Mallorca, one of Spain’s most popular holiday destinations, is confronting a growing problem affecting both tourists and property owners: illegal tourist subletting by long-term tenants. Local media report that people seeking cheaper accommodation risk being evicted without warning, while property owners could face significant fines for violations they did not commit.
José Miquel Artieda, president of the Association of Real Estate Agents of the Balearic Islands, warns that so-called “pirate tenants” are increasingly renting properties long-term and then subletting them to holidaymakers without the owner’s permission and without the legally required tourist licence.
According to Artieda, subletting without written authorisation from the owner is illegal, and the rent charged to tourists must also be approved by the owner. If a property is not properly registered with the Balearic housing authority (Ibavi), the owner can be accused of operating illegal tourist rentals—even if they were unaware of the subletting.
Data from the Idealista property platform show that illegal subletters can charge five to six times more than the original long-term rent, making the practice lucrative but extremely risky for the owner. In such cases, authorities often impose heavy penalties on the owner, as identifying the actual offender can be difficult.
Lawyer Juan R. Méndez explains that proving who is responsible for the illegal activity is challenging:
“If authorities cannot identify the subletter, they hold the property owner accountable. The owner must then demonstrate that the property had been legally rented to a third party.”
Another lawyer, Alejandro Fuentes-Loyo, confirms that owners are protected if the rental contract explicitly forbids subletting. However, even this does not prevent administrative proceedings from being initiated.
Background: Why Mallorca is fighting overtourism
The rise in illegal subletting comes against the backdrop of overtourism, a major issue for the Balearic Islands. In recent years, Mallorca has struggled with housing shortages, inflated rental prices, and pressure on local infrastructure.
Protests against mass tourism have erupted repeatedly, driven by:
• soaring housing costs driven by short-term rentals
• overcrowding on beaches, in city centres and transport
• environmental degradation and increased waste
• loss of local authenticity
• pressure on water, energy and public services
In response, authorities have taken several steps to ease the impact:
• strict limits on short-term rental licences
• bans on tourist rentals in central Palma
• restrictions on cruise ship arrivals
• higher tourist taxes to fund sustainability projects
• promotion of off-season tourism
• incentives for eco-friendly mobility
• protection of natural areas and beaches
Even with these efforts, overtourism remains a challenge, and illegal subletting only adds to the pressure. Experts warn that landlords must be vigilant when signing long-term contracts, ensuring that conditions explicitly prohibit subletting and that deposits are properly registered.
Mallorca continues searching for a balance between a thriving tourism economy and safeguarding the quality of life of its residents.