Spain orders Airbnb to remove 65,000 illegal holiday rentals in 2025 to combat housing crisis. Learn how this impacts tourism and locals.
In a major crackdown on short-term rentals, Spain’s Consumer Rights Ministry has ordered Airbnb to remove 65,935 illegal holiday rental listings from its platform, effective May 19, 2025. The directive, announced amid a housing affordability crisis, targets listings that violate regulations by lacking valid license numbers or failing to clarify ownership details. This move, affecting tourist hotspots like Madrid, Barcelona, and Andalusia, aims to ease housing shortages and regulate overtourism, a growing concern for Spanish locals.
Why Is Spain Cracking Down on Airbnb?
Spain’s housing market is under strain, with rental prices soaring 11.5% in 2024 to €13.5 per square meter, according to Idealista. Short-term rentals, particularly on platforms like Airbnb, are blamed for reducing long-term housing availability, especially in cities like Barcelona and Madrid. As of November 2024, Spain had 321,000 licensed holiday rentals, but thousands more operate illegally, driving up costs and displacing residents.
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The Housing Crisis Fueling Protests
Tens of thousands of Spaniards have protested in recent months, with 15,000 marching in Madrid in April 2025, chanting “Get Airbnb out of our neighborhoods.” Locals argue that short-term rentals inflate rents, making it nearly impossible for young people and families to afford homes. In response, Consumer Rights Minister Pablo Bustinduy emphasized ending the “lack of control” and “illegality” in the holiday rental market to protect housing access and consumer rights.
Details of the Airbnb Crackdown
The ministry identified 65,935 non-compliant listings, many lacking license numbers or mismatching official records. This follows a December 2024 investigation into Airbnb’s operations. A Madrid High Court ruling upheld the ministry’s action for an initial batch of 5,800 listings, urging Airbnb to comply. Non-compliance could lead to fines of €100,000 to €600,000. The crackdown spans regions like Catalonia, Andalusia, and the Balearic Islands, with Barcelona planning to ban all 10,000 licensed tourist rentals by 2028.
Barcelona’s Pioneering Ban
Barcelona, a focal point of Spain’s overtourism debate, has taken the strongest stance. Mayor Jaume Collboni announced in June 2024 a total ban on short-term rentals by 2028, following 10,500 fines and 9,700 closures of illegal rentals since 2016. The city aims to safeguard housing for its 1.6 million residents, who face rising costs driven by tourism. Read more about Barcelona’s overtourism challenges.
Impact on Tourism and Airbnb
Spain, a top European destination, welcomed 85 million tourists in 2024, boosting local economies but straining resources. The Airbnb crackdown could disrupt holiday plans, particularly in popular regions. Airbnb, which generates 34.8% of its revenue from Europe, has called itself a “scapegoat” for the housing crisis, arguing that its platform supports small landlords. The company is challenging the regulations but has begun cooperating with regional authorities, as seen in a Canary Islands agreement to remove illegal listings.
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Market Reactions
Following the announcement, Airbnb’s stock dipped 2% in pre-market trading on May 19, 2025, reflecting investor concerns about regulatory pressures. The crackdown may also affect Spain’s €30 billion tourism economy, though proponents argue it prioritizes residents’ rights. For more on tourism’s economic impact, check our Spain tourism analysis.
What’s Next for Spain’s Holiday Rental Market?
The government is developing a national register for tourist rentals to improve oversight, set to launch by July 2025. This follows regional efforts, like Malaga’s three-year freeze on new rental licenses. While consumer groups like OCU support the crackdown, small landlords worry about stricter regulations without protections against issues like unpaid rents. The balance between tourism and housing remains delicate, with implications for travelers and locals alike. Stay updated with our housing crisis coverage.
Why This Matters
Spain’s 2025 Airbnb crackdown reflects a global trend of regulating short-term rentals to address housing crises, seen in cities like New York and Lisbon. For travelers, booking legal accommodations will be critical to avoid disruptions. For Spain’s residents, the move offers hope for affordable housing but raises questions about enforcement and long-term impact. Follow The Interview Times for the latest on Spain’s Airbnb crackdown and its effects on tourism and housing in 2025.