Spain Plans to Extend Long-Term Rental Contracts Until 2028 – What It Could Mean for Lanzarote Residents
The Spanish Government is preparing new housing measures that could allow many long-term tenants to remain in their homes for longer, with proposals to extend rental contracts that expire before 30 June 2028. While the decree still needs to complete the parliamentary approval process, it forms part of the Government’s ongoing efforts to provide greater stability for tenants amid Spain’s continuing housing shortage.
For residents across Lanzarote and the wider Canary Islands, where finding affordable long-term accommodation has become increasingly difficult in recent years, the announcement is likely to be welcomed by many renters.
What Is Being Proposed?
Under the draft plans, tenants whose primary residence rental contracts expire before 30 June 2028 would be able to request an extraordinary extension of their tenancy.
If approved, landlords would generally be required to continue the tenancy under the same contractual conditions, unless one of the legal exemptions applies. The measure is designed to prevent tenants from being forced out of their homes during a period of high housing costs and limited rental supply.
Who Would Be Eligible?
The proposal is aimed at long-term residential tenants, not people renting holiday accommodation.
Although the final wording has yet to be published, the measure is expected to apply to:
- People renting a property as their main home.
- Contracts due to expire before 30 June 2028.
- Tenants who formally request the extension within the legal timeframe once the legislation comes into force.
Holiday lets, tourist accommodation and short-term vacation rentals are not expected to be covered by the new rules.
Why Is Spain Introducing These Measures?
Spain continues to face a housing affordability crisis, particularly in tourist destinations where demand for accommodation remains high.
In places such as Lanzarote, many local residents have struggled to secure long-term rentals as housing availability has tightened and prices have risen.
The Government says the proposed extension is intended to:
- Give tenants greater housing security.
- Help prevent sudden displacement.
- Reduce pressure on families facing rising living costs.
- Provide more stability while wider housing reforms continue.
What Does This Mean for Landlords?
Property owners would still retain certain legal rights, and there are expected to be exceptions where landlords can refuse an extension, depending on circumstances set out in the final legislation.
Until the decree is officially approved and published, landlords and tenants should avoid assuming the changes are already in force.
Important: The Proposal Is Not Yet Final
Although the Council of Ministers is expected to approve the new decree, it must still pass through Parliament before becoming permanent law.
The Government is currently negotiating support with other political parties, meaning some details could still change before the legislation is finalised.
What This Means for Lanzarote
Housing remains one of the biggest issues affecting residents across the Canary Islands. Any measures designed to increase security for long-term tenants are likely to be closely followed by both renters and landlords.
If approved, the extension could provide reassurance for thousands of households whose contracts are due to end over the next two years, while also adding another layer to Spain’s evolving housing policy.
Residents with contracts approaching their expiry date may wish to seek professional legal advice once the final legislation has been published, as eligibility will depend on the specific terms of their tenancy.
