Renting a property in Spain — whether as a landlord or a tenant — requires a properly drafted residential lease agreement. Our free residential lease agreement template for Spain is fully compliant with the Urban Leasing Act (Ley de Arrendamientos Urbanos, LAU) and is available to download in Word format for free.
What Spanish law governs residential leases?
Residential lease agreements in Spain are governed by the Urban Leasing Act (LAU), most recently amended significantly in 2019 and 2023. The LAU establishes minimum tenant protections that cannot be waived by contract, including minimum rental duration, mandatory rent update caps, deposit rules and termination procedures.
Minimum rental duration under the LAU
For residential leases, the minimum mandatory duration is 5 years if the landlord is a private individual, or 7 years if the landlord is a legal entity (company). Once the minimum term expires, the contract is automatically renewed in annual increments up to a maximum of 3 years, unless either party gives notice of non-renewal within the required period.
Security deposit requirements
The LAU requires a mandatory security deposit (fianza) of one month's rent for residential leases. Landlords may also request additional guarantees (additional deposit or bank guarantee) up to a maximum of two additional monthly rents for contracts up to 5 years, or up to 6 additional months for longer contracts. The fianza must be deposited with the regional housing authority within 30 days of signing in most autonomous communities.
Rent increase rules
During the mandatory period, rent can only be updated annually according to the terms agreed in the contract. Since 2023, rent increases are capped at the CPI (consumer price index) or the new Rent Reference Index (Índice de Referencia de Arrendamientos de Vivienda, IRAV) published by INE. Landlords must give at least 30 days' notice before any rent increase takes effect.
Frequently asked questions
What is the minimum lease term in Spain?
5 years for private landlords and 7 years for corporate landlords. These are mandatory minimums — a contract with a shorter stated term will automatically extend to the legal minimum.
Can a landlord terminate the lease during the minimum period?
Generally no, unless the tenant is in breach. The only exception is if the landlord needs the property as their primary residence (or for a first-degree relative), in which case 2 months notice is required after the first year.
How much can the landlord ask for as a deposit?
The mandatory fianza is 1 month. The landlord can request up to 2 additional months as extra guarantee, for a maximum of 3 months total for standard contracts up to 5 years.
Does the lease need to be registered with any authority?
The contract itself does not need to be notarised or registered to be legally valid. However, the fianza must be deposited with the regional housing authority, and registration at the Land Registry (Registro de la Propiedad) is optional but provides additional legal protection.
Download your free residential lease agreement now.
Residential Lease Agreement →