Costa News Spain Breaking News | English News in Spain.
After years of rapid growth, AIRBNB vacation rentals in Spain are now falling. The crackdown is led by party islands like Ibiza & Mallorca.
According to new figures released by the tourism lobby Exceltur, the number of flats for tourists in Spain’s top 25 cities fell 4.1% between 2025 and 2025.
This represents a total loss of around 366,000 tourist beds, bringing the national total down to about 15,963.
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The first decline in Spain’s short-term rental market since the boom started.
Some of Spain’s most popular destinations have seen the sharpest drops in long-term prices.
Palma de Mallorca’s holiday rental stock has been reduced by 63%, while Ibiza has seen a 80% reduction in its supply compared to 2017.
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Barcelona has fallen 37% since its peak. San Sebastian, and Santiago de Compostela are also experiencing steep declines.
The biggest drops in 2025, compared to the previous year, were recorded in A Coruna (Murcia), Santander (Gijon), Valencia, Oviedo (Oviedo), Alicante, and Madrid.
Exceltur says that the decline in housing prices is due to tougher enforcement of laws, new registration requirements for landlords, and increasing pressure from residents about soaring rental costs and housing shortages.
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Ibiza has intensified inspections in order to eliminate illegal listings. Barcelona is planning to ban all holiday properties by 2028.
Property owners in Spain must now register their tourist flats prior to advertising them on platforms, such as Airbnb.
While some destinations have cut back on holiday rentals, others continue to expand.
Malaga reached a new record of 38,848 tourist rentals beds in 2025, up 3,3% from the previous year.
Sevilla has also grown, with more than 32,000 beds. This is a 4% increase.
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Exceltur has announced that Malaga Almeria Bilbao have all reached their highest levels ever for tourist accommodation.
Andalucia, particularly in Sevilla, Cordoba, and Granada, has only seen minimal reductions. This is due to a more relaxed regulatory approach than the Balearics and Catalonia.
In spite of the slowdown in Spain, almost one third of tourists choose holiday homes instead hotels. This is mainly because they’re cheaper.
At the same time, hotels in places like Ibiza are thriving, with the island recording Spain’s highest revenue per room at around €170 in 2025.
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Exceltur states that Spain is moving towards fewer tourists spending more. The number of visitors has increased modestly while the overall expenditure continues to rise.
Tourism industry claims illegal holiday rentals have caused overcrowding. However, they also argue that the majority of congestion in Spanish cities is now due to residents rather than tourists.
Spain’s holiday rental industry is now entering a new phase of unevenness. Some regions are enforcing the law more strictly, while others are not.
Airbnb is reversing its growth on party islands. The growth story for the Costa del Sol is not over.
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