Everything you need to know before opening a Guest-House in the Azores!

If you have a property waiting to be rented and you are thinking of registering it as Guest-House but have some doubts, throughout this article we will try to clarify them!

With the emergence of low-cost airlines, the number of tourists visiting the archipelago has increased exponentially and led to the emergence of other types of hotels in addition to hotels! It is difficult to find a hotel at every point on the island of São Miguel, for example, but relatively easy to find local accommodation on the island, not only in the center but from north to south.

The fact that the Azores Destination besides its beautiful landscape transmits a great security to those who visit us and the accessibility is increasing and at lower prices allows more people to have the possibility to travel and stay in a property, with all the comfort they need.

This increase in the number of Guest-House units did not happen just to meet the demand, but because in fact this is a profitable area and in which many Azoreans are seeking to integrate in order to guarantee an extra income from a property that they do not use but that may have great potential!

 

In this way, if this is your case, continue reading this article and we will, in a simplified way, explain to you the most important topics when it comes to the registration of a Local Lodging. In case you need more information we advise you to read Ordinance no. 83/2016, of August 4, amended by Ordinance no. 23/2018, of March 16 (article 9) and by Ordinance no. 101/2020 of July 28.

When opening a local accommodation unit, it can be integrated in one of the following typologies:

  • Rooms in the landlord’s residence (when they are up to 3 rooms);
  • Dwelling;
  • Apartment;
  • Accommodation Establishments (when they are more than 3 rooms);
  • “Hostel”.

To register a local accommodation unit you need a valid utilization permit or title deed for the property, with the exception only of properties built before Decree Law 38.382 of August 7, 1951 came into effect.

As the applicant must deliver to the respective City Hall a request duly filled out and accompanied by some documents:

  • Document proving the legitimacy of the applicant;
  • Term of responsibility, issued by a qualified technician, that the electric, gas, and water heater installations comply with the legal norms in effect;
  • Plan of the property, indicating the accommodation units to be used for the intended activity;
  • Name and tax identification number of the owner of the establishment, for electronic consultation of land registries.

After submission and validation of all these documents, the Municipality must conduct an inspection of your property in order to verify compliance with all necessary requirements, at this stage the property must already meet all the conditions of a Local Accommodation!

Upon verification of compliance, the Municipality will communicate to the applicant and the Regional Tourism Board, within 15 days, some information such as maximum capacity and number of rooms. Your registration will be given a sequential number that must be indicated in all correspondence, advertising or publicity, by any means.

In addition, the Municipality will also provide you with a plaque which you will need to display outside your house near the entrance to serve not only as a guide for your guests, but also to identify the property as a duly licensed local accommodation unit!

 

It is a not very long process and can generate great income if managed the right way, if you do not have the necessary availability, you can always contact Azores Beds! We take care of everything for you, from legalizing the property to managing the reservations!