Blog / News

Differences between tourist rentals and seasonal lets in Spain

Raymundo Larraín Nesbitt, March, 2. 2026

Following up on my article Distinction between long-term and seasonal contracts, I’ve decided to write a short summary on the main differences, as we are receiving multiple queries following the new changes in law (Community of owners to approve new Tourist Licences).

I’ve collated the basic differences in a chart below (please excuse my clumsy Excel skills), which hopefully does a job at explaining the main points to avoid any further misunderstandings.

 

 

Comparison: Tourist Rentals vs. Seasonal Lets

 

 
Category Tourist rentals Seasonal lets
Purpose Short-term tourist accommodations Study, work, medical reasons, etc.
Applicable law Regional laws in each autonomous community Spain’s Tenancy Act (Ley de Arrendamientos Urbanos) – nationwide
Place of permanent abode No No
Requires a regional Tourism Licence? Yes No
Can community of owners ban them? Yes No
Requires an NRA code? Yes, if offered through online platforms allowing bookings and payment Yes, if offered through online platforms allowing bookings and payment
Urban property Yes Yes
Rural property No No
Accommodation time Days or weeks, normally under 2 months No time limit (days, weeks, months, or even years)
Contract renewal No A new contract is required
Can you rent out individual rooms? Yes Yes
Allows tenant entitlements? No No
Creates right to stay and live in the property? No No
Rental deposit Yes Two-month minimum
VAT Exempt (but will be 21% shortly) Exempt
Licence of First Occupation required? Yes No
Landlord tax relief available?* Yes Yes
Tax on rental income to be declared and paid in Spain? Yes Yes
 

*Only if you are an EU tax resident

In Conclusion

As gleaned above, community of owners in Spain may now vote to ban tourist rentals, as explained in detail in our previous idealista article. However, communities cannot ban or police seasonal lets, as these follow a different regulation other than Spain’s Horizontal Property Act.

Seasonal lets will be used as a legal loophole to circumvent the newly approved changes and restrictions to Spain’s Horizontal Property Act, which rules on community of owners.

Although seasonal lets are safe by rapport to long-term rentals (we have been strongly advocating for them for many years Seasonal lets: an alternative to holiday rentals), they must be professionally drafted so they are not challenged at court and changed into a long-term contract. This change would award tenants a slew of rights and entitlements, not to mention they cannot be legally evicted if found to be within a ‘vulnerable’ group, which are not included in seasonal lets.

To close, as a golden rule, never download rental contract templates from the internet or ‘borrow’ one from a friendly estate agency. Using outdated templates is the fastest way to have a contract challenged at court by your tenant and change it into a long-term one with silent renewals to boot (5, 8 or even 10 years’ contract duration).

Rental laws change all the time in Spain, and only professionals are up to date with such changes. Be smart, always hire a lawyer to draft you a rental contract. You will save a lot of money and aggravation in the long run.

We offer this service for a competitive fee:  Rentals (contract-drafting)

At LNA, our friendly team can assist you in buying (or selling) your property anywhere in Spain. We can also get you any residence visa in Spain. Give us a call!

At Larrain Nesbitt Abogados (LNA) we have over 23 years of experience specialising in property conveyance and taxation all over Spain. We also assist clients with immigration & residency visas, and inheritance procedures (probate). You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218, or Spanish line (+34) 952 19 22 88, or by completing our contact form.

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New annual VUDA reporting

Raymundo Larraín Nesbitt, February, 3. 2026

I would like to inform you that Ministerial Order VAU/1560/2025, published on 31 December 2025, makes it mandatory for all landlords of holiday rentals (short-term or seasonal lets) to file an annual electronic report with the VUDA (the VUDA is Spain’s new short-term rental registry).This report offers a detailed breakdown of guests, accommodation dates, etc.

It is mandatory for all landlords who attained an NRA code, to file said annual report with the VUDA electronically.

Period to file it

From the 2nd of February to the 2nd of March 2026.

Reporting period

It covers the previous year, all of 2025.

Every rental made during 2025 must be reported to the VUDA.

Do you need a power of attorney to file it?

No, we don’t need a POA to file it on your behalf electronically.

Do you need a spreadsheet?

If you already filed your annual rental income tax with us, we don’t need anything else.

However, if you do not, then we need to email you a spreadsheet with the sections you need to populate.

Legal consequences of not filing the new annual VUDA report

  • You will be stripped of your NRA code (which gives way to the below bullet points)
  • You will no longer be able to rent out legally in Spain
  • This opens you up for the huge fines and penalties that autonomous regions in Spain levy, ranging from 3,000 euros to 1mn euros in Catalonia
  • Your listings will be removed by rental property platforms (AirBnb, etc)
  • Suspension of your ability to legally rent online going forward

 

We’ve published this article on the new VUDA requirement: Landlord’s new guest report to the VUDA in Spain

We offer this legal service: VUDA/NRA annual landlord report filing

The bottom line is that if you are a landlord, and rent out short-term in Spain, you need to comply with this to stay legal and avoid fines and charges against your property.

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Spain ranked number one in the world for Digital Nomads in 2025!

Raymundo Larraín Nesbitt, January, 8. 2026

Marbella-based Larrain Nesbitt Abogados has over 23 year’s taxation & conveyancing experience at your service. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Blog post copyrighted © 2025. Plagiarism will be criminally prosecuted.

By Raymundo Larraín Nesbitt
Lawyer – Abogado
8th of January 2026

Introduction

In today’s post, we review two different annual reports which study and elaborate rankings on the best countries and cities for digital nomads. The first report studies the best countries for digital nomads to settle down in, whilst the second report, from Savills, focuses on the best cities worldwide to work and live as a digital nomad.   

To cut a long story short, both reports, from two independent prestigious sources, conclude that Spain is the top choice for digital nomads. You may want to read our article to find out what all the commotion is about: 8 reasons to apply for a Digital Nomad Visa in Spain

1. Global Digital Nomad Visa report

 

The Global Digital Nomad Visa report is carried out every year. All countries that offer a digital nomad visa programme are subject to close scrutiny, and a wide range of factors are considered to elaborate on each annual ranking. The index evaluates 64 countries across 15 key indicators in six dimensions.

For the year 2025, Spain was acclaimed as the number one country in the world to apply for a Digital Nomad Visa.

The top 10 countries in the world:

  1. Spain, with a near-perfect score of 99.67
  2. Netherlands – 92.84
  3. Uruguay – 91.23
  4. Canada – 90.42
  5. Czechia – 90.17
  6. France – 90.12
  7. Portugal – 90.12
  8. UAE – 90.04
  9. Germany – 89.65
  10. Malta – 89.5

 

 2. Savills "Executive Nomad Index 2025"

 

In addition to the above report, the prestigious UK high-end real estate agency Savills published its annual "Executive Nomad Index 2025" which analyses which are the best cities in the world for digital nomads. Savills placed three Spanish cities in its top ten spots for 2025.

Malaga occupies the third spot, Palma de Mallorca the sixth, and finally, Barcelona occupies the seventh spot.

The top 10 cities in the world for digital nomads:

  1. Dubai
  2. Abu Dahbi
  3. Malaga (Spain)
  4. Miami
  5. Lisbon
  6. Palma de Mallorca (Spain)
  7. Barcelona (Spain)
  8. Barbados
  9. Auckland
  10. Algarve

Conclusion

You don’t need to take my word for it; other, more qualified, sources are of the same mind.

The Digital Nomad Visa is hands down the best visa money can buy, and Spain is the leading choice for digital nomads. Living at the heart of Western Europe with low taxes, a privileged lifestyle and gorgeous weather, life doesn't get much better.

At LNA law firm, we have assisted hundreds of digital nomads in achieving their dream goals in Spain. We have also attained over one thousand different visas, including the now phased-out golden visa, for applicants and their families. If you are looking for a reliable partner in Spain to handle your visa and residency applications for a competitive fee, look no further.

At LNA, our team will be delighted to handhold you throughout the whole visa procedure, from start to finish, for a fee that is much lower than that commanded by Spanish consulates abroad. Not to mention consulates only grant you a 1-year visa, while we get you 3 years; plus another 3-year renewal! LNA is the leading choice for Digital Nomad Visas in Spain.

If you are looking to move to Spain in 2026, give us a call. We can offer you a wide range of visas, including the Digital Nomad Visa in under 3 weeks.

 

DNVs allow you to live anywhere in Spain; you will be spoilt for choice: BarcelonaCosta del Sol, Granada, Madrid, Malaga, Mallorca, Valencia, Santiago de Compostela, Seville and Sotogrande

At LNA, our friendly team can assist you in buying (or selling) your property anywhere in Spain. We can also get you any residence visa in Spain. Give us a call!

At Larrain Nesbitt Abogados (LNA) we have over 23 years of experience specialising in property conveyance and taxation all over Spain. We also assist clients with immigration & residency visas, and inheritance procedures (probate). You can contact us by email at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218, or Spanish line (+34) 952 19 22 88, or by completing our contact form.

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarising, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2025© Raymundo Larraín Nesbitt. All Rights Reserved.

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Tax reminder: 2025 Rental Income Tax filing

Raymundo Larraín Nesbitt, January, 1. 2026

Marbella-abased Larraín Nesbitt Lawyers has over 23 years of taxation & conveyancing experience at your service. We offer a wide range of over 50 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Copyrighted © 2026. Plagiarism will be criminally prosecuted.

1st of January 2026

 

Just a gentle reminder to all non-residents, who own property in Spain and rent it out (whether long or short-term i.e. holiday home) must file now their annual tax return in January 2026. You are being taxed on your rental income for the year 2025.

 

Our cut-off date to file your 2025 non-resident tax return is next Thursday the 15th of January 2026.

Please do not wait until the last moment to submit your quarterly tax return. We file this tax online all over Spain within 24 working hours.

We can offer you this tax service for a very competitive fee.

Our fee is 100% tax-deductible from the tax to pay.

The main highlight of our tax service is that we reduce your income tax by 70%, or more, on applying for lenient landlord tax relief on all your property-related expenses.

Contact us and pay less tax. If you overpay taxes in Spain, it's only because you want to.

 

Related tax service

Holiday Rental Accounting Service (HRAS)

Related taxation articles

 

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarising, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

2.026 © Raymundo Larraín Nesbitt. All rights reserved.

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Merry Christmas!

Raymundo Larraín Nesbitt, December, 21. 2025

From Larraín Nesbitt Abogados, we wish all our clients and friends a Merry Christmas and a Happy New Year!

The law firm will now remain closed for the holiday season and will reopen for business on the 7th of January 2026.

                                                                            ---

Desde Larraín Nesbitt Abogados, deseamos a todos nuestros clientes y amigos unas muy Felices Fiestas y un próspero Año Nuevo.

El despacho permanecerá cerrado por vacaciones y nos reincorporaremos el 7 de enero 2026.

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Spain heads for an unprecedented housing crisis

Raymundo Larraín Nesbitt, December, 15. 2025

Marbella-based Larrain Nesbitt Abogados has over 22 year’s taxation & conveyancing experience at your service. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Blog post copyrighted © 2025. Plagiarism will be criminally prosecuted.

By Raymundo Larraín Nesbitt
Lawyer – Abogado
16th of December 2025

Spain heads for an unprecedented housing crisis induced by the ruling administration.

Despite repeated warnings from experts, from all sides of the political spectrum, which have gone unheeded by the Spanish government, as predicted, property and rental prices continue escalating, having surpassed the maximums of the 2008 property bubble. According to the latest figures, property prices have increased 12.8% over the last year.

The governments' continued market interventionism, both in the housing and rental markets, has stifled offer, strangling it. As a result of an induced housing and rental shortage, prices are spiralling out of control nationwide.  

Whilst this may sound good at first glance, because everyone feels richer on paper, it’s actually very bad news.

A moderate growth in house prices (3 to 5%) is almost always the desired goal. A sharp rise of two digits year-on-year is causing serious issues. The vulnerable collectives this administration allegedly vowed to protect, by passing draconian rental laws such as Spain's Housing Act, are the first ones to be excluded from the market by the soaring increase in house and rental prices. But what's even more concerning is that large parts of Spain's middle class are also being priced out, which is unprecedented, and takes the housing problem to a whole new level. In effect, as a result of these misguided housing policies, we are witnessing a destruction of the middle class, which can only lead to political instability in the future. The dramatic increase in house prices is also giving wings to the squatter movement, which is at historic record levels. 

On top of this, a new phenomenon is taking place, which is the emergence of shanty towns overnight that sprout like mushrooms all over Spain and are associated with a rise in crime. They trap young children, often unschooled, in a poverty and criminal spiral. The unbridled rise of shanty towns and mobile caravan parks is the biggest red flag, showing something is seriously wrong with the government’s housing policy. And when you think the government would stop dead on its tracks and realise the shortcomings of its failed housing policy, they actually double down on it, enacting new laws which further compound and exacerbate existing problems and even create new ones! It beggars belief.

I don’t want to go into detail, but the gist of the matter is that under 100,000 properties are being built every year when the actual need is well over 500,000 units a year. If to this, you add an open immigration policy which welcomes everyone - both legal and illegal - we are brewing a perfect storm. To put this into perspective, in 2015 Spain’s population was 46 million people. Now, in 2025, a decade later, we have almost 50 million people. That’s a 9% increase in under 10 years. Despite all this, the government has openly admitted it wants 3.5 million more immigrants by 2030.

The government is adding fuel to an ongoing dumpster fire by allowing millions of people to come freely into Spain, almost unchecked, whilst building a (very) low amount of housing units a year (mostly out of ideological reasons). Consequently, if few homes are built, and simultaneously there is a massive population influx in a short span of time, rental and housing prices will boom following the laws of demand and supply. It’s basic economics.

The Spanish government has irresponsibly chosen to plough ahead and disregard the fundamentals of how Economics works, and as a result, both the native population, and all new immigrants, will suffer over the next years and pay the price for its blind ideological hubris.

Maths, cornerstone of Economics, doesn’t understand about ideologies.

 

“Two things are infinite: the universe and human stupidity; and I’m not sure about the universe.” Albert Einstein

 

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in taxation, conveyance, immigration & residency, inheritance, and litigation. We will be very pleased to discuss your matter with you. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line: (+44) 07543 838 218, or our Spanish line: (+34) 952 19 22 88, or by completing our contact form.

Legal & tax services available from Larraín Nesbitt Abogados (LNA):

 

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.025 © Raymundo Larraín Nesbitt. All Rights Reserved.

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Non-Resident Imputed Income Tax end-of-year reminder (NRIIT) 2024

Raymundo Larraín Nesbitt, December, 1. 2025

The clock is ticking. If you are a non-resident, and you own property in Spain, this is your last chance to file your Non-Resident Imputed Income Tax for year 2024. Even if you do not rent it out, you need to file this end-of-year tax. We file taxes online all over Spain.

Marbella-based Larrain Nesbitt Abogados has over 22 year’s taxation & conveyancing experience at your service. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Blog post copyrighted © 2025. Plagiarism will be criminally prosecuted.

By Raymundo Larraín Nesbitt
Lawyer – Abogado
1st of December 2025

 

The end of 2025 fast approaches.

One of our last blog posts for this year, is a gentle tax reminder.

All non-residents, who own property in Spain, need to file by the end of this year a tax called Non-Resident Imputed Income Tax (NRIIT, for short), even if you do not rent out your Spanish property. You are taxed on the previous year (2024).

We offer the following taxation service for a flat fee of 100 plus VAT/year.

We file your tax online within 24 hours.

Our last day to file this tax in 2025 is Friday the 12th of December.

 

We offer the most competitive fees in the market.

Non-Resident Imputed Income Tax (Fiscal Representation Service) 100/year

We are specialized in taxation

 

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in taxation, conveyance, immigration & residency, inheritance, and litigation. We will be very pleased to discuss your matter with you. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line: (+44) 07543 838 218, or our Spanish line: (+34) 952 19 22 88, or by completing our contact form.

Legal & tax services available from Larraín Nesbitt Abogados (LNA):

 

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.025 © Raymundo Larraín Nesbitt. All Rights Reserved.

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Forbes chooses Valencia as the top city to live in the world!

Raymundo Larraín Nesbitt, November, 26. 2025

By Larraín Nesbitt Abogados

Introduction

Forbes Magazine chose Valencia as the number one city to live in the world, replacing Malaga from the top spot it held the previous year. Alicante occupies the third spot, Madrid the seventh, and finally, Barcelona occupies the 21st spot.

Spain dominates, for another consecutive year, by filling again the top three spots!

Laura Begley Bloom, a Forbes journalist, explains that this year’s report is based on data from over 12,500 expats living in 53 cities across 35 countries. The report evaluates cities on five key indices: quality of life, ease of settling in, personal finance and more. The ranking provides invaluable insight into what it’s like to live abroad, from cost of living to job satisfaction to how easy it is to make friends in a new place.

Spain, governed by a progressive administration, is the second most visited country in the world, with over 94 million tourists every year. It’s a beautiful country to visit or live in. Gorgeous weather, delicious food, affordable prices, great amenities, friendly natives, and ultra-low taxation (in some regions) appeal to foreigners at large. Many of these tourists decide to settle down and buy a property in Spain.

If you plan to move to Spain in 2026, you should know the government introduced a new immigration scheme with significant tax advantages associated with those who qualify: the Digital Nomad Visa. DNV holders can benefit from all the tax advantages that Beckham’s Rule has to offer, paying little to no tax! The only downside is that these tax benefits are time-gated to only six years.

DNVs allow you to live anywhere in Spain; you will be spoilt for choice: BarcelonaCosta del Sol, Granada, Madrid, Malaga, Mallorca, Valencia, Santiago de Compostela, Seville and Sotogrande

At LNA, our friendly team can assist you in buying (or selling) your property anywhere in Spain. We can also get you any residence visa in Spain. Give us a call!

At Larrain Nesbitt Abogados (LNA) we have over 22 years of experience specialising in property conveyance and taxation all over Spain. We also assist clients with immigration & residency visas, and inheritance procedures (probate). You can contact us by email at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218, or Spanish line (+34) 952 19 22 88, or by completing our contact form.

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarising, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2025© Raymundo Larraín Nesbitt. All Rights Reserved.

 

 

 

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Spanish court rules against the fiscal tax discrimination of non-resident taxpayers

Raymundo Larraín Nesbitt, November, 3. 2025

Marbella-based Larraín Nesbitt Lawyers has over 22 years' taxation & conveyancing experience at your service. We offer a wide range of over 60 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Copyrighted © 2025. Plagiarism will be criminally prosecuted.

By Raymundo Larraín Nesbitt
3rd of November 2025

Introduction

Lately, there has been a lot of talk and hype in the media regarding a Spanish ruling that opens the way to end tax discrimination against non-residents on filing the annual Non-Resident Imputed Income Tax (NRIIT).

I’m going to start by explaining a bit the ruling, without going into much detail, and its legal impact, but more fundamentally, why people need to hold back their horses and not open a champagne bottle, at least yet.

Last 28th of July 2025, a Spanish high court ruled against the tax discrimination of non-residents on filing the Non-Resident Imputed Income Tax Returns. A disgruntled US taxpayer filed a case against Spain on grounds that Spanish nationals can offset their maintenance expenses, slashing their tax bill by 70%, or more, on filing income tax returns, whereas non-residents are barred from doing so. This, in effect, creates an unfair tax discrimination against non-residents which is incompatible with the tenets enshrined in the EU’s Foundational Treaty of Rome, and others, on which the whole Union is grounded. Concretely, it goes against Art. 63 of the TFEU (which prohibits restrictions on the free flow of capital between EU Member States and between Member States and non-EU countries). The Union (or The United States of Europe, as Churchill fondly called it), at its core, is a supranational entity that was devised to mimic the successful US model, which in effect allows the unrestricted movement of capital within the member states of the Republic (E pluribus unum). From union comes strength.

I really don't fancy overextending myself explaining the core EU Principles and how they shape Spanish taxes, as I have already covered them extensively in previous articles:

 

In plain English, what this ruling means is that non-residents may now offset maintenance expenses (not improvements, which are offset on selling the property against their Capital Gains Tax) on equal footing with Spanish nationals, significantly bringing down their tax bill.

However, whilst all this sounds hunky-dory, in practice it makes no difference. I’m sorry to throw a spanner in the works.

The reason is because the court that issued the ruling is not the highest in the land, and the Spanish government can and will appeal said ruling. Until we have a final ruling, which cannot be appealed, and which foreseeably will take several years from now, all this talk is just wishful thinking with no practical impact on non-residents’ tax returns.

Ultimately, the Spanish government can and will file an appeal before Spain’s Supreme Court, which is the highest court in the land. The Supreme Court, mercifully, is not under government control and is fairly unbiased. I honestly cannot see any other way out for this court other than to uphold the ruling by a lower court unless they fancy the public ridicule of being overruled – yet again – by the European Court of Justice. I honestly hope our high magistrates spare us the opprobrium of being shamed, time and time again, by the ECJ for not knowing, or more likely blatantly disregarding, the core European principles on which the whole Union is built. Moreover, Spain’s Supreme Court has extensive jurisprudence on this matter, and the ruling from the lower court falls neatly in line with said line of jurisprudence.

So, in practice, in the short term, this ruling changes nada. Because you can bet your bottom dollar that the Spanish Tax Office will not change its tax returns one iota this year, or even the following years, until we have a final ruling. It will not accept non-resident taxpayers offsetting expenses on filing their end-of-year non-resident tax returns. 

However, in the long run, many years from now, the significance of this ruling cannot be understated and will indeed leave a mark. Once Spain’s Supreme Court has its arm twisted to uphold it, the Spanish Tax Office will reluctantly be forced to accept non-residents claiming maintenance expenses to mitigate their property tax bills, thus significantly slashing their end-of-year tax returns. But, as I write, we are still several years away from this happening, so hold your horses.

Another matter, which this ruling does not address directly, is the discrimination on the tax rate; 19% for all EU nationals and 24% for the rest of the world. I’m aware there is another ruling in the works that will rule on this point, and will most likely leave a single flat tax rate of 19% for both EU and non-EU nationals alike, ending the fiscal discrimination for good.

In a nutshell, although July’s ruling is good news and a positive step in the right direction, it must be tempered by the knowledge that we need to wait many years from now for this tax change to come to fruition. Once this landmark ruling is upheld by Spain’s Supreme Court and becomes firm, it will be binding, and the Spanish Tax Office will be forced to abide it, even retroactively, which will open a new can of worms; meaning taxpayers will be able to file tax rebates, plus legal interest on top, on the overpaid tax of the previous 4 tax years (the statute of limitations does not allow to go back on tax claims further than four years). It will indeed save thousands of euros for American, Australian, British, Canadian, New Zealanders and all other non-EU property owners in Spain.

But right now, you can ignore all the hype around it and watch the grass grow.

 

LNA has a 100% track record of attaining Spanish visa & residency permits since 2013. We have assisted over one thousand satisfied visa clients and their families.

At Larrain Nesbitt Abogados (LNA) we have over 22 years of experience specialising in taxation, and property conveyance. We also assist clients with immigration & residency visas and inheritance procedures (probate). You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218 or Spanish line (+34) 952 19 22 88, or by completing our contact form.

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2025© Raymundo Larraín Nesbitt. All Rights Reserved.

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Ibiza: Party island

Raymundo Larraín Nesbitt, October, 31. 2025

 shutterstock 2225169195

Ibiza Old Town at nightfall

21st of March 2026

I continue today with my running series on top places to buy and live in Spain. You can find older entries on this series scrolling down below. These impromptu light-hearted guides are not meant to be exhaustive; they are just there as a lighthouse to shed light on an area’s main highlights and landmarks.

 

shutterstock 2269163243

In the Old World, Bes was the deity who represented joy, music, and sexual pleasure

Introduction

Ibiza is the third largest of the four islands that form the Balearic Islands, an archipelago off eastern Spain, located in the Mediterranean Sea.

Ibiza’s history spans over 2,600 years. Founded by Phoenician seafarers, it occupies a strategic outpost and was aptly named Ibosim ("Island of Bes"), dedicated to the Egyptian god Bes. In the Old World, Bes was the deity who represented joy, music, and merriment. Indeed, unbeknownst to its first settlers, the island was fittingly named.

Ibiza exemplifies — like no other place on earth — the sense of joy, music, and sweet hedonism. Ibiza is renowned the world over as the party island par excellence, where revellers enjoy nightlife to its fullest until the crack of dawn.

There are two distinct sides to Ibiza; the first one is a spiritual facet, embodied by its colony of artists and savants, which can be found during the daytime, and which draws inspiration from its pristine azure coves, white sandy beaches, gently rolling thyme hills and golden sky dusks. The second one, found at nightfall, is the hedonistic Ibiza, enjoyed by bon vivants and embodied by its night temples (known as discos), administered by priests known as DJs, with their relentless pulsating electronic beats which pull at your soul.

Both Ibizas work in tandem; they draw and feed from each other synergistically, from dawn to dusk, under a mantle of stars.

Which Ibiza appeals to you? 

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Cala Saladeta, with its turquoise waters and white sandy beaches. A green canopy of pine trees extends over the adjacent rolling hills.

A unique Mediterranean identity

At just 572 square kilometres, Ibiza may be smaller than some of its neighbours, but what it lacks in size it more than (over)compensates for in spirit and boundless energy. Ibiza was awarded on the 4th of December 1999 a UNESCO World Heritage Site for its unique blend of cultural, historical, and biodiversity assets. Sites such as remnants of ancient cities (the Puig des Molins Necropolis) and the fortified Dalt Vila — an impressive fortress perched atop Ibiza’s Old Town — connect the island’s present to its deep past.

The island’s terrain is a mosaic of salty wetlands, aromatic herb fields, gently pine-covered hills and glittering shores. Parc Natural de Ses Salines, a protected reserve shared with neighbouring Formentera, teems with birdlife and reflects the island’s commitment to preserving its natural heritage for future generations.

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Cala Salada, another quiet cove with azure crystal waters. Perfect spot to commune with Mother Nature during the daytime. 

Day & night: The two faces of Ibiza

There is a reason the island’s nickname is “The White Isle”. Whitewashed villages and sun-bleached beaches stretch out lazily for miles until where the land meets the sky, offering serenity and slow-paced Mediterranean living by day. For countless travellers, discovering hidden coves, exploring inland hill towns, indulging in local cuisine and sipping herbal-infused drinks as the sun sets below the sea on the distant horizon are highlights of any visit.

But truly, it is at nightfall when Ibiza comes into its own and springs to life. World-renowned bars such as Sant Antoni’s Café Mambo set the stage for nights that pulse with music, while legendary clubbing culture — shaped in part by Balearic beat and DJ-led innovations — has influenced electronic music worldwide.

Even if the superclub era has evolved and some iconic venues now occupy a mysterious, abandoned place in time, the island’s nightlife legacy remains an iconic chapter of its character.

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Dusk falls on Cala d'Hort beach. A popular spot during the summertime. It has a fantastic view of the mysterious island of Es Vedra.

Ibiza: Sun, sea & soul

During the daytime, explorers can get lost visiting its myriad natural landmarks and pristine sandy beaches. Ibiza — or Eivissa in Catalan — is one of Spain’s most evocative Mediterranean gems. It is an island full of contrasts, where ancient history meets avant-garde energy, serene coves sit alongside buzzing harbours, and a growing emphasis on sustainable living reshapes life here for both residents and visitors alike.

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Clubbing at Pacha, Ibiza.

Ibiza: Temples of the night

These temples of hedonism are tended by night priests known as DJs. Several renowned names claim the spotlight, including French artist David Guetta, Calvin Harris, Keinemusik, Carl Cox, PAWSA, Fisher, Paul van Dyk, Marco Carola, and Solomun. 

But truly, it is the night temples that steal the limelight, burning bright. To name a few, and in no particular order:

  • Amnesia: Was awarded the Best Global Club in 2007, 2008, 2009 and 2011. Its foam parties are world-renowned.
  • Pacha: Is hands down the most iconic disco. Founded in 1973, it has branched out to 10 countries.
  • Ushuaia: Is a beach club with swanky music. Has a large swimming pool with multiple islets for go-go dancers. 
  • Bora Bora: Another beach club.
  • Privilege: Is the largest disco club in the world with a capacity of 10,000 clubbers.

 

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Ibiza go-go dancers entertaining the crowds

Culinary & cultural richness

Ibiza’s food scene reflects its Mediterranean roots. Fresh seafood, hearty stews and rich desserts like greixonera (a lemon-scented tart) and flaó (a mint-flavoured cheesecake) punctuate menus in seaside chiringuitos and hidden eateries alike. Local drinks such as hierbas ibicencas, an aniseed-flavoured spirit, capture the island’s intoxicating blend of taste and tradition.

Beyond food, the island’s artistic pulse thrives in art galleries, music festivals and creative spaces abound. From ancient museums to contemporary sculptural installations that dot landscapes and seafronts, Ibiza nurtures a vibrant cultural life that rewards both the curious and the connoisseur. Ibiza’s creative energy is harnessed by its local artists, who channel it to create works of art and music for the enjoyment of us all.

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Traditional Flao mint-scented cheesecake, worth trading your soul for

A property market defined by scarcity & prestige

For many, Ibiza is more than a holiday destination; it’s a lifestyle investment — literally. The property market is shaped by finite land, protective zoning and high international demand. Nearly half the island’s land is preserved or protected, and strict planning rules mean new build opportunities are limited, insulating local values from swings in oversupply.

As of 2026, average prices on Ibiza hover around €7,000 per square metre, with prime waterfront districts easily exceeding that figure. Detached coastal villas, especially with uninterrupted sea views, can command values far above the norm, beyond €7,500 - €10,000 per square metre in sought-after zones.

Foreign purchasers remain a significant factor in the market, drawn by global prestige, Mediterranean climate and a culture that blends leisurely days with international flair. A limited supply of stock and steady demand ensure resilient price stability and long-term capital appreciation.

However, Ibiza’s popularity isn’t without its housing challenges. Housing costs — both for sale and rent — have increased substantially across the island, prompting public debate about affordability, local access to housing and sustainable development for residents and workers alike.

 

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Group of friends celebrating with mojitos at a chiringuito (beach club)

Ibiza’s future: balance is key

Ibiza faces the same predicament many iconic destinations have experienced: preserving its soul and identity while accommodating roaring success. Local planning policies now aim to curtail illegal tourist rentals and manage overtourism responsibly, reshaping how visitors engage with the island and reinforcing quality over sheer volume.

In the end, Ibiza’s true allure lies not just in its beaches or clubs, but in the contrast of experiences it offers. From tranquil mornings amid the sweet scent of wild thyme hills, evenings of fine dining al fresco and beguiling sunset views on an infinite golden sea to warm nights of untold pleasures that echo with the electronic beat of its music long after sunrise.

Ibiza’s future lies in striking the right balance between preservation and innovation.

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Luxury yachts moored in Cala D'Hort beach

Conclusion

The spiritual side of Ibiza inspires its artists, gentle poets and intellectuals, fostering creativity. Whether you're attracted to its jaw-dropping landscapes, magic sunsets over a dashing blue sea, or historic landmarks, Ibiza draws you in. Visitors find themselves captivated by the island's cultural and natural treasures, ensuring a memorable experience.

Albeit where Ibiza’s heart truly lies, and is at its best, is with the rhythmic pulsating beat of its colourful nightlife. Making Bes proud, Ibiza embodies — like no other place — wanton release and merriment under a Mediterranean starry sky.

This synergistic duality — spirituality and unrestrained hedonism — neatly combine to define Ibiza, making it its hallmark.

If you haven’t partied in Ibiza, you haven’t lived.

Ibiza, isla del placer.
Ibiza, party island.

 

Other entries in this running series:

 

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. Voluntas omnia vincit.

2.026 © Raymundo Larraín Nesbitt. All Rights Reserved.

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