Palma de Majorca, a popular holiday spot among British travelers, is taking a firm stance against the proliferation of new vacation rental properties. Local officials are set to implement this measure to increase housing availability for long-time residents. While licensed apartment holiday rentals have been banned for years, the authorities are now extending the prohibition to include houses and villas.
Councilor Óscar Fidalgo emphasized the necessity of this action, stating it is a fair and timely decision to safeguard residents from escalating property prices. He expressed concerns over the unprecedented growth of holiday rentals, highlighting the challenges they pose to the integration of tourists and locals.
In a statement to Majorca Daily Bulletin, Fidalgo stressed the negative impact of expanding tourist accommodations on the housing market and neighborhood dynamics. He underscored the need for enhanced inspection capabilities to combat fraud and maintain urban sustainability.
A recent town hall report deemed Palma de Majorca unsuitable for the introduction of new holiday rental properties. In an effort to regulate the market, over 8,000 illegal Airbnb listings were removed earlier this year, eliminating more than 40,000 unauthorized tourist beds.
To enforce compliance, the government has imposed hefty fines of up to €40,000 (£34,700) on unlicensed rental operators. Additionally, a team of inspectors has been deployed, and a user-friendly online reporting system is in place for reporting suspected violators.
Following stricter regulations aimed at alleviating the housing crisis, the number of holiday rental listings in Spain decreased by 6% in May compared to the previous year. Data from the National Statistics Institute revealed that approximately 1.43 million homes were available for short-term rentals.
Affordable Majorca reported a significant 40% increase in rents in Palma since 2013, underlining the housing affordability challenges faced by residents. Despite these issues, Mallorca continues to attract a large number of British tourists, with an estimated 2.3 to 3.6 million visitors annually, making the UK the second-largest source of international tourism to the island.
The crackdown on vacation rentals in Palma de Majorca mirrors similar actions taken on another holiday island. Formentera in the Balearics recently prohibited nearly 700 beach loungers and ordered the removal of 339 parasols from its shores until 2029.