Note

Letting agents in Spain for long-term rentals

§ 1What an agent can do

A letting agent can advertise the home, screen tenants, draft the lease, collect the deposit and the rent, arrange repairs, and report to you. For an owner who lives abroad, this can be the difference between a workable let and a constant worry. This page belongs to the chapter in how buy to let works. We name no agent and take no commission from any.

§ 2Checking the agent

Check that the business exists, with a name, a tax number and an address, and that any registration the region requires is in place. We did not read the regional rules on agents, so ask your lawyer. Ask for references from owners the agent works for, and visit the office. Search for reviews, and treat them with caution.

§ 3The contract

Ask for a written contract that states the services, the fee and how it is calculated, the term, the way to end it, how money is held and paid to you, and what happens to the deposit. Ask who chooses the tenant and who signs the lease. Ask whether the agent’s fee is paid by you, by the tenant or by both, and what the law allows. Do not sign if the terms are vague.

§ 4Money

Ask where rent and the deposit are held, how often you are paid, and how reports are made. Ask for statements that show rent, fees and costs. Check that the agent pays rent to your account and not to a personal account.

§ 5Repairs and access

Agree a limit above which the agent must ask you before spending. Ask who chooses the contractors and whether the agent takes a commission from them. Ask how emergencies are handled.

§ 6Tax and law

The agent is not your tax adviser. The rent is taxed, and the return is yours to file, as the costs section explains. How long-term letting rules work explains the rules of the lease that the agent should follow. A good agent will know them and will keep the lease in order.

§ 7Language

Contracts and reports are in Spanish. Ask for key documents in your language and for a named contact who speaks it.

§ 8When to manage yourself

If you live nearby and have time, you can manage the let yourself, with a lawyer to check the lease. How a house to rent out works explains what to look for in a home to let.

§ 9Review

Review the agent every year, and compare the results with the numbers in your plan.

§ 10Ending the relationship

Check how you can end the agency contract, what notice it needs and what happens to the deposit and the keys. An agent who makes leaving hard is a warning. Keep your own copy of the lease and the tenant’s details.

§ 11More on this topic

How a property with a tenant works explains buying a home that is already let.

General information only. This is not legal, tax or financial advice. Check your own situation with a qualified adviser.