The booking rate for vacation rentals along Spain’s coast for August 2026 reached 85.5%, which is 1 percentage point higher than the figure for the same period last year, according to a study by the Rentalia platform published on July 29. The study is based on an analysis of availability calendars for apartments and vacation homes located no more than 15 km from Spanish beaches. In August 2025, the share of booked properties stood at 84.5%.
The highest occupancy rate was recorded in Mallorca, where 99% of vacation rentals were booked for the last month of summer. Next are the Asturian coast at 95.6%, Menorca at 94.6%, Lanzarote at 93.5%, and the province of Alicante at 92.2%.
In Murcia, the booking rate reached 89.1%; in Cantabria, 88.3%; in Cádiz, 87.5%; on the Costa del Sol in the province of Málaga, 86.8%; and in Almería, 86.5%. In Fuerteventura, the figure matches the national average at 85.5%, and on the Costa Brava, it stands at 85%.
The greatest number of available last-minute booking options remains on the coast of the province of Huelva, where 44.7% of accommodations are occupied. Relatively low occupancy rates were also recorded in Tenerife (72.4%), the province of Valencia (72.6%), the Costa Dorada in Tarragona (76.7%), and the Barcelona coast (77.9%).
Almudena Ucha, director of Rentalia, attributes the rise in demand for northern regions of Spain to the intense summer heat. Occupancy rates for vacation rentals in Asturias rose by 4.7 percentage points over the year, and in Cantabria by 4 points, as tourists are increasingly opting for cooler destinations. Among properties with air conditioning, 86.7% were booked for August, and among those with a pool, 85% were booked. The booking rate for rural homes in Spain’s inland regions was even higher, reaching 87.6%.
Data source: a study by Rentalia, a vacation rental platform on Idealista
The Italian government’s call to restrict the application of Schengen rules to Spain following a mass migrant surge from Morocco into the Spanish city of Ceuta has received support from some European politicians but has drawn sharp criticism from Madrid and raised questions about the legal feasibility of such a move.
According to Spain’s Ministry of the Interior, approximately 50,000 people may have entered Ceuta beginning on the morning of July 30. The head of the local government, Juan Jesús Vivas, estimated the number of arrivals at 60,000. About half of them subsequently returned to Morocco voluntarily. According to various estimates, between 34 and 41 people died while attempting to cross the border.
Spain deployed military personnel and additional police units to Ceuta. Prime Minister Pedro Sánchez called the mass border crossing a violation of the country’s territorial sovereignty and announced that the return of individuals who had entered Spanish territory illegally would be expedited. Madrid stated that it is coordinating with Moroccan authorities.
Italian Prime Minister Giorgia Meloni stated that Rome is prepared to take extraordinary measures to protect its borders, including considering “suspending the Schengen Area with Spain.”
Italian Foreign Minister Antonio Tajani and Transport Minister Matteo Salvini also called for the reinstatement of border controls with Spain. Tajani linked the events in Ceuta to Madrid’s decision to legalize the status of hundreds of thousands of migrants who had previously been in the country without proper status.
Finnish Interior Minister Mari Rantanen supported the Italian initiative, stating that Spain had allegedly failed to fulfill its obligation to protect the Schengen Area’s external border. Danish Prime Minister Mette Frederiksen called for consideration of possible restrictions but did not announce a specific decision by her government.
Swedish Prime Minister Ulf Kristersson stated only that Stockholm is prepared to take the necessary measures if events in Ceuta begin to affect security or the migration situation in Sweden. This is not the same as supporting Spain’s exclusion from the Schengen Area.
As of the evening of July 31, there is no reliable official confirmation that Austria has specifically supported the exclusion or suspension of Spain’s Schengen membership. Therefore, reports of a coordinated position among all four countries cannot be fully confirmed.
At the same time, France has ordered stricter border checks with Spain. Such measures are legally permissible as a temporary reinstatement of internal border controls but do not imply Spain’s withdrawal from or exclusion from the Schengen Area.
Spanish Foreign Minister José Manuel Albares summoned the Italian ambassador in Madrid and called Tajani’s statements unacceptable.
“This statement is inappropriate coming from the foreign minister of a partner country and friend from whom we expect European solidarity, not partisan demagoguery,” Albares said.
Spanish authorities attribute the crisis to a false interpretation, spread by smugglers, of a Supreme Court ruling that restricted the immediate return of migrants detained at sea near Ceuta and Melilla.
Critics of the Italian initiative also point out that exploiting the migration tragedy for domestic political gain could fuel xenophobic sentiments and replace the necessary discussion on external border security with political statements that are impossible to implement in their proposed form.
Can Spain Be Excluded from the Schengen Area?
Current EU legislation does not provide for a separate procedure that would allow a single state or group of states to simply “exclude” another country from the Schengen Area.
The Schengen Borders Code allows member states to temporarily reintroduce border controls at their internal borders in the event of a serious threat to public order or internal security. The state must notify the European Commission and other Schengen members of this decision. Such controls must be a measure of last resort, temporary, and proportionate.
If serious and persistent deficiencies in the protection of the external border threaten the functioning of the entire Schengen Area, the Council of the EU, upon a proposal from the European Commission, may recommend that one or more countries reinstate internal border controls. The initial duration of such a decision is up to six months, and the total duration generally may not exceed two years. This does not constitute an exclusion of the state from the Schengen Area.
The special status of Ceuta and Melilla must be considered separately. Spain is already required to check the documents of passengers traveling by sea or air from these cities to mainland Spain or other Schengen Area countries. Therefore, entering Ceuta illegally does not, in and of itself, allow for uncontrolled movement throughout Europe.
Consequently, Italy, France, or other countries may temporarily intensify checks on passengers arriving from Spain. However, there is no legal procedure for unilaterally excluding Spain from the Schengen Area.
Calls for such a step are currently primarily political in nature and have not been formalized as an official proposal by the European Commission or a decision by the Council of the EU.
Ukraine and Spain plan to accelerate the implementation of joint investment and trade projects in the fields of infrastructure, energy, transportation, industry, agricultural processing, defense technologies, and digitalization through the newly established Ukrainian-Spanish Business Council.
The first joint meeting of the Ukrainian and Spanish members of the council took place in Kyiv as part of the Ukrainian-Spanish Business Forum. More than 100 companies from both countries participated in the events, including 47 representatives of Spanish businesses.
Kyiv also hosted the fifth meeting of the Ukrainian-Spanish Joint Intergovernmental Commission on Economic and Industrial Cooperation. The commission was co-chaired by Oleksiy Sobolev, Acting Minister of Economy, Environment, and Agriculture of Ukraine, and Carlos Cuervo, First Vice President of the Government and Minister of Economy, Trade, and Entrepreneurship of Spain.
The parties discussed the transition from general dialogue to the development of specific projects, the involvement of Spanish companies in Ukraine’s reconstruction, the localization of production, and technology transfer.
“Ukraine is open to partnerships right now. An investor who comes today will have the opportunity to join the reconstruction effort and become part of Ukraine’s future European market,” said Hennadiy Chizhikov, President of the Ukrainian Chamber of Commerce and Industry.
In the transportation sector, the parties discussed the development of air, rail, and road transport, the creation of multimodal routes, and the application of Spanish expertise in high-speed rail construction.
In the energy sector, the main areas identified are solar and wind power generation, energy storage systems, energy efficiency, and the development of decentralized power generation. In industry and the defense and technology sectors, the parties intend to transition from conventional product supply to joint production, localization, and the creation of joint ventures.
In the agro-industrial sector, discussions focused on investments in food processing, storage, and logistics, as well as the production of finished goods for export to countries in the Mediterranean, North Africa, and Latin America. Specific areas of cooperation identified include water resource management, healthcare, tourism, science, and innovation.
The Spanish business delegation included, among others, representatives from the infrastructure company ACCIONA, the aerospace corporation Airbus, the technology and defense companies Indra, Grupo Oesía, Escribano, and Integrasys, the satellite operator Hispasat, and the railway company RENFE.
The Ukrainian side was represented by about 20 companies and associations operating in transportation, logistics, aviation, agriculture, the food industry, energy, mechanical engineering, construction, digital technologies, and professional services.
The Ukrainian-Spanish Business Council is intended to serve as a permanent mechanism for direct interaction between companies, chambers of commerce and industry, and the governments of the two countries. Its work will include identifying partners, compiling a portfolio of investment projects, establishing sector-specific working groups, and monitoring the implementation of agreements.
The Ukrainian side of the council is headed by Mykhailo Bno-Ayriyan, a representative of MHP. Its members include MHP, Metinvest, Nova Poshta, SkyUp Airlines, Epicentr Agro, DSV Logistics, Zammler Ukraine, WhiteBIT, Farmak, and other Ukrainian companies and industry organizations.
The next practical step in this cooperation will be a business mission by Ukrainian companies to Valencia on September 28–29, 2026.
The visit will take place as part of the EUROCHAMBRES 2026 Congress, during which a Ukrainian-Spanish business forum and one-on-one meetings between Ukrainian companies and potential Spanish partners are also planned.
According to 2025 figures, trade between Ukraine and Spain totaled nearly $2.8 billion, of which approximately $1.73 billion was accounted for by Ukrainian exports. Spain remains one of the largest European buyers of Ukrainian agri-food products.
According to calculations by the Experts Club information and analytical center, published on July 16, Ukraine exported $1.09 billion worth of goods to Spain in January–June 2026. Imports of Spanish products totaled about $512 million, and total bilateral trade amounted to approximately $1.60 billion.
Ukraine’s trade surplus with Spain reached $578.1 million, the largest among all 50 of the country’s leading trading partners.
Thus, Spain is a particularly advantageous major trading partner for Ukraine: Ukrainian exports to this market are more than double the value of imports of Spanish goods.
Ukrainian citizens ranked first in the number of residence permits issued by Spain to foreign nationals in 2025, according to data from Spain’s Ministry of Social Security and Migration.
According to the Spanish ministry, 244,579 residence permits were issued to Ukrainian citizens in 2025. They were followed by citizens of Venezuela—224,341 permits—and Morocco—187,790. These three countries accounted for 42% of all residence permits issued to foreigners in Spain in 2025.
In total, Spain issued 1,577,842 residence permits to foreigners in 2025, which is 7.8% more than the previous year, or 114,238 more permits. This growth was due, in particular, to an increase in the number of permits issued to citizens of Venezuela, Ukraine, and the United Kingdom.
Spanish authorities specifically note that these statistics reflect the number of permits, not the number of unique individuals. The same person could, for example, receive an initial permit and then a renewal within the same year, so this figure does not equal the number of new residents.
In the case of Ukraine, the temporary protection regime for people displaced by the war played a major role.
The report also notes that 238,007 permits in the “other exceptional circumstances” category were issued to Ukrainian citizens under the Temporary Protection Directive. This is 11.5% more than in 2024, with 85% of these permits being renewals.
According to the statistics, Russians ranked 11th among the largest groups of recipients of Spanish residence permits, with 27,655 permits issued.
By region, the highest number of residence permits were issued in Catalonia—311,038—followed by the Valencian Community—282,897—Madrid—275,607—and Andalusia—232,201. These four autonomous communities accounted for 70% of all permits issued to foreigners in 2025.
Separately, Spain reported 108,253 residence permits for study purposes issued to foreign students and their family members in 2025. The most common nationalities in this category were Colombia, Peru, Morocco, the United States, and China.
In Spain, more than 609,000 migrants without legal status have received temporary work permits as part of an emergency regularization program, according to Spanish authorities. The Spanish government released the first official results of the program on July 2.
In total, about 1.17 million people submitted applications for legalization by the June 30 deadline. This was more than double the authorities’ initial expectations, which had been for approximately 500,000 applicants. According to Reuters, 609,737 people have already received temporary work permits, allowing them to enter the formal economy while their main applications are under review.
The program ran from April 16 to June 30, 2026. It was open to undocumented migrants who could prove they had been residing in Spain for at least five months by the end of 2025 and had no criminal record. Participants are granted a one-year renewable residence permit and, for the duration of the application review, a temporary right to work.
As of the end of June, about 160,000 people among those who received temporary permits had already found formal employment. Spanish authorities are working separately with companies in the construction, tourism, transportation, and care sectors to help regularized migrants transition from the informal labor market to the formal one.
About 11,000 people have received fully positive decisions so far. The remaining cases are still under review: after the application period closes, the government has several months to process the bulk of the applications. According to El País, cases that have already been accepted for review grant applicants temporary residence and work permits.
Most applicants are from Latin America. Euronews, citing data from Spain’s Ministry of Integration, Social Security, and Migration, reports that about 67% of the applications came from citizens of Central and South American countries. Colombia leads the list, followed by Morocco, Venezuela, Peru, and Honduras.
For Spain, this program has not only humanitarian but also economic significance. The country is facing labor shortages in tourism, construction, caregiving, transportation, and agriculture. Legalization allows for bringing some workers out of the “gray” zone, expanding the base for social security contributions, and reducing businesses’ reliance on informal employment.
At the same time, the program remains politically controversial. Pedro Sánchez’s government presents it as a tool for integrating people already living in the country and as a response to labor market needs. Opposition parties criticize the amnesty, fearing an increased burden on state and municipal services. Legal disputes over certain aspects of the procedure are also ongoing, but the legalization process has not been halted.
This program does not primarily affect Ukrainians, as most Ukrainian citizens who arrived in Spain after the war began are not in an undocumented status but are under the EU’s temporary protection regime. According to the Spanish Ministry of Integration, Social Protection, and Migration, as of March 31, 2026, there were 345,995 Ukrainian citizens in Spain with valid residence documents, including temporary protection and other permits; these figures were published on April 30, 2026. This status already grants the right to reside and work, so the Spanish amnesty for undocumented migrants is primarily aimed at other groups of undocumented foreigners. Theoretically, it may apply only to certain Ukrainians who, for whatever reason, do not have temporary protection or other legal status and meet the program’s conditions. On June 26, 2026, the European Commission proposed extending temporary protection for people who fled Ukraine for another year—until March 4, 2028.
The short-term tourist rental market in Spain is experiencing its largest decline in recent years: the number of listings on digital platforms in May 2026 fell by 10.7% year-over-year, according to the Spanish National Institute of Statistics (INE).
According to INE data, 40,836 thousand tourist accommodations were removed from the market over the course of the year. This marked the second-sharpest decline in supply in the agency’s history of compiling such statistics.
Despite the year-over-year decline, by the start of the peak summer season, the market had partially recovered compared to November 2025: supply increased by 3.4%, or 11,237 thousand units. In May, Spain had 341,001 thousand active tourist accommodations, which collectively provided 1.71 million beds. On average, each property had about five beds.
The decline in supply affected all of the country’s major tourist regions. The most significant decline was recorded in the Valencian Community, where the market lost nearly 12 thousand properties over the year, and the total number of active listings fell to 51,268 thousand. As a result, the region ceded second place in terms of supply to Catalonia.
Andalusia, despite a decrease of 5,527 thousand properties, retained its status as Spain’s largest vacation rental market, with 90,649 thousand apartments and villas. Catalonia lost 5,546 thousand properties but remained among the leaders with 51,3 thousand active listings.
The island markets also saw a decline. In the Canary Islands, the number of properties fell by 2,33 thousand to 48,356 thousand, while in the Balearic Islands, it dropped by 3,057 thousand to 21,304 thousand listings.
At the provincial level, the largest markets remain the tourist coastlines. Málaga leads with 45,176 thousand properties, followed by Alicante with 32,148 thousand and Las Palmas with 26,998 thousand.
When looking at individual municipalities, the largest concentration of tourist accommodations is in Madrid—10,836 thousand properties. Next are the city of Málaga—8,288 thousand, Barcelona—8,231 thousand, Marbella—6,987 thousand, and Seville—6,937 thousand properties.
Analysts attribute the decline in supply to stricter municipal regulations, license revocations, and growing political pressure on the short-term rental sector. In Spain, the conflict between the tourism industry, property owners, and local residents—who are facing a shortage of affordable long-term rentals and rising prices in major cities and resort areas—has been intensifying for several years.
For the real estate market, this signals a shift in phase. Tourist rentals remain a profitable segment, but they are becoming more heavily regulated and riskier for investors. Whereas high occupancy rates and tourist traffic were once the key factors, licenses, municipal restrictions, the legal status of the property, and the location’s resilience to potential bans are now increasingly important.
For real estate buyers in Spain, this is an important signal: a property that was previously viewed as a short-term rental vehicle may lose some of its investment appeal if local regulations change. This is especially true in overheated tourist areas, where authorities are most actively restricting short-term rentals.
At the same time, a reduction in the supply of tourist apartments could support the hotel and aparthotel market, as well as partially return some housing to the long-term rental market. However, this is unlikely to quickly solve the problem of housing affordability: demand for housing in major cities and tourist regions remains high, while new supply is limited.
