diff --git a/vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name-tests.patch b/vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name-tests.patch
new file mode 100644
index 0000000..113ac88
--- /dev/null
+++ b/vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name-tests.patch
@@ -0,0 +1,50 @@
+From bef59efe6b8ba0bef824fcec460a1d34c546c2c3 Mon Sep 17 00:00:00 2001
+From: Andreas Bleischwitz <ableisch@redhat.com>
+Date: Tue, 28 Nov 2017 18:23:47 +0100
+Subject: [PATCH] added spicevmc channel to domain_all_settings.xml and
+ domain_spec.rb
+
+---
+ spec/unit/templates/domain_all_settings.xml | 9 ++++++---
+ spec/unit/templates/domain_spec.rb          | 3 +++
+ 2 files changed, 9 insertions(+), 3 deletions(-)
+
+diff --git a/spec/unit/templates/domain_all_settings.xml b/spec/unit/templates/domain_all_settings.xml
+index 761e3a8..cdd8ac7 100644
+--- a/spec/unit/templates/domain_all_settings.xml
++++ b/spec/unit/templates/domain_all_settings.xml
+@@ -62,14 +62,17 @@
+     </console>
+ 
+   <channel type='unix' >
+-      <source mode=''
+-      />
+       <target type='virtio'
+                name="org.qemu.guest_agent.0"
+       />
+   </channel>
++  <channel type='spicevmc' >
++      <target type='virtio'
++               name="com.redhat.spice.0"
++      />
++  </channel>
+   <channel type='unix' >
+-      <source mode=''
++      <source
+                path="/tmp/foo"
+       />
+       <target type='guestfwd'
+diff --git a/spec/unit/templates/domain_spec.rb b/spec/unit/templates/domain_spec.rb
+index a96cba9..851fe59 100644
+--- a/spec/unit/templates/domain_spec.rb
++++ b/spec/unit/templates/domain_spec.rb
+@@ -52,6 +52,9 @@ def finalize!
+       domain.channel(type: 'unix',
+                      target_name: 'org.qemu.guest_agent.0',
+                      target_type: 'virtio')
++      domain.channel(type: 'spicevmc',
++                     target_name: 'com.redhat.spice.0',
++                     target_type: 'virtio')
+       domain.channel(type: 'unix',
+                      target_type: 'guestfwd',
+                      target_address: '192.0.2.42',
diff --git a/vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name.patch b/vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name.patch
new file mode 100644
index 0000000..dbfa987
--- /dev/null
+++ b/vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name.patch
@@ -0,0 +1,31 @@
+From a64c538f7fa6b95f4a4bc8cabfd598d2ada149a0 Mon Sep 17 00:00:00 2001
+From: Andreas Bleischwitz <ableisch@redhat.com>
+Date: Tue, 28 Nov 2017 18:22:40 +0100
+Subject: [PATCH] made <source>...</source> and it's sub-elements conditional
+
+---
+ lib/vagrant-libvirt/templates/domain.xml.erb | 7 ++++++-
+ 1 file changed, 6 insertions(+), 1 deletion(-)
+
+diff --git a/lib/vagrant-libvirt/templates/domain.xml.erb b/lib/vagrant-libvirt/templates/domain.xml.erb
+index 7fd991e..74b483c 100644
+--- a/lib/vagrant-libvirt/templates/domain.xml.erb
++++ b/lib/vagrant-libvirt/templates/domain.xml.erb
+@@ -112,11 +112,16 @@
+ 
+ <% @channels.each do |channel| %>
+   <channel type='<%= channel[:type] %>' >
+-      <source mode='<%= channel[:source_mode] %>'
++      <%if channel[:source_mode] or channel[:source_path] %>
++      <source
++          <% if channel[:source_mode] %>
++               mode='<%= channel[:source_mode] %>'
++          <% end %>
+           <% if channel[:source_path] %>
+                path="<%= channel[:source_path] %>"
+           <% end %>
+       />
++      <% end %>
+       <target type='<%= channel[:target_type] %>'
+           <% if channel[:target_name] %>
+                name="<%= channel[:target_name] %>"
diff --git a/vagrant-libvirt.spec b/vagrant-libvirt.spec
index bb7711b..ec3feba 100644
--- a/vagrant-libvirt.spec
+++ b/vagrant-libvirt.spec
@@ -4,7 +4,7 @@
 
 Name: %{vagrant_plugin_name}
 Version: 0.0.40
-Release: 2%{?dist}
+Release: 3%{?dist}
 Summary: libvirt provider for Vagrant
 License: MIT
 URL: https://github.com/vagrant-libvirt/vagrant-libvirt
@@ -18,6 +18,12 @@ Source2: https://github.com/mitchellh/vagrant-spec/archive/%{vagrant_spec_commit
 # https://github.com/vagrant-libvirt/vagrant-libvirt/pull/783
 Patch0: vagrant-libvirt-0.40.0-Fix-failing-domain-tests-due-to-missing-property.patch
 
+# Fix invalid XML creation on custom domain name.
+# https://bugzilla.redhat.com/show_bug.cgi?id=1518899
+# https://github.com/vagrant-libvirt/vagrant-libvirt/issues/831
+Patch1: vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name.patch
+Patch2: vagrant-libvirt-0.40.0-Fix-invalid-xml-custom-domain-name-tests.patch
+
 Requires: ruby(release)
 Requires: ruby(rubygems)
 Requires: rubygem(fog-libvirt) >= 0.3.0
@@ -56,6 +62,7 @@ gem unpack %{SOURCE0}
 gem spec %{SOURCE0} -l --ruby > %{vagrant_plugin_name}.gemspec
 
 %patch0 -p1
+%patch1 -p1
 
 # Relax nokogiri dependency
 sed -i '\@nokogiri@s|~> 1\.6\.0|~> 1.6|' \
@@ -91,6 +98,8 @@ sed -i '/pry/ s/^/#/' Gemfile
 sed -i '/coveralls/ s/^/#/' Gemfile
 sed -i '/[cC]overalls/ s/^/#/' spec/spec_helper.rb
 
+cat %{PATCH2} | patch -p1 -F 0
+
 GEM_PATH=%{vagrant_plugin_dir}:`ruby -e "print Gem.path.join(':')"` bundle exec rspec2 spec
 popd
 
@@ -115,6 +124,9 @@ popd
 %{vagrant_plugin_instdir}/vagrant-libvirt.gemspec
 
 %changelog
+* Fri Dec 08 2017 Pavel Valena <pvalena@redhat.com> - 0.0.40-3
+- Fix invalid XML creation on custom domain name (rhbz#1518899).
+
 * Thu Jul 27 2017 Fedora Release Engineering <releng@fedoraproject.org> - 0.0.40-2
 - Rebuilt for https://fedoraproject.org/wiki/Fedora_27_Mass_Rebuild