When looking for a place to live or start a business, it’s common to think that the required documentation is the same in both cases. However, the requirements for renting a home are not the same as those for renting a commercial space. Each one is subject to different regulations, objectives, and commitments. In this article, we explain the key differences so you can be fully prepared for your next negotiation.
What determines the type of property you are going to rent?
The first step is understanding that the intended use of the property determines the applicable requirements and legal framework. Here’s what you need to know:
Renting a home
A home is intended for residential use. In Spain, the main regulation is the Urban Leasing Law (LAU), which protects the tenant’s rights and establishes certain limits and obligations for both parties.
Renting a commercial space
Commercial spaces are intended for economic or professional activities. Although they are also governed by the LAU, they are treated more flexibly and are open to negotiation between the parties.
Requirements for renting a home
Since it’s a space to live in, the rental requirements are fairly standardized. Some of the most common are:
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Identification document: Valid DNI, NIE, or passport.
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Proof of income: Pay slips, work contract, or proof of solvency.
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Guarantor: Sometimes an additional guarantee is required if sufficient financial solvency cannot be demonstrated.
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Deposit: Usually equivalent to one or two months of rent.
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Contract duration: A 5-year contract (if the landlord is an individual), with automatic renewals.
It is also important to check the condition of the property, ensure utilities are active, and verify if registration (empadronamiento) at the address is possible.
Requirements for renting a commercial space
In the case of commercial spaces, the rental requirements depend on the type of business activity. The most frequent ones include:
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Tenant’s identification document (individual or company).
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CIF or NIF of the company or self-employed individual.
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Articles of incorporation (if applicable).
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Deposit or guarantee: May vary depending on the agreement; usually higher than for homes.
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Business or activity license: Required to operate.
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Liability insurance (recommended or required by contract).
In some cases, a technical project signed by a professional is required, especially if renovations will be made, ventilation systems installed, or the façade modified.
Key differences in the rental process
Contract flexibility
Commercial leases tend to be more flexible and fully negotiable. In contrast, residential leases are subject to specific regulations that protect the tenant.
Duration and renewals
The law sets a minimum duration for residential leases, whereas commercial leases are fully negotiable. This may be an advantage or a drawback depending on your business or personal plans.
Tenant responsibilities
In commercial rentals, tenants are often responsible for modifications, licenses, and adapting the space. In residential rentals, the landlord is generally responsible for ensuring habitability conditions.
Taxes and fiscal matters
Rent for commercial spaces is subject to VAT (21%) and sometimes personal income tax (IRPF) withholdings. Residential leases usually do not include VAT.
Conclusion
As you can see, although renting a home and a commercial space involves similar steps, the requirements differ. Understanding these differences will save you time and trouble, and help you negotiate with more confidence. At Maonlof, we support you in every step of the process—whether you’re looking for your new home or the ideal space for your business. Contact us and discover how we can help.
