Temporary vs Long-Term Rental in Madrid: Which Contract to Sign
Why so many Madrid listings are temporary, how the October 2026 decree changed the rules, when a temporary contract counts as a normal lease, and which to choose for a 6 to 12 month stay.
In Madrid, a temporary rental (alquiler temporal, formerly de temporada) is for people living away from their usual home for a real, provable reason, such as a study course or a work posting. Since October 8, 2026, it must last more than 31 days and generally no more than 12 months. Without a genuine reason, it counts as a long-term lease.
Why are so many Madrid listings temporary?
Temporary contracts let landlords avoid the five-to-seven-year minimum of a normal lease and the limits on rent updates. In central districts, furnished temporary flats make up a large share of adverts and usually cost more per square meter. Real Decreto-ley 29/2026, validated by the Congress’s standing committee on November 12, 2026, rewrote these contracts to close that route for people who are actually settling in Madrid.
What are the legal differences?
| Rule | Long-term (main home) | Temporary home |
|---|---|---|
| Reason | Your permanent home | Real, provable temporary reason, written in the contract |
| Duration | Minimum 5 years (7 with a company landlord) at your option | More than 31 days, generally up to 12 months |
| Leaving early | After 6 months, 30 days’ notice | After 1 month, 10 days’ notice |
| Extra guarantee | Up to 2 months’ rent | Up to 1 month’s rent |
| Rent on a new contract with the same flat | Free, then annual updates capped | Increase limited to the IRAV rental index |
| Agency fees | Paid by the landlord | Paid by the landlord |
The rules are in articles 2, 7, 9 bis, 11 and 36 of the consolidated LAU. Regional rules on temporary and room rentals can add to them; the Comunidad de Madrid had not issued its own as of November 2026.
When does a temporary contract become a normal lease?
The law treats it as a long-term lease from the first day, with all the rights of a main-home tenant, in three cases:
- the contract does not state a temporary reason, or the reason is not real;
- it runs past 12 months without the reason justifying it;
- the same landlord and tenant chain more than two temporary contracts for the same flat.
The landlord has to prove the temporary reason. A contract that calls itself “seasonal” while you have moved to Madrid for a permanent job, registered your address and enrolled your children in school is hard to defend as temporary. If you think your contract is in this situation, get legal advice before acting on it.
Contracts signed before October 8, 2026 keep their terms until renewed; a renewed contract follows the new rules.
What about rooms and registration numbers?
Room rentals are now covered by the same law. The total rent of all room contracts in one flat cannot exceed the rent for the whole flat. The national short-term rental registration number, required since July 2025, was annulled by the Supreme Court in May 2026, so listings no longer need it. Stays of 31 days or less offered to tourists are tourist lets, governed by regional tourism rules; see tourist flat rules in Madrid.
What should a temporary contract include?
Read the contract before paying anything. A sound temporary contract states:
- the temporary reason, specific to you (for example, a named master’s program or a posting with dates);
- start and end dates, with a total of more than 31 days and generally no more than 12 months;
- the rent, what is included (furniture, utilities, cleaning) and how bills are shared;
- the legal deposit and any extra guarantee (the extra guarantee cannot exceed one month’s rent);
- an inventory of furniture and appliances, ideally with photos.
If the reason is left blank, written vaguely or does not match your situation, ask for it to be corrected. A contract without a genuine temporary reason is treated as a long-term lease, which protects you, but proving it later can take time and legal costs.
Pay attention to what happens at the end. A temporary contract ends on its date unless the temporary reason still exists and both parties expressly agree to extend it. If you need to stay longer and the landlord offers a new temporary contract instead, remember that chaining more than two temporary contracts turns the first one into a long-term lease.
Which should you choose for a 6 to 12 month move?
A temporary contract suits you if your stay really is temporary: a study year, an internship, a fixed-term posting, or the first months while you look for a permanent flat. It is usually furnished and quick to sign, but costs more.
A long-term lease suits you if Madrid is now your home, even if you are not sure you will stay five years. You can leave after six months with 30 days’ notice, and you get stable rent and stronger protection. You also need a stable address for the padrón and residency paperwork; see registering on the Madrid padrón.
Bottom line
If a landlord offers a “temporary” contract for what is really your new home, ask for a standard lease instead. You can still leave after six months, so you lose little flexibility and gain the protection the law intends.
FAQ
Can I register on the padrón with a temporary contract?
Yes. The padrón records where you actually live, and a rental contract of any kind is accepted as proof of address.
What reasons count as temporary?
The law requires a real, provable reason why you are away from your usual home. Studies, temporary work, medical treatment or waiting for your own home to be ready are typical examples. The contract must state it.
How much deposit can a temporary landlord ask?
The legal deposit plus an extra guarantee of no more than one month’s rent. See rental deposits in Madrid.
