A neighborhood in Barcelona, Spain, was among the locations chosen for the construction of more social housing. (The New York Times)


May 20, 2025 Tags:

Spain is intensifying its battle against the country’s growing housing crisis. On Monday, the government directed Airbnb to remove nearly 66,000 rental listings that allegedly violate national regulations. The move marks a significant step in Spain’s effort to make housing more accessible to its residents.

Listings Fail to Meet Legal Standards

The affected listings reportedly lacked necessary licenses, used fake registration numbers, or failed to disclose if they were operated by individuals or companies. The Ministry of Consumer Affairs, led by Pablo Bustinduy, confirmed that these listings fall short of Spain’s rental laws.

The government’s action followed a thorough investigation. Airbnb was notified months earlier that these listings did not comply with legal standards. Despite being given time to respond, the company resisted the directive and took the matter to court.

Court Sides with Spanish Government

Spain’s High Court in Madrid has now sided with the government. Airbnb is required to immediately remove a first batch of 5,800 non-compliant listings. The removal process will continue in phases until all 65,935 illegal rentals are taken down.

Consumer Affairs Minister Bustinduy emphasized the importance of the move. He stated that housing is a basic right and cannot be overshadowed by profit-driven interests. Authorities across all levels — national, regional, and local — are uniting to regulate tourist rentals more strictly.

Airbnb Pushes Back Against the Decision

In a statement, Airbnb said it plans to appeal the ruling. The company argues that restricting short-term rentals will not solve the housing shortage. Instead, it believes that increasing housing supply is the real solution.

“Cities with strict rental regulations like Amsterdam and New York still face housing challenges,” the company said. “These policies hurt local families who rely on hosting income and make travel more expensive.”

Despite the legal setback, Airbnb has chosen to keep the listings live until the court appeal is resolved.

Barcelona Leads the Way in Reforms

The crackdown has a particular impact on listings in Madrid and Catalonia — especially Barcelona. The Catalan capital had already announced bold reforms, becoming the first European city to phase out vacation rental licenses entirely.

By 2028, short-term rental owners in Barcelona must either convert their properties into long-term rentals with rent caps or sell them. Mayor Jaume Collboni said the policy aims to fight inequality caused by unaffordable housing.

Housing Crisis Grips Spain and Europe

Spain’s housing crunch is part of a broader European trend. Investors have increasingly turned homes into short-term assets, fueling price surges and displacing residents. Global tourism and remote work have worsened the issue, with landlords opting for lucrative short-term stays over stable long-term tenants.

Meanwhile, housing construction has slowed. Rising costs, regulatory hurdles, and the dwindling stock of public housing have only added pressure. Social housing, once a key safety net, has shrunk as governments sold off units to fund budgets.

Government’s Broader Housing Strategy

Spain’s response is multi-pronged. Prime Minister Pedro Sánchez has unveiled an ambitious plan to boost affordable housing. This includes curbing foreign investment in real estate — even proposing a 100% tax on foreign buyers to deter speculation.

In December, a major legal change empowered homeowner associations to ban tourist rentals with a three-fifths majority vote. This gave communities greater control over how their buildings are used.

A Turning Point for Tourist Rentals?

Spain’s bold stance could set a precedent across Europe. With public pressure mounting, more cities may follow Barcelona’s lead. The coming months will test how platforms like Airbnb adapt — and how far governments are willing to go to protect the right to housing.

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