The government is examining possibility to delete known system.golden visaGranting residence rights to foreigners investing in real estate, as confirmed by Reuters. The system has been repeatedly criticized by left-wing parties. affect the development of prices. living place in spain, especially in coastal areas and large cities. Companies in the real estate industry minimize its impact by understanding that investments are mainly allocated to higher-priced homes or second-home areas.
Íñigo Errejón, the leader of Más País, assured this week that there is an agreement with the Ministry of Social Security to end the ‘golden visa’ program. According to this system, it is possible to obtain a residence permit directly by purchasing a house over 500,000 Euros. In addition, there is the possibility of obtaining Spanish citizenship. This type of visa can also be obtained if more than two million has been invested in Spanish public debt or more than one million has been invested in shares of Spanish companies or deposits in national banks.
The government has not officially confirmed its plans to end the program. An official familiar with the talks told Reuters the deal was not yet official. The proposals of the parties are still under review.
European Commission urges EU countries to end programs that allow investors to acquire citizenship and tighten controls when issuing residence permits, qualifying them as a security risk and money laundering.
According to government figures, Spain has granted about 5,000 residence permits this way, and Chinese investors top the list.
This Abolition of the ‘golden visa’ it could be a setback for some real estate The country that operates in areas that are very sensitive to the demand of foreigners, such as the Mediterranean coast or the center of cities such as Barcelona or Madrid. The Balearic Islands have been one of the autonomous communities that put the most pressure on the government to take action, given the weight of foreigners in the property market. The attempt to outright ban sales to foreigners ran into legal hurdles, but greater control was placed on real estate offices. In the case of the Balearic Islands, foreign buyers bought more homes than ever before in 2022: a total of 6,133, the highest number since the Registrar’s Association processed this data 10 years ago. This figure also represents 34.4% of total sales registered in the islands, the second highest since 35.6% represented by 3,784 purchases in 2015.
José María Basáñez, president of Tecnitasa and president of Atasa (Association of Professional Valuation Associations), calculates that: The percentage of foreign home buyers in Spain “has averaged between 10% and 15% in recent years.We closed 2022 with around 12%”. However, in this case the averages mask the impact that foreign demand may have in certain areas. 28.47%), the Canary Islands (27.25%), the Region of Murcia (21.87%), Catalonia (15.58%) and Andalusia (14.70%). provinces with the highest weight Alicante (42.94%), Balearic Islands (36.15%), Málaga (34.05%), Santa Cruz de Tenerife (32.55%), Girona (31.12%), Las Palmas (22.15%) and Murcia (21.87%), however, may be areas where almost all owners are foreign.
Despite The major city centers and beaches along the coast tend to be the main destinations. From home searches among foreigners, Idealista identifies 22 cities with a population of less than 5,000 and where interest in buying a home from abroad is greater than in Spain. These are Fuente Obejuna (Córdoba), where 77% of the portal’s visits in recent months come from abroad; the municipalities of Garcirrey (69%) and El Milano (66%); Cala Ratjada (63%) in Majorca; Laroya (61%) in Alemeria; Valle Gran Rey (57%) in La Gomera; In Alicante, again 57%, Cómpeta (Málaga) and Ciudad Quesada (55%). Also, Canillas de Albaida and Sayalonga (both in Malaga), with 54% of visitors coming from foreigners seeking housing; Benitachell (Alicante), Cala Millor (Mallorca), Arboleas (Almeria) and Cala Bona (Mallorca) with 53%; Sa Coma (Mallorca) and the towns of La Gomera in Alajero (Santa Cruz de Tenerife) and Albanchez (Almería), Deya (Mallorca), Cala D’Or (Mallorca) and Lubrín (Almería) with 52% of foreign calls, Idealista with 51% According to , Jete (Granada) and Portbou (Girona) are equally interested in home buying by foreigners and locals.