The era of golden visas in Spain is coming to an end as the government has announced plans to eliminate this program. Over the past decade, this program has granted 14,576 residence permits to non-EU citizens who have invested at least 500,000 euros in real estate. However, concerns over increased prices and speculation in the real estate market have led to the decision to eliminate these visas.
Chinese and Russian investors have been the biggest beneficiaries of this program, which was launched in 2013. Real estate agencies specialized in the Chinese market are particularly affected by this decision. While some believe that the elimination of golden visas will not have a significant impact on their business, others are more pessimistic about the future. They fear that investors seeking residency and the Schengen visa will now turn to other countries like Greece or Italy.
Law firms that have processed golden visas for Asian investors have also noticed a decline in applications due to increased scrutiny over money laundering concerns. The government’s announcement to eliminate golden visas has already had repercussions, with some clients canceling their applications due to the loss of legal security.
Critics argue that while the elimination of golden visas may address housing issues in certain cities where foreign investment has had a significant impact, it will not be a solution to the larger housing problem. The impact of this decision on foreign investment in Spain remains uncertain but it is clear that this era is coming to an end.
