of owners. In order to give you personalised advice, we would need to know more details of your case. However, we are going to go over the most important issues that you (or anyone who wants to develop this type of rental) should be aware of. We hope you find them useful.
Tourist Rental Licence. Valencian Community.
The first step in order to legally carry out a vacational rental is to obtain a tourist licence. Otherwise, the rental will not be legal. The fines for carrying out this activity without a licence are up to 600,000€. To obtain the licence it is necessary to obtain a certificate of urban development compatibility from the Town Hall. To have civil liability insurance. The property must have an occupancy licence, etc. If you do not have a tourist licence for your property, our office can help you.
Bylaws and Internal Regulations of the Community.
Another essential step is to know the regulations of the community of owners in which your property is located. Art. 17.12 of the Horizontal Property Law allows communities of owners to “condition or limit” tourist rentals by 3/5 of votes and 3/5 of quotas. Therefore, the first thing you should find out is whether there is any prohibition in this sense. If so, when the agreement was approved, if it is registered in the Land Registry, etc. Knowing all these questions is key.
Can it be prohibited or is it only possible to limit and/or condition?.
The scope of art. 17.12 LPH is still unclear. Some courts understand that tourist rentals can be prohibited by 3/5. Others hold that the prohibition requires unanimity. Finally, there are also courts that interpret that it is only possible to limit or condition holiday rentals; but never to prohibit them. Until the Supreme Court rules on this matter, we will not resolve all these doubts.
Can the community of owners raise the community fees?.
Yes, the owners’ association can agree to establish special fees or to increase the expenses for holiday rental properties. However, this increase will not have retroactive effects and is limited to a maximum of 20%.
Conclusions.
At White-Baos Abogados we are experts in Horizontal Property Law and Tourist Rentals, and we have successfully overturned agreements prohibiting tourist rentals in the Courts. If your community of owners is going to hold a meeting to discuss tourist rentals, debate its prohibition, etc. Do not hesitate to contact us. If the agreement adopted by the community is not legal or violates your interests, we will help you to assert your rights.
The information provided in this article is not intended to be legal advice, but merely conveys information relating to legal issues.
Carlos Baos (Lawyer)
White & Baos.
Tel: +34 966 426 185
E-mail: info@white-baos.com
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