Costa News Spain Breaking News | English News in Spain.
The deadline for British and other foreign home buyers to get their applications in before April 3 is fast approaching.
In April 2024, Pedro Sanchez, the Prime Minister of Spain, announced that the government will abolish the residency visas granted to those who do not come from the European Union.
Golden Visa applicants have to invest either €500,000 in property, €2 million in Spanish government bonds, or €1 million in shares in Spanish companies.
The critics of the scheme claim that it encourages foreigners to purchase property, taking away opportunities for Spanish nationals and driving up rental costs.
The program does not require that those who are granted citizenship live in Spain. Instead, they only need to spend one day in the country per year in order to maintain their status.
Opponents claimed that due to the loophole, the economic advantages of granting a Golden Visa could not be realized.
The European Commission called on EU members to stop selling citizenship in this way in 2022.
It flagged concerns with money laundering, tax evasion and security, which it said ‘would be incompatible with EU norms’.
However estate agents in popular areas like the Costa Blanca and Costa del Sol warned that ‘irreparable damage’ would be caused to the real estate sector and tourism if the Golden Visa ended.
“The fact that there are foreign buyers who invest more than €500,000 in buying a house in Spain does not affect the right to housing of families in our country at all as having those properties would not solve the housing problem,” said Marife Esteso, president of the Alicante Real Estate Agents Association
Golden Visas for 2024 were issued up until the end October. 573 Golden Visas have been granted after the announcement about the abolition.
The Golden Visa program was supposed to end in January but a Senate decision delayed it until next month.
