Renting a home in Andorra: rents, leases and Llei 11/2026

Why is it so hard to find housing in Andorra?

The territory is mountainous and settlement is concentrated on the valley floors. The population, meanwhile, is growing: 90,021 inhabitants at 31 July 2026, i.e. 1.9% more in one year, for 41,071 households at 30 June 2026. The legislature itself refers to “difficulties in accessing housing” and seeks to “rebalance supply and demand” in a country with limited resources (preambles to Llei 11/2026 and Llei 5/2025, free translation).

Since 2019, the State has intervened heavily in the rental market: compulsory extensions of leases, creation of a public stock of affordable housing, a ban on foreign investment in tourist accommodation, suspension of new authorisations of flats and studios as homes for tourist use. Llei 11/2026 prepares the way out of this exceptional regime.

The public stock of affordable housing is reserved for people who can show at least five years of legal, permanent and uninterrupted residence, as well as a housing need. A newcomer therefore does not have access to it.

How much does rent cost in Andorra? Official figures and listings

According to the Departament d’Estadística, resident tenant households paid an average of €9.5/m² a month in 2024, excluding charges, i.e. 10.6% more than in 2023 (€8.6/m²). The price is higher for a recent tenancy, which may reflect the cost of access to housing according to the official note: €13.0/m² for households that had moved in less than a year earlier, up 11.4% over one year. For 70 m², this represents about €665 a month at the average rent and €910 at the price for a recent tenancy (indicative calculation: 70 × €9.5 and 70 × €13.0).

Source: Departament d’Estadística, note A062 of 3 February 2026, based on the household budget survey (sample-based estimate). Amounts excluding water, heating, garage and storage room. In 2020, the average rent was €6.8/m². Next edition, with 2025 data: December 2026.

For the same floor area, the more recent the move, the higher the rent per square metre, the note observes. It also shows that renting predominates: 64.5% of the main residences of resident households were rented in 2024.

On top of the rent, several costs need to be allowed for:

• the deposit (fiança) provided for in the lease and, if you go through an agency, its fees;
• charges and utilities: electricity, water, heating; the “housing, water, energy” item of the price index rose by 5.0% in one year (August 2026);
• the foc i lloc, from €5 to €50 a year per adult aged 18 to 65, depending on the parish;
• any parking spaces and storage rooms, which may have a separate price.

As residential rent is not subject to IGI, no tax on consumption is added to it. To see how this item compares with the others, see the items in the budget for living in Andorra.

What rules apply to a new lease?

Renting a home is governed by the law on urban leases (Llei d’arrendaments de finques urbanes), as amended by Llei 11/2026. The key points:

• minimum term of five years for a home used as a habitual and permanent residence, unless a clause allows the landlord to take the home back, after at least two years, for themselves or a relative in the first or second degree;
• at the end of this term, tacit renewal for one-year periods, unless notice is given, with the notice period extended from three to six months from 1 January 2027;
• according to the Govern, the tenant may give up the lease with one month’s notice, without penalty;
• rent on a residential home is subject to IGI at the rate of 0%, including parking and furniture rented with it;
• the landlord pays the parish tax on rental income, from 0.4 to 4% of rents depending on the parish;
• the tenant gives a copy of their lease to the comú of their parish, which enters it in the register of leases (SICAR): see the role of the comuns.

Llei 11/2026 adds a prohibition that directly concerns newcomers: from 1 January 2027, a residential home may not be used for the economic activity of a non-resident person. This activity must be carried on in commercial premises, a coworking space or other business premises.

Llei 11/2026: what changes between 2027 and 2030

Since 2019, many leases have been extended by operation of law. Llei 11/2026 of 4 June 2026, which enters into force on 1 January 2027, organises a gradual return to freedom of contract for leases signed in 2021 or earlier. Depending on the year of signature, or the rent per square metre, the landlord will be able to end them:

During the extension, or in the event of renewal, the rent rises by no more than the previous year’s CPI, once a year. At each expiry date, the lease is either tacitly renewed or terminated by the landlord with at least six months’ notice.

When one of these leases ends and a new lease is signed for the same home, with the same tenant or another, the rent increase is capped for five years, according to the price per square metre of the old lease:

In 2027, the CPI-linked part is limited to 2.5% in the first year. If the old rent was below the affordable price of the public housing stock of the parish (from €7.95/m² in Canillo to €10.70/m² in Andorra la Vella and Escaldes-Engordany), the landlord may make up the difference over three years. A landlord who exceeds these caps is liable to a fine equal to 50% of a year’s rent, and the overpayment is deducted from subsequent rents.

For a newcomer, the effect is twofold. The lease you sign will in principle fall under the general regime: five years minimum, rent set by the contract. But if the home is coming out of an old regulated lease, the caps above apply to your rent: ask the landlord. The details of the reform are in our news item Housing: Llei 11/2026 regulates leases from 2027 to 2030.

What housing do you need to obtain residency?

Residence permits require housing in Andorra, and the law specifies what is required:

Registration in the parish census triggers payment of the foc i lloc, and it is at that point that the comú records your lease. Keep the contract, the proofs of payment and the census certificate: they will be useful for your formalities. These steps are detailed in our guide to the procedures for obtaining residency.

How do you find a long-term rental in Andorra?

1. 1

   Start early

   Housing is a prerequisite for the residence application. Start your search before submitting your application and plan visits on the spot.

2. 2

   Compare several parishes

   Journeys, atmosphere and parish taxes vary from one parish to another; the less central parishes offer other possibilities than the Andorra la Vella and Escaldes-Engordany conurbation. See our comparison: where to live in Andorra.

3. 3

   Check the floor area and the price per square metre

   The floor area is recorded in the comú’s land register. The price per square metre is the reference Llei 11/2026 uses to cap increases.

4. 4

   Read the lease closely

   Term (five years minimum), clause allowing the landlord to take the home back, rent revision, deposit, allocation of charges.

5. 5

   Give a copy to the comú

   When you register in the census, send your lease to the comú, which records it.

Buying to let: what is prohibited, what is encouraged

If you are considering buying a home to let, two sets of rules apply. First, foreign investment in tourist apartments and in homes for tourist use is prohibited (Llei 5/2025). Second, long-term letting is encouraged:

• a 90% reduction in the foreign property investment tax if the home is let at an affordable price, as a habitual residence, for at least 10 years;
• IGI reduced to 3.5% when a private individual buys a home intended for residential letting for at least five years, where the sale is subject to IGI (generally new builds);
• the State’s share of property transfer tax (1%) not due if the buyer lets the home as a residence for at least five years.

The purchasing rules for foreign nationals (authorisation, cap, taxes) and official sale prices are detailed in our guide to buying a flat in Andorra.