Long-Term Rentals in Spain vs. the USA: What You Need to Know

If you plan on moving to Spain from the United States or are considering investing in property, understanding how long-term rentals work in Spain is essential. Both Spain and the United States offer robust rental markets—but the legal frameworks, tenant protections, and customs vary significantly.

Here’s a practical comparison of the key differences between long-term rentals in Spain and the USA.

1. Lease Duration

USA:
In most parts of the U.S., long-term leases typically last 12 months. Some landlords may offer 6-month terms or month-to-month agreements, depending on the state and demand. Renewals are generally negotiable.

Spain:
In Spain, long-term leases for a primary residence usually last 5 years (if the landlord is a private individual) or 7 years (if the landlord is a company). The tenant has the right to remain for the full term, even if the landlord sells the property. Early termination is allowed after 6 months with a 30-day notice.  Property for rent in Spain offers longer, more stable lease terms for tenants, while the U.S. model is more flexible but often shorter-term.

2. Rent Increases & Price Regulation

USA:
Rent increases are generally allowed at the end of a lease and are largely governed by market conditions. Some cities (like New York or San Francisco) have rent control or rent stabilization laws, but most do not.

Spain:
Rental increases during the lease term are strictly regulated. They’re usually linked to the Consumer Price Index (IPC). In 2023, Spain also introduced regional rent caps in "tensioned housing markets" to limit rising rental prices. Rent increases in Spain are more predictable and legally limited compared to the U.S., where landlords have more pricing freedom.

3. Deposits & Agency Fees

USA:
Tenants typically pay a security deposit (usually one month’s rent). In most states, the landlord cannot request much more. In cities like New York or Boston, tenants also often pay a broker fee unless otherwise negotiated.

Spain:
When renting villas or apartments in Spain, the standard deposit is one month’s rent. Landlords may also request additional guarantees (e.g., extra months, proof of income, or bank guarantees), especially from foreign or self-employed tenants.

Important update (2023): Under Spain’s updated Housing Law, agency fees must be paid by the landlord—not the tenant—when the property is intended as the tenant's primary residence. Spain now offers more protection to tenants by shifting agency fees to the landlord—something still rare in many parts of the U.S.

4. Furnished vs. Unfurnished

USA:
Most long-term rentals are unfurnished. Tenants typically bring their own furniture and appliances, unless it’s a short-term or corporate rental.

Spain:
It’s common to find furnished or semi-furnished apartments in Spain. Even when listed as "unfurnished," the property often includes kitchen appliances (fridge, oven, washing machine) and built-in wardrobes.  Spain’s market is more renter-friendly when it comes to furnished housing—ideal for expats or remote workers relocating quickly.

5. Tenant Rights & Legal Protections

USA:
Tenant rights vary greatly by state. In many areas, landlords can choose not to renew a lease without providing a reason. Evictions for non-payment can be swift depending on local law.

Spain:
Tenant protections are strong and standardized across the country. Even if the property is sold, the tenant can stay until the lease ends. Eviction for non-payment is possible but can be a lengthy legal process. Landlords need a valid reason and must follow legal procedures carefully.

Spain’s legal system offers tenants more stability and protection than most parts of the U.S.

6. Utilities & Community Costs

USA:
Tenants typically pay for utilities (electricity, gas, internet, water). Property taxes and HOA (Homeowners Association) fees are paid by the landlord.

Spain:
Tenants also pay for utilities. However, IBI (property tax) and community/maintenance fees ("gastos de comunidad") are generally the landlord’s responsibility—unless the contract says otherwise.  No matter the type of property to rent in Spain, make sure the lease clearly states who pays for what—some landlords try to pass on more costs to tenants than legally allowed.

Final Thoughts

While long-term rentals are common in both Spain and the U.S., the rules, expectations, and protections are very different. In general:

Spain favors tenant stability, with longer leases and tighter rules around price increases.
The U.S. offers more flexibility, but tenant protections vary widely.
Spain's 2023 housing reform shifted agency fees to landlords, reducing upfront costs for tenants—a significant win, especially for expats.

Considering relocating to Spain?

At Landcross Partners, we help find long-term rentals for U.S. citizens moving to Spain from the United States, with full legal guidance, bilingual support, and a trusted network of real estate professionals in top regions like Madrid, Barcelona, Marbella, Alicante, and the Costa Blanca.