Tourism lobby group Exceltur said the supply of short-term rentals on Ibiza is now 80% lower than in 2017. Across Spain, listings declined 4% in the second half of 2025 compared with a year earlier, marking the first nationwide fall, although trends differed across the country’s 25 largest cities.
Mallorca joins crackdown as some cities expand supply
Authorities have tightened regulations after residents complained that rising rents and home prices were being driven by tourist demand. Ibiza has stepped up inspections to identify and remove unauthorised holiday lets, according to the local government’s website. Barcelona has announced plans to ban all holiday homes by 2028.
As per Reuters report, Ibiza and Mallorca posted the steepest declines in short-term rental supply, Exceltur said. In contrast, coastal cities such as Malaga and Almeria continued to increase their tourist accommodation despite the broader slowdown.
Exceltur Vice President Oscar Perelli said new rules requiring landlords to register properties before listing them on platforms such as Airbnb are driving the shift. Holiday homes had outpaced hotel growth for years as Spain’s tourism boom pushed it close to France as the world’s top destination. Nearly one-third of tourists still opt for holiday homes, which remain cheaper than hotels.
Despite the fall in rentals, Ibiza recorded Spain’s highest hotel revenue per room last year. Exceltur said hotels on the island earned an average of 170 euros ($198) per room, up 6% from 2024.
(With inputs from Reuters)