Knowledge is the best defense you have against getting caught up in a scam. When you have a sense of
what to expect, you’re less vulnerable against bad actors who’ve made a career out of taking
advantage of non-Spaniards looking for their first place to live. We’re going to break down what’s
standard practice in Spain but may seem odd, what’s a bad deal but
is technically legal, and what’s a common scam.
This is by no means an exhaustive list, but it’s a great starting point to get a feel for how things
are done in Spain and what you should keep an eye out for.
STANDARD PRACTICE 
→ Reservation fee
It’s common for property owners to ask you for a non-refundable reservation fee if you
don’t plan on moving into the property immediately. Once you’ve paid, the owner will
take the listing down so that the property’s not being advertised to any other tenants.
The fee tends to be one month’s rent which is put towards your deposit when you
officially sign the lease. If you decide not to move, you’ll forfeit the reservation
fee, and the property gets relisted.
Always view the apartment and sign a reservation contract before sending money.
→ Summer rental market
The long-term rental market tanks from June to August. You’re likely to find very low
inventory and
depressingly high prices for real estate until September.
The summer rental market is caused by the foreign students and temporary English teachers who
go back
to their home countries when school is out.
Landlords fill the void by renting out their apartments as short-term vacation or tourist
rentals.
It’s much more lucrative for them to take advantage of the high season for tourism and
relist their
property when long-term renters come back into town in the fall.
In short, the chances of you finding a decent place to rent between June and August are slim.
→ Communicating through WhatsAp
Link your phone number to a WhatsApp
account
before you start your rental property search.
For those unfamiliar, WhatsApp is the preferred messaging service in Spain for individuals
and
businesses alike. It’s free, secure, and more reliable than contacting agents and owners
through a
professional email address.
It’s used far more often than iMessage, SMS, or even email. You can set up an account with
your
personal number first and switch over to a Spanish number when you arrive if that’s more convenient for you.
You can make international calls and video chats to other WhatsApp accounts for free, which
comes in
handy if you’re looking at properties from outside of Spain and want a virtual tour before
setting
up an in-person viewing.
WhatsApp is the best way, and often the only way, to get in touch with a real estate agent or
a
private owner.
→ Giving out bank account information
Most bills in Spain must be paid directly from your bank account, not through a debit or
credit card.
Your landlord will ask you for your International Bank Account Number (IBAN) to put the
utilities in
your name. You’ll also need your IBAN to hook up your phone service, get a gym membership,
and
transfer money to your landlord or friends.
It may feel uncomfortable giving out your bank account information to so many third parties,
but it’s
widely accepted. If you're from the States, note that U.S. banks don’t use the IBAN system. You need to set up an
account with
a digital or physical bank that does.
Theoretically, you should be able to make transactions using an IBAN from any participating
country.1
In practice, we’ve found that having an IBAN from a Spanish bank account is less of a hassle
and
avoids long, boring arguments with utilities providers.
BAD DEAL
→ Cash deposit and rent
It’s legal for a landlord to ask for the deposit in cash, which in turn is deposited into an
account
run by the municipality. As we mention in the Blueprint Rental Requirements, you get your
deposit
back at the end of your lease minus the cost of any repairs to the property.
You’re entitled to request proof that the landlord transferred your deposit into the
municipal
account. If they refuse, it’s likely that they never transferred the money and are renting
the
property without reporting the income to the government. If you put the deposit down in
cash, you
have no real proof that you ever paid it, or that you’re a legal tenant.
The same logic applies to paying rent in cash. While it’s legal to pay your rent in cash in the unlikely event that either party doesn't have a bank account of any kind, we always recommend having a paper trail when it
comes to
big, recurring payments. If your landlord demands cash without giving you a receipt, like
with the
deposit, they probably haven’t claimed the property as a rental to avoid paying taxes.
→ Paying before seeing the property or reviewing the lease
We don’t recommend sending over any money before you’ve viewed the property first-hand or
looked over
the lease. The only exception we’d make is for a reservation fee, as described in the
Standard
Practice section above. Even then, make sure the reservation fee contract has a clause that
lets you
back out of the deal if you’re not satisfied with the conditions of the lease.
We see this trend more with real estate agencies than individuals, especially because of the
quality
of the marketing material agencies can produce. If you watch a walk-through video of an
apartment
and fall in love, err on the side of caution and wait to see it in person before putting
down a
deposit or signing a contract.
→ Subletting
Ideally, you should sign a lease directly with the owner of the property. If you absolutely
need to
sublet a property from a current tenant, ask for the landlord’s written consent. Tenants
can’t
sublet to you unless they have explicit permission from the landlord to do so.
If the landlord allows the sublet, ask for a copy of the original tenant’s rental contract.
Neither
the tenant nor the landlord is allowed to charge you more than the rent stated in the lease.
COMMON SCAMS 
→ Agency Fee
As of May 2023, it is illegal to charge tenants an agency fee if the lease is long-
term.2
In theory, the fee covers property management and contract administration
while the property is on the rental market. The Spanish government finally
acknowledged that owners are responsible for these agency costs, not
prospective tenants.
Many agents still try to push their fee onto the tenant and claim that the rental
contract is void without it. This is a total scam, and a dangerous one at that.
Agents who try to extort tenants can face a fine between 10,001 and 100,000
euros if reported.
You can, however, voluntarily hire a real estate agency to help you look for an
apartment. Just take care to sign a contract that states exactly what their
responsibilities are and ensure that they have your best interests in mind.
To recap, unless you’ve hired an agency, you should never see an agency fee
included in your rental contract.
→ More than 3 month’s rent in deposit
Long-term renters are obligated to pay one month’s rent as a deposit.
From there, landlords can request two additional months’ deposit to guarantee
the conditions of the property. They’ll usually request a higher deposit if the
property is furnished or high-value, or if you have a pet.
In total, the landlord can request a maximum of three months’ rent as deposit
up front. If your landlord asks for more than that, they are breaking the law. Politely remind them that this is illegal and go find another property to rent.
You don’t want to sign a contract with a landlord who tries to scam you from the
get-go.
→ Paying rent in advance
It’s illegal for the owner to request more than one month’s rent in advance.
Even so, some landlords end up asking tenants, especially those without the
right to work in Spain, to pay up to a year’s worth of rent in advance. This is usually a scam.
Don’t confuse this with the maximum deposit a landlord can request, which is
also measured in monthly rent. As a reminder, you can be asked to pay up to
three months’ worth of rent as a deposit plus additional guarantees when you
sign the lease. You’ll also pay your first month’s rent.
You’ll pay a maximum of four months’ rent upfront for the deposit,
additional guarantees, and first month’s rent, which is a significant amount of
money but completely legal. It’s worth remembering that you can always
negotiate this down.
→ Withholding deposit
The landlord has to return your deposit within one month of moving out, minus the cost of
any repairs
done to the property.
If the landlord refuses to give your deposit back, they must prove that you’re responsible for the
damage and
back up the cost of the repairs with quotes and receipts. Otherwise, they’re trying to
keep your
money without just cause.
The law considers that the property is in “reasonable” condition when you move
in, unless you inform the landlord of any issues you come
across at the beginning of the lease. You’re expected to return the property in
the same condition you received it, besides any reasonable wear and
tear.
>Don’t rely on memory alone to decide what’s wear and tear, what’s pre-existing damage, and what’s damage that
you’re responsible for. One way to protect yourself is by taking time-stamped
pictures of the property before you move your furniture in, so you have proof of
its original condition.
Pay special attention to the floors, walls, appliances, and any pre-existing
damage.
→ The “11-month lease”
A rampant misconception among the expat community is that if you’ve signed an
11-month lease, you’re not entitled to the same rights as a long-term tenant.
In the Blueprint Lease types and tenant rights, we explain in detail why it’s the
intention of the contract, not its duration, that determines whether the lease is long- or
short-term.
Regardless of the length of your contract, if you move to Spain and are searching for
a property to serve as your primary residence, you’re a long-term tenant and are fully
protected
under the Spanish housing code.
Your landlord may try to convince you otherwise to force you into signing a new
contract, where they can raise the rent beyond what’s allowed if you were to simply renew a
long-term
lease.
This is a frequent, effective scam that’s spread by shady owners and, unfortunately,
has been accepted as truth by unassuming expats.
→ Undeclared rental properties
Watch out for landlords that won’t let you register as a resident of the property.
Some warning signs are that they want you to pay the rent in cash, there’s no formal rental
contract,
or they say that the property is not available for empadronamiento.
When you apply for empadronamiento, you’re telling the government that you’re a legal
resident of the
property and are entitled to social benefits, like social security and public healthcare.
It’s also
a necessary step in applying for your TIE, which is the national ID card you need to obtain
when you
first arrive in Spain.
A landlord may not want you to register yourself as a resident because they haven’t declared
the
rental income to the Spanish government. By skirting the law, they’re putting your rights at
risk
since you’re not their legal tenant.
Always rent from a landlord that is willing to declare the property as a rental.