The number of Holiday Lets has fallen in Canary Islands but demand has increased
The National Institute of Statistics (INE) has reported a notable drop in holiday rental properties across the Canary Islands, despite continued high demand from visitors. At the end of March, the islands had 43,381 registered holiday lets, marking a 10% decrease compared to the same period in 2025. The number of available guest places also fell by 12% year-on-year, down to 178,037.
The data shows that Tenerife continues to dominate the sector, accounting for 41% of all holiday rental properties. It is followed by Gran Canaria with 22%, Lanzarote with 16%, and Fuerteventura with 14%.
Despite the overall decline in numbers, demand remains exceptionally strong. In March, 94.2% of listed holiday homes received at least one booking through digital platforms.
Longer stays and rising income
Visitors are also staying longer. The average stay reached 5.67 nights, slightly down from February’s 6.02 nights but significantly higher than the 4.28-night average recorded last year.
Total revenue from holiday rentals rose to €120.45 million, an increase of €3.3 million compared to March 2025.
The decline had already begun to emerge in February, when the number of holiday lets dropped to 42,896 - down 4% year-on-year and the lowest level seen in the past two years. Even then, more than 92% of properties secured at least one booking.
Housing pressure remains
However, the reduction in holiday rentals is not easing pressure on the local housing market. Reports indicate that fewer short-term lets are not translating into more long-term rental properties.
The residential market across the Canary Islands remains under strain, with ongoing shortages for residents and little sign that the current trend will provide relief any time soon.
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