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April 19, 2024
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Spain ending Golden Visa: why, when, and what are the possible outcomes

On April 9th, the Spanish Cabinet approved the cancellation of the residency by investment program. This was announced by the Housing Minister of Spain, Isabel Rodríguez.

Specific measures and timelines have yet to be disclosed. Learn what to expect in the future and how to get Spanish residency by investment before the cancellation.

Igor Buglo
Igor Buglo

Head of the Maltese office, MBA

Spain Golden Visa Ending

Spain ending Golden Visa: why, when, and what are the possible outcomes

Spain’s government has given the green light to end its golden visa program, which started in 2013 to boost the property market after economic challenges.

The program granted residency to wealthy foreigners investing in real estate. However, critics argue it drives up prices.

Prime Minister Sanchez’s administration emphasised the importance of prioritising housing as a fundamental right rather than just a venture.

The Housing Minister of Spain revealed that over 14,000 visas were issued between 2013 and 2023, primarily to Chinese and Russian nationals.

However, the percentage of real estate transactions for Golden Visas accounts for 0,2% of the overall property market in Spain.

What to expect — Immigrant Invest’s opinion

Immigrant Invest lawyers commented on possible scenarios. There might be three of them.

1. Ending real estate route. An option is to emulate Portugal’s approach by removing the possibility of gaining residency by real estate investment. This means the Golden Visa won’t be awarded for property purchases anymore. Nonetheless, the chance to invest in the country’s economy, such as by purchasing bonds, may still be open.

2. Restrict real estate investment. Another option is to impose restrictions on real estate purchases in certain regions and raise the minimum investment threshold, as in Greece.

3. In the worst-case scenario, Spain might close the Golden Visa Program, leaving no way to get residency by investment.

Even in the case of a program’s ultimate cancellation, it will take from 6 months to 1 year to amend Spanish laws.

Investors can still get the Spain Golden Visa if they apply without delay. To qualify for the Spanish Golden Visa, individuals must make one of several qualifying investments, with real estate being the most common option.

Investors need to purchase property in Spain valued at €500,000 or more. The visa also extends to family members, including spouses and dependent children.

Will you obtain a Spain Golden Visa?

Practical Guide

Will you obtain a Spain Golden Visa?