Short-term rental legislation in the Basque Country in 2023

The Basque Country, rich in tourist appeal, has become one of the most sought-after regions for vacation rentals in France. This trend has led local authorities to strengthen regulations governing this market, especially in 2023. Facing increasing real estate pressure, with a notable shortage of available long-term housing, new laws establish a strict framework aimed at balancing supply between tourist rentals and permanent residences. This is notably reflected in the introduction of the compensation principle, which requires owners to provide an equivalent area for each furnished tourist rental. However, this development has sparked debates and opposition, particularly from platforms such as Airbnb, Booking.com, and Abritel, which face tighter regulation. Administrative procedures, eligibility criteria, and exceptions to this rule are crucial points to understand in order to better grasp this complex legislation. Through this detailed analysis, discover current requirements, practical implications for owners, and opportunities for tenants, especially in the 24 municipalities around Biarritz and other tourist sectors of the Basque Country.

1. What are the main new features of vacation rental regulation in the Basque Country in 2023?

At the heart of the changes introduced by the Basque Country Agglomeration Community (CAPB) in 2023, the implementation of the compensation principle is central. This measure aims to combat the decreasing availability of long-term rental housing in a so-called “tight” zone. For each property intended for vacation rental, the owner must now ensure that an equivalent surface is dedicated to permanent rental in the same municipality. This applies to primary residences rented more than 120 days per year and secondary residences used for tourist rental purposes.

Before its implementation on March 1, 2023, this regulation experienced a temporary suspension following an urgent suspension order from the Pau administrative court, citing major difficulties regarding the availability of compensation surfaces. Indeed, judges considered that, due to the chronic lack of eligible premises, it was practically impossible to meet this obligation in the 24 municipalities of the Basque Country classified as a tense zone.

With the gradual easing of appeals, the framework now returns to full application, requiring owners and platform managers such as Airbnb, Locasun, Booking.com, or HomeAway to adapt their practices. This involves a series of strict formalities, affecting the nature of offered properties, rental durations, and procedures for obtaining administrative authorizations.

• 🎯 Application of the compensation principle for all new vacation rentals
• 🎯 Limitation to a maximum of 120 days for primary residences
• 🎯 Obligation to transform or acquire a property intended for long-term rental
• 🎯 Previous suspension between June 2022 and March 2023, now lifted

For more information, the procedures are detailed by the Biarritz town hall on their official website, which serves as a reliable and comprehensive resource on the subject.

2. The compensation principle explained: what does it concretely mean for owners?

The compensation principle represents a major innovation in the management of seasonal rentals. It involves requiring owners of furnished tourist accommodations to provide an equivalent in supply to preserve the balance of the local housing market. Thus, for every unit removed from the permanent rental stock due to tourist use, another must be created or converted to long-term rental.

This compensation can be achieved notably through:

• 🏠 Transforming commercial or office spaces that are unused into residential units
• 🏠 Purchasing a commercial tenancy from an owner with an unused property that could be converted
• 🏠 New construction or renovation of properties intended for permanent rental

This obligation aims to prevent the multiplication of tourist rentals via platforms like Airbnb or Abritel from worsening the year-round housing shortage. On average, in the 24 municipalities concerned, housing availability has sharply decreased in recent years. Compensation offers an administrative solution to prevent the success of short-term rentals from leading to a more severe housing crisis.

It should be noted that certain commercial premises located on the ground floor are excluded from this scheme to avoid hindering the development of local businesses, which are essential to local life.

Understanding this measure is essential to anticipate its costs and administrative steps. Owners wishing to rent on Airbnb, Booking.com, or Le Bon Coin must be very careful to comply with these new obligations to avoid sanctions.

Practical steps for implementing compensation

• 📋 Identify an eligible space for transformation or an available commercial right
• 📋 Submit a change of use authorization request to the relevant town hall
• 📋 Provide a file including plans, proofs, and evidence of the equivalent surface area
• 📋 Obtain official approval before offering the property for tourist rental

For a more comprehensive guide on this topic, specialized platforms like Alday Immobilier or CrazyHome offer detailed and updated explanations.

3. Exceptions allowing rental without compensation in the Basque Country: what are the special cases?

There are a few conditions under which a property owner can rent a furnished tourist accommodation without applying the compensation principle. These exceptions are important to know to avoid unnecessary complex procedures:

• 🏡 If the rental concerns a primary residence and the duration does not exceed 120 days per year.
• 🏡 Rental of a student housing for a minimum of 9 months.
• 🏡 Renting out only part of the primary residence, notably a furnished room integrated into the owner’s dwelling.
• 🏡 Properties that have already benefited from a authorized change of use; the status of seasonal rental remains until the expiration of the approval.

This flexibility responds to the desire to preserve traditional use of housing while regulating the excesses of the seasonal market. It also provides some leeway for certain hosts to continue exploiting their property within a legal framework. This shows that the regulation does not apply uniformly but according to clearly specified criteria.

Many owners will prefer to call on a specialized real estate broker for managing seasonal rentals. This type of professional greatly facilitates procedures and ensures compliance with current regulations. Useful advice can be found on Concierge Angels.

4. The concept of change of use: how does it fit into the legal framework?

One of the cornerstone concepts of the regulation is change of use. This legal term refers to modifying the purpose of a property, such as turning a residence into a hotel, converting an office into an Airbnb rental, or transforming a commercial space into tourist housing. This change involves moving into a different urban planning category, with consequences for administrative approval.

In the 24 municipalities in the tense zone of the Basque Country, any change of use from residential to commercial or tourist use must be compensated by the opposite, i.e., the creation or conversion of a commercial or non-residential space into housing.

This allows establishing a strict balance in the property stock, preventing the gradual disappearance of traditional rental units and their replacement, without compensation, by tourist furnished units. This requirement demands vigilance from owners before listing on platforms like HomeAway or Locasun.

Procedures related to change of use involve filling out specific forms, including a detailed file describing the property and the envisaged compensation guarantees. These files are carefully examined by authorities to regulate the local market.

Resources such as WeHost offer assistance with these procedures by outlining administrative steps and supporting owners in achieving compliance.

5. Administrative procedures for legally renting a furnished tourist accommodation in 2023

Facing tighter regulations, owners must follow a rigorous administrative process to rent out their property seasonally in the Basque Country. The main steps are as follows:

• 📑 Fill out and submit a change of use authorization request if the property has never had this status
• 📑 Prepare a detailed dossier with technical details, plans, and proof of compensation
• 📑 Ensure that the compensated surface area is located in the same municipality as the property intended for tourism rental
• 📑 Wait for official approval from the town hall before listing on sites like Airbnb or Tripadvisor
• 📑 Respect imposed duration limits, especially the 120-day cap per year for primary residences

Owners should also consider tax aspects and insurance for their rental activity. It is advisable to consult specialized guides on income taxation from seasonal rentals, easily accessible on platforms like Concierge Angels.

To assist with these procedures, some professionals offer complete management of seasonal rentals, from declaration to customer service, as detailed by Concierge Angels in their dedicated guide.

6. Impact of the new regulations on seasonal rental platforms

Specialized sites such as Airbnb, Booking.com, Expedia, Le Bon Coin, Locasun, and HomeAway had to adapt to these stringent regulations starting in 2023. These platforms play a key role in visibility and marketing of tourist accommodations in the Basque Country but must now ensure the legality of the properties offered.

The main consequences for these actors are:

• 📉 Reduction in the number of legal listings available in tense zones
• 📑 Strengthening controls on the validity of change of use authorizations
• 📅 Strict limitation on short stays for primary residences
• 📣 Increased collaboration with local authorities to report irregularities

For users, these platforms often specify the current regulatory conditions. Tripadvisor, for example, includes advice on local compliance when booking a property in the Basque Country.

Online rental management operators, like HostnFly, position themselves as essential partners to ensure compliant and professional service. More information on their expertise is available on specialist sites concierge-angels.com.

7. Local particularities: what are the specificities in the 24 concerned municipalities?

Each Basque municipality subject to the CAPB regulations must apply these rules within a specific local context. While national principles generally apply, there are particularities regarding eligibility for compensation and tolerated exceptions.

For example:

• 🏘️ Biarritz enforces stricter monitoring of tourist furnished rentals, according to information available on the city hall’s website biarritz.fr.
• 🏘️ Bayonne promotes economic transformations, especially creating new housing in the city center.
• 🏘️ Saint-Jean-de-Luz distinguishes seasonal rentals for student use from other types to preserve its old housing stock.

These nuances impact access to change of use procedures and the preparation of administrative files. Here is a summary table of the main rules per zone:

For personalized support regarding these specificities, consult news and analyses on sites like Prestant and judicial decisions available on the Bordeaux Administrative Court of Appeal.

8. Practical advice for managing seasonal rentals legally in the Basque Country

Given the complexity of this regulation, owners should adopt a proactive and organized approach. Here are some essential tips:

• 📅 Carefully follow administrative deadlines to avoid warnings
• 🛠️ Seek assistance from a specialized property management professional, especially those familiar with local law
• 📊 Keep records and proof of compensation ready for authorities in case of inspection
• 📆 Use digital tools such as those offered by HostnFly or Concierge Angels
• 🛡️ Make sure appropriate insurance for seasonal rental is in place before listing

These measures help secure the investment and ensure peace of mind. Many owners now opt for professionals offering a complete service, from administrative requests to customer service and taxation.

For further in-depth tips, practical resources are available, notably on Concierge Angels which provides a comprehensive overview of recommended insurances.

FAQ – Frequently Asked Questions about 2023 vacation rental legislation in the Basque Country

• ❓ What is the compensation principle?
  It involves requiring owners renting for tourism to create or purchase a dwelling intended for year-round tenancy to compensate for the surface area taken from the permanent residential stock.
• ❓ Which accommodations are subject to this regulation?
  Secondary residences rented short-term, as well as primary residences rented more than 120 days per year in the 24 tense zone municipalities.
• ❓ What are the authorized exceptions?
  Primarily renting a primary residence up to 120 days, renting to students for more than 9 months, or partial rental within the primary residence.
• ❓ What is a change of use?
  It’s the modification of a property’s purpose, such as converting a dwelling into a commercial or tourist use.
• ❓ How to apply for a change of use authorization?
  You must prepare a detailed file, including plans and proof of compensation, then submit the request to the relevant town hall.