The Spanish Golden Visa
This topic has recently generated some questions for us here at Martin Real Estate. Please note that we are only a phone call away to discuss your property needs and any issues, visa or finance related, and we are happy to help with client queries on all property related issues. Just call us.
This topic does not affect European Union Member state citizens in any way, for example it has no impact on an Irish citizen wishing to buy property in Spain.
The Spanish Golden Visa was first introduced by the Spanish Government in 2013, it is also known as the ‘residency by investment program’. The program has allowed non-EU citizens an opportunity to migrate to Spain by making a minimum €500,000 investment in Real Estate, Businesses or Government Bonds.
The program was particularly attractive to United States, Middle East, Russian and Chinese investors who were keen to gain access to residency in the US and of course access to the broader Schengen area. The program has also allowed UK Citizens, post Brexit, a route to gain residency in the EU.
Figures show(although estimates vary) that by the end of 2023, more than 35,000 such visas had been issued throughout the life of the scheme up to that point. This resulted in the inflow of billions of Euro’s worth of investment in the Spanish economy, and increased demand for property in Marbella and all along the Costa and in other large and popular Spanish cities.
In recent times concerns have been expressed by the EU and local communities as to the real benefit to local citizens, and the potential for a security threat coupled with the possibility that it could be used by individuals from outside the EU to find an easy route to gain citizenship and evade difficulties in their home countries. In addition, the measure is seen by government as one of the prime reasons for the continuing spike in property prices throughout Spain, due to strong demand from non-EU buyers and limited supply for all, including local Spanish born residents. This has prompted the government to act and make this change.
The Spanish government has announced in early 2025, the end of the Residency by Investment Program(Golden Visa). All current applications will be processed, and new applications accepted up to the 2nd of April 2025 may be processed and awarded. After that the door will close as the current scheme is finally wound down. It is best to check with a legal adviser as a matter of urgency, if you intend to make an application before the scheme closes.
The Spanish government continues to evaluate proposals that may mean other investment opportunities more skewed toward entrepreneurship, and start-up, which may bring more benefit to the local communities and take the pressure of housing supply will be considered for a new Visa program. No further details are available at the moment.
It should be noted that, UK Residents, wishing to relocate to Spain and become resident can always choose the non-lucrative visa route (which is unaffected). This allows retirees who wish to reside in Spain the opportunity to do so, irrespective of the amount of money they invest in property, once they pledge to not work in Spain and can prove a means of support such as a pension, or savings while living in Spain, as part of the application process.
Feel free to call us and discuss your options.
