Lanzarote

As of May 2026, Puerto del Carmen, Playa Blanca, Costa Teguise, Arrecife have 4,399 active Airbnb and VRBO listings. This represents a 17% decrease from the previous year.

The average Airbnb or VRBO in Lanzarote generates €31K per year. High-performing properties earn €64K/year, while low-performing properties earn €13K/year. This wide revenue spread suggests that market performance is heavily bifurcated, with top-tier assets capturing significantly higher value despite a contraction in total supply.

Airbnb and VRBO can be profitable in Lanzarote. Average annual revenue is €31K with 54% occupancy. High-performing properties earn up to €64K/year. The delta between average and high performers indicates that revenue potential is largely driven by asset-specific performance rather than broad market trends.

The average occupancy rate for Airbnbs and VRBOs in Lanzarote is 54%. This occupancy level, combined with an average nightly rate of €171, results in a RevPAR (revenue per available room) of €54 per day.

4+ bedroom properties demonstrate the strongest performance in Lanzarote, with annual revenue of €58K. These properties balance operating costs and rental demand most effectively in the Lanzarote market. Property performance varies significantly by location, amenities, and management quality.

Short-term rental regulations vary by jurisdiction in the Lanzarote area. Puerto del Carmen: Moderate. Tourist license (VV) required, property standards must be met. Registration enforced, illegal rentals face fines. Playa Blanca: Moderate. VV license mandatory, building compatibility checks required. Authorities actively monitor platforms. Costa Teguise: Moderate. VV tourist license needed, compliance with Lanzarote regulations. Enforcement present with inspections. Arrecife: Moderate. VV license required, stricter in residential zones. Active checks on unlicensed properties. Always verify current regulations with local authorities and obtain necessary permits before operating a short-term rental.

The Lanzarote Airbnb and VRBO market is currently showing balanced conditions. Supply has declined 17% year-over-year, while RevPAR has increased 0%. This indicates balanced supply-demand dynamics. The reduction in inventory without a corresponding revenue spike suggests the market has reached a point of stabilization.

Launch around December, 2-3 months before peak winter season (March peaks). This pre-peak timing lets you build reviews when competition is 25% lower than peak months. Avoid launching during peak season when established listings dominate, or slow months (July-May) when gaining traction is harder.

The most common amenities in Lanzarote listings include: Kitchen (95%), Washing Machine (90%), Tv (74%), Pool (59%), Balcony (55%). Amenities that boost revenue the most include Pool, Hot Tub, Air Conditioning, with Pool properties earning approximately 56% more (€44K/year vs €28K/year).

Monthly estimated revenue per listing in Lanzarote over the last 12 months: May: €1K, June: €1K, July: €1K, August: €1K, September: €1K, October: €1K, November: €2K, December: €2K, January: €2K, February: €2K, March: €3K, April: €2K. These figures are based on RevPAR (revenue per available room) multiplied by the number of days in each month.

The overall average nightly rate in Lanzarote is €171, up 34% year-over-year. By property size: 1-bedroom properties average €107/night, 2-bedroom properties average €149/night, 3-bedroom properties average €253/night, 4+ bedroom properties average €398/night. Rates peak in December and are lowest in May.

Guests in Lanzarote book an average of 46 days in advance, down 25% from last year. By property size: 1-bedroom: 44 days, 2-bedroom: 45 days, 3-bedroom: 46 days, 4+ bedroom: 52 days. Larger properties tend to have longer booking windows as guests plan group trips further ahead.

Over the past year, the Lanzarote Airbnb and VRBO market has seen the following changes: supply declined 17%, revenue per listing increased 0%, occupancy fell 2%, average nightly rates increased 34%, and lead time decreased 25%. These shifts highlight a transition toward higher-priced, shorter-notice bookings amid a tighter supply environment.

In Lanzarote, Saturday sees the highest booking demand while Monday has the lowest. Nightly rates peak on Saturday and are lowest on Thursday. Weekends show 5% higher occupancy than weekdays.