Your company sends you to Madrid for three months. You book a hotel for the first two weeks “while you get organised” and, before you realise it, you have spent two months living in a 22-square-metre room, eating out every day and taking your clothes to a nearby laundrette.
It is a common pattern, and it almost always comes from the same assumption: there seems to be nothing between a hotel and a twelve-month residential lease.
There is, and it involves two different types of accommodation that are often confused. An aparthotel is a hotel establishment with cooking facilities. A furnished monthly apartment is a home rented under a tenancy agreement.
They do not serve exactly the same purpose, and the point at which one option stops making sense and the other becomes more suitable is usually fairly clear.
This guide compares the three alternatives using 2026 market data and the regulations currently applicable in Madrid.
This article provides general information only and does not replace legal or tax advice tailored to your particular circumstances.
Key takeaways
- An aparthotel is not simply “an apartment with services”. Legally, it is a hotel establishment with facilities for preparing food, under Madrid’s Decreto 19/2023. You are paying for an accommodation service, not renting a home.
- Hotels in Madrid charged an average of €181.4 per occupied room per night during the first half of 2026, 3.2% more than a year earlier. That is approximately €5,440 for 30 nights, according to the STR and Cushman & Wakefield Hotel Barometer.
- The nature of the invoice changes: hotels and aparthotels provide hospitality services subject to VAT, whereas renting a home without services associated with the hotel industry is exempt from VAT, according to the Spanish Tax Agency.
- Under a seasonal tenancy, the minimum statutory deposit is two months’ rent, twice the deposit required for a standard residential lease, according to Article 36 of Spain’s Urban Leases Act.
- Spain’s national Single Rental Registry was annulled by the Supreme Court on 21 May 2026. Regional registers remain in force, and the relevant regional requirements must be checked in Madrid.
What exactly is an aparthotel, and how does it differ from a monthly apartment?
An aparthotel, also known in Spanish law as a hotel-apartamento, is a hotel establishment that, in addition to meeting the requirements applicable to hotels, provides suitable facilities for storing, preparing and eating food.
This is the definition established by Madrid’s Decreto 19/2023.
A monthly apartment, by contrast, is a home rented under a tenancy agreement.
The distinction does not depend on the size of the accommodation or whether it has a kitchen. It is a difference in legal status, and that determines the type of contract, invoice, deposit, services and rights of the occupant.
In an aparthotel, you are a guest. You make a booking rather than signing a tenancy agreement. There is usually a front desk, cleaning services, towel changes and a nightly rate. The relationship is governed by regional tourism regulations, and the company provides an accommodation service.
In a monthly apartment, you are a tenant. You sign a seasonal tenancy governed by Article 3 of Spain’s Urban Leases Act, Law 29/1994, which includes leases classified as being for a use other than permanent housing.
In this second arrangement, you pay a deposit, have exclusive use of the property for the agreed period and either pay the utilities separately or have them included under the contract. The provider does not necessarily enter the apartment every day to clean it or provide hotel services.
A third category that frequently appears in search results should also be distinguished: the vivienda de uso turístico, or tourist-use dwelling.
A tourist-use dwelling is governed by its own regional tourism regulations and is generally intended for short stays. It is not the natural legal arrangement for a professional posting lasting several months, even though some properties may be marketed in that way.
How much does each option cost in Madrid?
Hotels in Madrid charged an average of €181.4 per occupied room per night during the first half of 2026, according to the STR and Cushman & Wakefield Hotel Barometer.
The average advertised residential rent in Madrid reached €23.7 per square metre per month in June 2026, according to idealista.
There is a difference of several thousand euros per month between those two reference points.
Before comparing the figures, two caveats should be taken into account.
First, the €181.4 figure applies specifically to the city of Madrid, while the hotel figures by star category published by Spain’s National Statistics Institute are national averages. They are useful as a reference but should not be treated as exact aparthotel prices in Madrid.
Second, these are market averages rather than fixed quotations. Longer stays may be negotiated below the publicly advertised nightly rate.
Hotel: Madrid average
Approximate cost for 30 nights: €5,440.
Scope of the data: city of Madrid, first half of 2026.
What it normally includes: a hotel room and daily services, usually without a complete private kitchen.
Four-star establishment
Approximate cost for 30 nights: €3,770.
Scope of the data: national average published by Spain’s National Statistics Institute in May 2026.
How it should be interpreted: a broad indication of the price band in which an urban aparthotel of a similar category may fall, not a Madrid-specific quotation.
Three-star establishment
Approximate cost for 30 nights: €2,840.
Scope of the data: national average published by the National Statistics Institute in May 2026.
How it should be interpreted: a broad indication of a lower hotel accommodation price band.
Residential rental of 60 m² in Madrid
Approximate cost: €1,420 per month.
Scope of the data: city of Madrid, calculated using the €23.7 per square metre figure published by idealista in June 2026.
What it represents: a conventional residential property, normally unfurnished, without utilities included and rented under a long-term contract.
Where does a furnished monthly apartment fit?
A furnished mid-term apartment will generally sit between a conventional residential rental and hotel accommodation.
It costs more than the residential rental used as a reference because it may include:
- Complete furniture.
- Utilities active from the date of arrival.
- An equipped kitchen.
- Bed linen and household items.
- Internet.
- Maintenance.
- Contractual flexibility.
- Management services.
At the same time, it may cost less than an aparthotel because it does not need to maintain a permanently staffed reception desk, daily housekeeping or the full infrastructure of a hotel establishment.
There are no sufficiently reliable public statistics on the average price of furnished mid-term apartments in Madrid. It would therefore not be responsible to assign a single average figure to the category.
The final price will depend on the neighbourhood, size, duration, equipment, utilities included and services offered by the provider.
After how many nights does an aparthotel stop being cost-effective?
There is no universal threshold, but there is a useful practical reference point: around the fourth week.
Before that point, an aparthotel may offer valuable flexibility without requiring a longer contractual commitment.
After that point, the nightly rate continues to accumulate, while a monthly rental spreads its fixed costs across a longer period.
The difference can be explained by how each price is constructed.
An aparthotel charges by the night because it assumes that the room may return to the market the following day. The risks associated with occupancy turnover and availability are built into the rate, even when the same guest stays for 90 consecutive nights.
A monthly apartment starts from the opposite assumption. The tenancy secures occupancy for a fixed period, so the price can be calculated for the stay as a whole.
The main difference between the two models is not necessarily the level of luxury. It is which party absorbs the uncertainty surrounding the duration of the stay.
Three factors can move the threshold in either direction:
- Food. Without a complete kitchen, eating out adds a daily cost that is rarely included in the initial comparison.
- Laundry. The difference between paying for external laundry services and having your own washing machine becomes especially noticeable after the first month.
- Certainty of dates. When a project may end after three weeks, the flexibility of an aparthotel has real value. When the departure date is already known, paying a nightly rate for several months may stop making financial sense.
For a stay of two or three weeks with uncertain dates, an aparthotel may be a reasonable option.
For a three-month stay with a confirmed departure date, a furnished monthly apartment will generally be better aligned with the occupant’s actual needs.
What you sign in each case: contract, invoice and deposit
The most important difference is not always the price. It is often the documentation.
In an aparthotel, you accept an accommodation booking and receive an invoice for hospitality services subject to VAT.
In a monthly apartment, you sign a seasonal tenancy under Article 3 of the Urban Leases Act, pay a deposit and, when no services associated with the hotel industry are provided, the rent is exempt from VAT.
The Spanish Tax Agency draws the distinction according to whether the landlord provides services associated with the hotel industry.
When the landlord does not provide those services, the rental is VAT-exempt. When those services are provided, the transaction may be taxed at the reduced VAT rate of 10%.
It is important to understand what is considered a hotel-type service.
Cleaning performed between the departure of one tenant and the arrival of another is not, by itself, considered a service associated with the hotel industry.
The same applies to changing bed linen only at the beginning and end of the stay.
Services that may be treated as hotel services include:
- Regular cleaning during the stay.
- A permanently staffed reception desk.
- Laundry services.
- Catering.
- Other continuous services associated with a hotel establishment.
The deposit is another important distinction.
Under a seasonal tenancy, Article 36 of the Urban Leases Act establishes a minimum deposit of two months’ rent.
The landlord may request additional guarantees, and the deposit must be lodged with the competent regional body in accordance with the applicable regulations.
Aparthotel or hotel
What you sign: an accommodation booking.
Invoice: hospitality services subject to VAT.
Deposit: generally not required in the same way as under a tenancy agreement; advance payment or a payment-card guarantee may be requested.
Utilities: included in the rate.
Leaving early: governed by the cancellation conditions of the booking.
Monthly apartment
What you sign: a seasonal tenancy under Article 3 of the Urban Leases Act.
Invoice: the rent is VAT-exempt when no services associated with the hotel industry are provided.
Deposit: two months’ rent as the statutory minimum.
Utilities: may be paid separately by the tenant or included, depending on what has been agreed.
Leaving early: governed by the termination or early-exit clause included in the contract.
Before booking either option, ask for the following in writing:
- How the accommodation will be invoiced.
- Which services are included.
- What happens if you need to leave early.
- Which amounts will be refunded.
- Which penalties may apply.
These are some of the issues most likely to cause disputes and among those least frequently clarified before booking.
Can you register as a resident?
Spain’s municipal register, known as the padrón, records where a person actually lives.
The official technical instructions for the register, set out in the Resolution of 17 February 2020, allow occupation to be demonstrated through a current tenancy agreement accompanied by the latest rent receipt, without establishing a general minimum duration.
There is, however, an important qualification.
The instructions refer to residential leases used as a habitual residence, while a seasonal tenancy is formally classified as a lease for a use other than permanent housing.
For this reason, some municipal offices may request additional evidence.
The absence of the usual occupancy document does not necessarily prevent registration. The same resolution allows the local authority to verify through other means that the person genuinely lives at the address and, where this is demonstrated, to register them.
The purpose of the padrón is to record where a person actually lives, not only the category of contract they have signed.
The situation may be more complicated in an aparthotel because the occupant has an accommodation booking rather than a tenancy agreement over a home.
Registration may be particularly relevant for:
- Applying for a public healthcare card.
- Completing certain immigration procedures.
- Applying for a school place.
- Demonstrating residence in the municipality.
- Accessing certain public services.
When the stay will last several months or involves relocating a family, the procedure should be checked with Madrid City Council in advance.
Other needs also become more relevant after the first month:
- Having a stable address for parcels and correspondence.
- Being able to contract or use services associated with the address.
- Becoming part of a neighbourhood.
- Having nearby shops and everyday services.
- Living in a property that supports a normal daily routine.
To choose the most suitable area, you can read our guide to Madrid neighbourhoods by lifestyle.
Which regulations apply in Madrid in 2026?
The applicable regulations depend on the type of accommodation.
Aparthotels are governed by Decreto 19/2023, which regulates hotel establishments in the Madrid region.
Tourist-use dwellings are governed by Decreto 79/2014, as amended by Decreto 27/2026.
Seasonal tenancies are governed primarily by Spain’s national Urban Leases Act.
The most significant change introduced in 2026 affects tourist-use dwellings.
Decreto 27/2026, in force since 26 April 2026, introduced requirements including:
- Express authorisation from the building’s owners’ association.
- A suitability certificate for tourist-use dwellings.
- Restrictions on using publicly protected housing for tourist accommodation.
- A transitional regime for certain properties.
The annulment of Spain’s national Single Rental Registry must also be taken into account.
The Third Chamber of the Supreme Court annulled the registry in a judgment dated 21 May 2026, published in the Spanish Official State Gazette.
According to the judgment, the State did not have the authority to create a national register that overlapped with the registers operated by Spain’s autonomous regions.
In practice, this means:
- The national rental registration number is no longer required.
- The Digital Single Window remains operational for the exchange of data.
- Regional registers remain in force.
- In Madrid, the regional registration applicable to the relevant type of accommodation should be checked.
This does not change the basic position for mid-term stays: a properly documented seasonal tenancy, with the reason for the stay and the dates recorded in writing, remains the usual legal arrangement for a temporary stay lasting several months.
Frequently asked questions
Is an aparthotel the same as a tourist apartment?
No.
An aparthotel, also known as a hotel-apartamento, is a hotel establishment governed by Decreto 19/2023 in the Madrid region.
A tourist-use dwelling is governed by Decreto 79/2014, as amended by Decreto 27/2026.
They are different categories with different requirements, services and registration systems.
How much does one month in a Madrid aparthotel cost?
There is no official statistic specifically covering aparthotels.
As a broad reference, the national average daily rate in May 2026 was €125.7 for four-star establishments and €94.8 for three-star establishments, according to Spain’s National Statistics Institute.
That would place the cost of 30 nights at approximately €2,840 to €3,770.
The Madrid hotel average during the first half of 2026 was higher, at €181.4 per occupied room per night.
These figures are market references rather than fixed rates for a particular stay.
Do I need to register as a resident if I am staying for only three months?
There is no single answer that applies to every situation.
Registration in the padrón may be necessary or useful when applying for a healthcare card, completing certain immigration procedures or requesting a school place.
When the stay lasts several months or involves family members, it is advisable to consider the procedure in advance.
In an aparthotel, you will not have the same tenancy agreement that normally helps demonstrate occupation of a residential property.
Does VAT apply to the rental of a monthly apartment?
It depends on the services included.
The rental is exempt from VAT when the landlord does not provide services associated with the hotel industry, in accordance with the criteria published by the Spanish Tax Agency.
When services such as regular cleaning during the stay, a permanently staffed reception desk, laundry or catering are provided, the transaction may be taxed at the reduced rate of 10%.
Cleaning performed only between the departure of one tenant and the arrival of another is not, by itself, considered a hotel-type service.
What deposit can be requested under a seasonal tenancy?
The minimum statutory deposit is two months’ rent under Article 36 of the Urban Leases Act for leases classified as being for a use other than permanent housing.
The landlord may request additional guarantees, which should be clearly distinguished from the statutory deposit.
The deposit must be lodged with the competent regional body in accordance with the applicable regulations.
Is the national rental registration number still mandatory?
No.
The Supreme Court annulled Spain’s national Single Rental Registry in a judgment dated 21 May 2026.
The Digital Single Window remains operational for the exchange of data, and regional registers continue to apply.
In Madrid, the regional registration applicable to the relevant category of accommodation should be checked.
How to decide by asking three questions
How many nights will you stay?
When the stay will last fewer than three or four weeks and the dates are uncertain, a hotel or aparthotel may provide the necessary flexibility.
When you will remain for more than a month and already know the departure date, a furnished monthly apartment may be more suitable.
Will you live in the accommodation or only sleep there?
When you need to cook, do laundry, receive parcels and maintain an everyday routine, a residential property offers clear advantages.
When the assignment mainly involves meetings, airports and occasional overnight stays, a hotel may perform that role more effectively.
Do you need to register as a resident?
When you need to demonstrate that you genuinely reside in Madrid, a tenancy agreement will generally provide a more appropriate documentary basis than a hotel booking.
You can browse the furnished apartments available in Madrid or find answers to specific questions about contracts and stays in our frequently asked questions.