Authored by the expert who managed and guided the team behind the Spain Property Pack
Yes, the analysis of Madrid's property market is included in our pack
Thinking about starting an Airbnb in Madrid in 2026? You're looking at a market with over 33,000 active listings, strict new zoning rules, and average nightly rates around €120.
This guide breaks down everything you need to know, from legal requirements to realistic profit expectations, using the latest available data.
We constantly update this blog post to reflect the most current regulations and market conditions in Madrid.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Madrid.
Insights
- One-bedroom apartments make up 71% of all Airbnb listings in Madrid, making this segment the most competitive but also the most in-demand for solo travelers and couples visiting the Spanish capital.
- Madrid's Plan RESIDE effectively bans new tourist apartments inside mixed residential buildings in the historic center, meaning compliance itself has become a competitive advantage for hosts.
- The average Airbnb in Madrid generates roughly €1,500 per month in gross revenue, but after operating costs, self-managed hosts typically net between €400 and €1,050 monthly.
- Nearly 43% of Madrid Airbnb listings require a minimum stay of 30 nights or more, signaling that many hosts have pivoted toward mid-term rentals for business travelers and digital nomads.
- Premium neighborhoods like Salamanca and Centro can command €140 to €220 per night, while outer districts like Carabanchel average €80 to €130 per night for entire homes.
- Madrid hosts need to clear three separate legal layers: a national registration number, regional VUT compliance, and city planning permission under Plan RESIDE.
- The occupancy gap between top hosts (70% to 80%) and average hosts (62% to 66%) in Madrid translates to roughly €300 to €500 in monthly revenue difference.
- Major events like FITUR, Madrid Open, and Pride can increase nightly rates by 30% to 60%, making event-based pricing essential for maximizing Airbnb income in Madrid.
Can I legally run an Airbnb in Madrid in 2026?
Is short-term renting allowed in Madrid in 2026?
As of the first half of 2026, short-term renting is allowed in Madrid, but only if you comply with three separate layers of regulation at the national, regional, and city level.
The main legal framework comes from the Comunidad de Madrid's Vivienda de Uso Turístico (VUT) regime under Decreto 79/2014, combined with the city's Plan RESIDE zoning rules that took effect in September 2025.
The single most important restriction is that Madrid's Plan RESIDE effectively prohibits tourist apartments inside mixed residential buildings in the historic center, pushing short-term rentals toward dedicated or non-mixed building configurations.
You also need a national registration identifier (NRA) to list your property on platforms like Airbnb, plus technical documentation and liability insurance as required by the regional government.
Operating without proper registration can result in significant fines, and the city has publicly stated it is tightening enforcement against illegal tourist apartments.
For a more general view, you can read our article detailing what exactly foreigners can own and buy in Spain.
If you are an American, you might want to read our blog article detailing the property rights of US citizens in Spain.
Are there minimum-stay rules and maximum nights-per-year caps for Airbnbs in Madrid as of 2026?
As of the first half of 2026, Madrid does not impose a London-style annual night cap or a universal minimum-stay requirement on short-term rentals.
These rules apply the same way regardless of property type or whether you're renting your primary residence or an investment property, though your ability to operate at all depends on your building's configuration under Plan RESIDE.
That said, the market tells a different story: about 43% of Madrid Airbnb listings set a 30-night minimum stay, suggesting many hosts have shifted toward mid-term rentals to simplify operations or comply with building rules.
Do I have to live there, or can I Airbnb a secondary home in Madrid right now?
There is no legal requirement that you must live in a property to operate it as a short-term rental in Madrid.
Yes, owners of secondary homes and investment properties can legally operate short-term rentals, and Madrid has many investor-operated apartments on Airbnb.
However, your ability to run a secondary home as an Airbnb depends heavily on your building's configuration and zone under Plan RESIDE, plus completing the regional VUT registration and obtaining your national identifier.
The main practical difference is that secondary homes in the historic center face much tighter zoning constraints than those in outer neighborhoods or in buildings with dedicated tourist use.
Don't buy the wrong property, in the wrong area of Madrid
Buying real estate is a significant investment. Don't rely solely on your intuition. Gather the right information to make the best decision.
Can I run multiple Airbnbs under one name in Madrid right now?
Yes, you can legally operate multiple Airbnb listings under one name in Madrid, and the market has many professional property managers running hundreds of units.
There is no official cap on how many properties one person or company can list for short-term rental in Madrid.
However, each individual unit must have its own complete compliance package: city planning compatibility, regional VUT registration, and a national registration identifier displayed on every listing.
Do I need a short-term rental license or a business registration to host in Madrid as of 2026?
As of the first half of 2026, hosting in Madrid requires completing the regional start-activity process for a Vivienda de Uso Turístico (VUT) and obtaining a national registration identifier (NRA) that must be displayed on all platform listings.
The regional process involves submitting a responsible declaration through the Comunidad de Madrid's online portal, along with technical documentation about your property and proof of liability insurance.
You'll need property ownership or authorization documents, a technical certificate describing the dwelling, and insurance that meets the regional requirements.
Direct costs for compliance are relatively modest, but you should budget for professional help with documentation and factor in the time needed to navigate three levels of bureaucracy.
Are there neighborhood bans or restricted zones for Airbnb in Madrid as of 2026?
As of the first half of 2026, Madrid has effective zone-and-building restrictions rather than outright neighborhood bans, with the strictest rules applying to the historic center under Plan RESIDE.
The neighborhoods with the tightest constraints are Sol, Gran Vía, Malasaña, Chueca, La Latina, Lavapiés, Barrio de las Letras, and Ópera/Palacio, all clustered in the Centro district where tourist pressure is highest.
The city's goal is to prevent tourist apartments from dispersing inside ordinary residential buildings in these areas, protecting housing for permanent residents while pushing short-term rentals toward dedicated configurations.
We made this infographic to show you how property prices in Spain compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
How much can an Airbnb earn in Madrid in 2026?
What's the average and median nightly price on Airbnb in Madrid in 2026?
As of the first half of 2026, the average nightly price for an Airbnb listing in Madrid is approximately €120 (around $140 USD), while the median sits closer to €105 ($123 USD) because premium Centro listings pull the average up.
The typical nightly price range covering about 80% of Madrid Airbnb listings falls between €75 and €180 ($88 to $210 USD), with most bookings clustering in the €90 to €150 range.
The single biggest factor affecting nightly pricing in Madrid is location: a well-positioned apartment in Salamanca or Centro can command €50 to €100 more per night than an identical unit in Carabanchel or Vallecas.
By the way, you will find much more detailed profitability rent ranges in our property pack covering the real estate market in Madrid.
How much do nightly prices vary by neighborhood in Madrid in 2026?
As of the first half of 2026, nightly prices in Madrid vary dramatically, with premium neighborhoods like Salamanca averaging €140 to €210 per night ($164 to $246 USD) while value areas like Carabanchel average €80 to €130 ($94 to $152 USD).
The three neighborhoods with the highest average nightly prices are Centro (especially Sol and Gran Vía) at €140 to €220, Salamanca at €140 to €210, and Chamberí at €125 to €185 per night.
The three neighborhoods with the lowest average nightly prices are Carabanchel at €80 to €130, Puente de Vallecas at €80 to €125, and Tetuán at €95 to €150 per night, though these areas still attract guests seeking value accommodations with good metro connections.
What's the typical occupancy rate in Madrid in 2026?
As of the first half of 2026, the typical occupancy rate for Airbnb listings in Madrid is approximately 64%, meaning the average listing is booked about 23 nights per month.
The realistic occupancy range covering most Madrid listings falls between 55% and 72%, with well-optimized properties in strong locations consistently hitting the upper end.
Madrid's occupancy rates are solid compared to the Spanish national average, benefiting from year-round business travel, major events, and the city's status as a capital that doesn't depend solely on summer tourism.
The single biggest factor for achieving above-average occupancy in Madrid is a combination of instant booking enabled, competitive pricing, and location within a 5 to 7 minute walk of a metro station.
Don't sign a document you don't understand in Madrid
Buying a property over there? We have reviewed all the documents you need to know. Stay out of trouble - grab our comprehensive guide.
What's the average monthly revenue per listing in Madrid in 2026?
As of the first half of 2026, the average monthly revenue per Airbnb listing in Madrid is approximately €1,500 ($1,755 USD), based on annual revenues of around €17,700.
The realistic monthly revenue range covering about 80% of Madrid listings falls between €900 and €2,200 ($1,050 to $2,575 USD), with significant variation based on location, property size, and host execution.
Top-performing Airbnb listings in Madrid can generate €2,500 to €3,500 per month ($2,925 to $4,100 USD) during peak periods, which means a well-run two-bedroom in Salamanca could earn €30,000 to €42,000 annually.
Finally, note that we give here all the information you need to buy and rent out a property in Madrid.
What's the typical low-season vs high-season monthly revenue in Madrid in 2026?
As of the first half of 2026, typical Airbnb monthly revenue in Madrid ranges from €900 to €1,200 ($1,050 to $1,400 USD) during low season up to €1,900 to €2,700 ($2,225 to $3,160 USD) during high season.
Low season in Madrid typically runs from mid-January through February and again in August when locals leave the city, while high season peaks during spring (March to May), fall (September to November), and the December holiday period.
What's a realistic Airbnb monthly expense range in Madrid in 2026?
As of the first half of 2026, realistic monthly operating expenses for an Airbnb in Madrid range from €550 to €1,150 ($645 to $1,345 USD) for self-managed properties, or €900 to €1,900 ($1,050 to $2,225 USD) if you use full property management.
Cleaning and turnover costs typically represent the largest expense category in Madrid, running €25 to €60 per guest changeover, which can add up to €200 to €600 monthly depending on your booking frequency.
Most Madrid Airbnb hosts should expect to spend between 35% and 55% of gross revenue on operating expenses, with self-managed hosts at the lower end and fully managed properties at the higher end.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Madrid.
What's realistic monthly net profit and profit per available night for Airbnb in Madrid in 2026?
As of the first half of 2026, realistic monthly net profit for a self-managed Airbnb in Madrid ranges from €400 to €1,050 ($470 to $1,230 USD), with profit per available night averaging €25 to €55 ($29 to $64 USD) after operating costs.
The realistic net profit range covering most Madrid listings falls between €300 and €1,100 monthly, with fully managed properties often netting €0 to €700 because management fees eat into margins.
Madrid Airbnb hosts typically achieve net profit margins of 25% to 45% on gross revenue, with self-managed hosts in strong locations hitting the upper range.
The break-even occupancy rate for a typical Madrid Airbnb is around 35% to 45%, meaning you need roughly 11 to 14 booked nights per month just to cover your operating costs.
In our property pack covering the real estate market in Madrid, we explain the best strategies to improve your cashflows.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Spain versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
How competitive is Airbnb in Madrid as of 2026?
How many active Airbnb listings are in Madrid as of 2026?
As of the first half of 2026, there are approximately 30,000 to 35,000 active Airbnb listings in Madrid, with AirDNA tracking around 33,165 total available listings across Airbnb and Vrbo.
This number has remained relatively stable compared to previous years, though the composition has shifted as Plan RESIDE pushes some hosts toward mid-term rentals and forces others out of the historic center entirely.
Which neighborhoods are most saturated in Madrid as of 2026?
As of the first half of 2026, the most saturated neighborhoods for Airbnb in Madrid are Centro (including Sol, Gran Vía, Malasaña, Chueca, La Latina, Lavapiés, and Barrio de las Letras), followed by Salamanca and Chamberí.
These neighborhoods became saturated because they combine walkability to major attractions, dense nightlife and dining options, excellent metro connectivity, and the kind of historic architecture that photographs well on listing platforms.
Relatively undersaturated neighborhoods that may offer better opportunities for new hosts include Arganzuela (near Madrid Río), Retiro (residential but well-connected), Chamartín (near business districts), and Tetuán (good value with improving infrastructure).
What local events spike demand in Madrid in 2026?
As of the first half of 2026, the main events that spike Airbnb demand in Madrid include FITUR (the international tourism fair in January), Mutua Madrid Open tennis tournament in late spring, Pride (MADO) in late June and early July, major Real Madrid and Atlético football matches, and large IFEMA congresses throughout the year.
During these peak events, Madrid Airbnb hosts typically see booking rates increase by 20% to 40% and can raise nightly prices by 30% to 60% above normal rates without losing occupancy.
Smart hosts in Madrid should adjust their pricing and block out availability at least 4 to 8 weeks before major events, as savvy travelers book early and leaving your calendar open at standard rates means leaving money on the table.
What occupancy differences exist between top and average hosts in Madrid in 2026?
As of the first half of 2026, top-performing Airbnb hosts in Madrid achieve occupancy rates of 70% to 80%, meaning their properties are booked 21 to 24 nights per month.
This compares to average hosts who typically achieve 62% to 66% occupancy, while underperforming hosts with poor listings or strict policies often struggle at 45% to 55%.
New hosts in Madrid typically need 6 to 12 months to build enough reviews and optimize their listings to reach top-performer occupancy levels, assuming they execute well on photos, pricing, and guest communication from the start.
We give more details about the different Airbnb strategies to adopt in our property pack covering the real estate market in Madrid.
What amenities do nearly all competitors offer in Madrid right now?
In Madrid's Airbnb market, certain amenities have become absolute table stakes that guests expect as standard: Wi-Fi is offered by 97% of listings, a kitchen by 89%, a washer by 80%, and heating by 78%.
Beyond these basics, air conditioning has become increasingly important given Madrid's hot summers, and strong cell signal matters because many guests are business travelers or remote workers.
To stand out in Madrid's competitive market, hosts should focus on amenities that are still relatively rare but highly valued, such as dedicated workspace setups, quality coffee machines, blackout curtains for light sleepers, and soundproofing in party-adjacent neighborhoods.
Which price points are most crowded, and where's the "white space" for new hosts in Madrid right now?
The most crowded price segment in Madrid is the €95 to €140 per night range ($111 to $164 USD), which is where most studio and one-bedroom apartments cluster, representing about 71% of all listings.
White space opportunities for new hosts exist at the €150 to €200 per night range ($175 to $234 USD) for family-ready two-bedroom apartments in well-connected but quieter neighborhoods like Retiro, Arganzuela, or the edges of Chamberí.
To successfully compete in this underserved segment, a new host would need a two-bedroom unit with genuine family amenities (crib, high chair, child-safe setup), strong natural light, a dedicated workspace, and a location that offers both metro access and neighborhood calm.
Get fresh and reliable information about the market in Madrid
Don't base significant investment decisions on outdated data. Get updated and accurate information with our guide.
What property works best for Airbnb demand in Madrid right now?
What bedroom count gets the most bookings in Madrid as of 2026?
As of the first half of 2026, one-bedroom apartments get the most total bookings in Madrid because they match the largest traveler segment (solo travelers and couples) and represent the biggest share of supply.
The breakdown by bedroom count in Madrid shows one-bedrooms at 71% of listings, two-bedrooms at 19%, three-bedrooms at 7%, and studios making up most of the remainder.
One-bedrooms dominate Madrid's Airbnb market because the city attracts a high volume of business travelers, weekend tourists, and couples who don't need extra space, and the dense apartment-style housing stock naturally produces more small units than large ones.
What property type performs best in Madrid in 2026?
As of the first half of 2026, well-designed entire-home apartments in the studio to two-bedroom range perform best for Airbnb in Madrid, accounting for about 67% of all listings and generating the most consistent bookings.
Occupancy rates across property types show entire apartments at 60% to 70%, private rooms at 50% to 60%, and townhouses or chalets at 45% to 55% due to their spikier booking patterns and higher price points.
Apartments outperform in Madrid because the city is fundamentally an apartment-first market with dense urban housing stock, excellent metro connectivity that rewards central locations, and a guest base that values convenience and walkability over space.
What location traits boost bookings in Madrid right now?
The location traits that boost Airbnb bookings in Madrid combine practical connectivity with livability: being within 5 to 7 minutes walk of a metro station is essentially required, while proximity to a "magnet" area like Sol, Retiro Park, or the Prado-Recoletos axis drives premium pricing.
Secondary traits that matter include easy access to Atocha station for rail travelers, quiet sleeping conditions despite central location (interior-facing bedrooms, double glazing), and increasingly, a building and zone configuration that's compliant under Plan RESIDE.
In 2026, compliance has become a location advantage in itself: a properly registered unit in a permitted building configuration can market itself confidently while competitors in legal gray zones face delisting risk, making regulatory clarity a genuine booking driver.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Madrid, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| AirDNA | AirDNA is the industry-standard data provider for short-term rental market metrics, tracking Airbnb and Vrbo listings with consistent methodology across cities worldwide. | We used AirDNA for the core market data: active listings, ADR, occupancy rates, revenue, bedroom composition, amenity prevalence, and minimum-stay distribution. We converted their USD figures to euros using ECB rates. |
| BOCM Plan RESIDE | The Boletín Oficial de la Comunidad de Madrid is the official regional bulletin where binding planning modifications are published. | We used this as the definitive source for Madrid's zoning restrictions on tourist apartments. We referenced it to explain where hosts can and cannot operate based on building configuration and zone. |
| BOE (Real Decreto 1312/2024) | The Boletín Oficial del Estado is Spain's official gazette where national laws and regulations are published with legal authority. | We used this for the national registration requirement and platform listing compliance rules. We cross-referenced it with MIVAU guidance to explain what hosts need for their online listings. |
| Comunidad de Madrid (Normativa) | This is the regional government's official page listing the binding rules for tourist apartments and VUT in the Madrid region. | We used it to anchor the regional legal framework and distinguish between Madrid city rules and Madrid region rules. We cross-checked city planning against this baseline. |
| Comunidad de Madrid (Sede) | This is the official e-government procedure page that specifies the actual requirements to start VUT activity. | We used it to list the practical compliance requirements including technical certificates and insurance. We triangulated this with regional decree listing and city planning rules. |
| Madrid City (Plan RESIDE announcement) | This is the city's own communication explaining the intent and practical direction of Plan RESIDE. | We used it to translate the planning changes into plain language for hosts. We cross-referenced with the BOCM legal text to avoid relying on marketing language alone. |
| Madrid City (Enforcement announcement) | This is the city's official statement about enforcement approach and licensing posture toward tourist apartments. | We used it to reflect the compliance risk and enforcement climate in Madrid. We used it to confirm the market is in a regulatory tightening phase. |
| MIVAU (Ventanilla Única Digital) | This is Spain's Ministry of Housing portal explaining roles and responsibilities for short-term rental registration. | We used it to clearly separate responsibilities: national registry number versus regional tourism registration versus city planning permission. We explained what platforms will check. |
| MIVAU (Platform guidance) | This is ministry guidance aimed at platforms like Airbnb, explaining listing compliance requirements. | We used it to explain that listings need to display registration numbers for online commercialization. We framed the delisting risk for hosts without proper documentation. |
| Colegio de Registradores | This is the operational channel through which the national registration identifier (NRA) is requested and managed. | We used it to make the registry requirement concrete and practical. We referenced it to support the guidance that hosts need paperwork ready before listing. |
| Agencia Tributaria (AEAT) | AEAT is Spain's tax authority, and its procedure pages are definitive for reporting obligations. | We used it to explain the reporting ecosystem around tourist-use dwellings. We referenced it as a reminder that profitability calculations must account for tax compliance. |
| INE (National Statistics Institute) | INE is Spain's national statistics institute and the gold standard for official tourism demand data. | We used it as an objective demand and seasonality proxy for Madrid tourism. We triangulated INE hotel data with AirDNA STR metrics to validate visitor patterns. |
| European Central Bank | The ECB reference rate is the standard official benchmark for currency conversion used across Europe. | We used it to convert AirDNA's USD-denominated metrics into euros. We used early January 2026 reference points to stay consistent with our date framing. |
| BOCM Decreto 79/2014 | This is the official regional bulletin where the VUT decree was originally published as legally controlling text. | We used it as ground truth for the regional VUT regime including definitions and compliance requirements. We then layered city planning rules on top. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Spain. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.