Short-term Accommodation Boost Recorded in 20 Major Spanish Cities

Short-term Accommodation Boost Recorded in 20 Major Spanish Cities

Exceltur, Spain’s travel industry association, shared the results of its recent study about short-term accommodation. As per the report, short-term accommodation in Spain’s 20 major cities is fast approaching the total number of rooms that hotels manage there. This is, undoubtedly, bringing benefits to short-term accommodation providers. However, Spanish hotel chains, travel agents, and tour operators among others are asking for regulation of such platforms by relevant authorities. They are seeing this as an out-of-control situation.

In addition, it also shows that those 20 cities have nearly 300,000 homes being offered for short-term accommodation rental. As per Reuters, hotels are managing and offering another 389,779 rooms.

Considering this steep rise in the number of short-term rental accommodations (homes), Exceltur is demanding the above-mentioned law to ensure proper regulation of Airbnb and other platforms offering short-term rental accommodations.

Previously, Airbnb mentioned that the primary reason for people hosting rental spaces on the platform is the cost of living crisis. As per data, a typical host earned over €3,000 last year, which approximately amounts to extra pay of two months.

By observing this data, it can be deduced that the Spanish people turned to host guests for extra income to make living in the nation more cost-effective.

Reuters points out a fact that the study further puts light on profitability comparison. According to this, renting to visitors generates twice the profit as compared to offering residents long-term rental service. Moreover, short-term rentals are much more affordable than hotels. This suggests that more visitors are economically inclined towards choosing the former over the latter.

The study also suggests a 12% rise in short-term rental accommodations in Spain’s six biggest cities, primarily located in the city centres.

And, this rise in the number of short-term rentals converts to more travellers booking their stays. The Balearic Islands and Canary experienced a surge in the number of arrivals, according to The Ministry of Tourism of Spain. The Islands had 6.2% more arrivals of international tourists in October 2022 as compared to the number in 2019 same month.

Denmark (166,020), Portugal (262,446), France (677,210), Ireland (215,948), Switzerland (303,355), and Italy (687,607) were the six major sources of tourists to Spain in October.

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