Tourist rental or long-term rental? It is the question I hear from almost every buyer who wants their Costa del Sol home to earn something. My honest answer is that neither is better in general, and that in 2026 the first question is no longer “which pays more” but “which one am I actually allowed to do”. This page compares the three real options, tourist, seasonal and long-term, with the rules that apply today (reviewed on 25 October 2026).
A note on my role: I specialise in buying new-build and off-plan homes, and I do not offer a rental management service. That is why I can compare these options without selling you one. I am not a lawyer or a tax advisor either, so check the points that decide your case.
The three options
- Tourist rental (VUT). Short stays marketed through tourist channels. It needs the regional registration, the community’s approval and, in some towns, the town hall’s.
- Seasonal rental. Stays for a temporary reason such as work, study or treatment. It is a lease, but not a main-residence lease.
- Long-term rental. A main-residence lease under the Urban Leases Act, with its renewals and tenant protections.
First, what you are allowed to do
Tourist rental
Registration in the Registro de Turismo de Andalucía, the favourable vote of three-fifths of the owners since April 2025, and a town hall that has not suspended new licences. Málaga city and parts of Manilva have. The full picture is in the tourist rental rules.
Seasonal rental
Royal Decree-Law 29/2026, in force since 8 October and pending validation, requires a real, provable reason for the stay, more than 31 days and in general no more than 12 months. Without that, the contract can be treated as a main-residence lease. Seasonal is no longer a loophole.
Long-term rental
Royal Decree-Law 28/2026, also pending validation, would apply from 15 November: renewals of five years (seven for a company landlord), six months’ notice and compensation of at least twelve months’ rent if the landlord ends the lease without one of the listed exceptions. I explain it in Spain’s new rental law 2026.
Comparison
- Income. Tourist: potentially higher but variable and seasonal. Seasonal: in between. Long-term: lower and steady.
- Your own use. Tourist and seasonal let you block dates. A long-term tenant means you cannot use the home.
- Work. Tourist is a small business: bookings, cleaning, check-ins, maintenance. Long-term is much lighter.
- Regulatory risk. Tourist: highest, because licences can be suspended. Long-term: the exit cost is rising. Seasonal: the rules just tightened.
- Exit. A home with a valid tourist registration can be worth more to certain buyers. A tenanted home sells to fewer buyers and the buyer inherits the lease.
The money, without made-up numbers
Comparisons that quote “tourist earns €2,000 a month, long-term €1,200” are usually invented, and I would not trust them. Use real inputs for your own property instead.
For long-term, my Costa del Sol market guide gives asking rents per square metre. In Estepona it is about €18.28/m² a month (2025). As an illustration only, a 70 m² apartment would ask for roughly €1,280 a month, about €15,400 a year, before costs and taxes. For tourist rental, the same guide reports that Fuengirola had 2,157 active Airbnb listings in April 2026 with an average occupancy of 67%, and median annual gross revenue of about €34,886. That is a gross figure for all sizes, subject to licensing, and it is not comparable with the Estepona example.
Whatever you use, calculate net, not gross:
- Tourist: platform commission, cleaning, laundry, supplies, utilities, management fee, maintenance, void weeks and higher insurance.
- Long-term: community fees, IBI, insurance, repairs, void months and the cost of recovering the property.
- Both: income tax on rental income. For non-residents, the general rates are 19% on net income for residents of the EU and EEA and 24% on gross income for everyone else. See property taxes for foreign owners.
Which model fits which owner
- You want to use the home yourself several weeks a year. Tourist or seasonal gives flexibility, if the property is allowed to do it.
- You want a hands-off return. Long-term, with a lawyer reviewing the contract and the new rules.
- You are buying purely for yield. Be careful: most of the risk sits on the rules. Buy something that works in at least two models.
- You are buying new build or off-plan. You arrive without a tenant, so you can choose, but check the community statutes first. See the rental potential of new builds.
Five questions to decide
- Does the property have, or can it get, a tourist registration, and will the community allow it?
- How many weeks a year do I want to use it myself?
- Do I want to manage guests, or pay someone to do it?
- Does the purchase still work if I can only do seasonal or long-term?
- How would I exit, and who would buy it?
For the purchase side of this decision, read buying a property in Spain to rent out.
Frequently asked questions
Is tourist rental more profitable than long-term?
It can be, gross, but after costs, void weeks and risk the gap is often smaller than it looks. And only where it is allowed.
Is seasonal rental still a good alternative?
Only for genuine temporary stays. Under the October 2026 decree, still pending validation, you need a provable reason and a limit of 12 months.
Do I need a lawyer for a long-term lease?
I would, given the pending changes. The contract wording matters more than it used to.
Deciding how to use the home you buy?
Tell me where you are looking and how you would like to use the property, and I will tell you honestly which model I would test first. Contact me here, or see my properties for sale in Estepona.
Sources: Costa del Sol Property Market Guide 2026 (The Property Agent), with data from Idealista and Engel & Völkers; Real Decreto-ley 28/2026 and 29/2026 (BOE, 7 October 2026).
