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Spain: Government Proposes Eliminating Real Estate Golden Visa

November 18, 2024

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Update - November 18, 2024: Spain’s Congress has approved a proposed ban on all golden visa (or residence-by-investment) varieties in the country. The proposal must now be reviewed and approved by the country’s Senate. If subsequently approved, it may take two to three months before the law comes into effect, meaning all golden visa pathways in Spain may be discontinued in the first or second quarter of 2025 (though the Senate could limit the scope of this ban, including deciding to discontinue only certain pathways). Earlier in 2024, the Spanish government had proposed ending the real estate route (amid a housing crisis). This proposal subsequently expanded into the current legislation which seeks to end all golden visa pathways in Spain. 

April 15, 2024: Spain’s government has announced that it intends to eliminate the country’s Real Estate Golden Visa, which allows third country nationals who invest at least EUR 500,000 in real estate (without a mortgage) to reside and work in Spain for three years. Spain’s cabinet has agreed to prepare a report into the impact this Golden Visa regime is having on the general accessibility of the real estate market in Spain. This report is expected to inform the government’s approach to ending the Real Estate Golden Visa – a process which will require modifying the Entrepreneurs Act, which regulates this type of permit. No formal legislative process has yet begun and the program remains fully in effect, with applications continuing to be accepted. Any change is expected to take months, if not longer. Separately, there are currently no plans to cease Spain’s other Golden Visa pathways ­(which require investment in Spanish government bonds, bank deposits, investment funds or the country's share market). Given the government’s proposal, affected individuals should consider expediting any plans to pursue a real estate-based Golden Visa application in Spain; or otherwise allocate funds towards the other investment pathways. We will continue to monitor developments.

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].

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