Laurence Dollimore
Are you applying for a Golden Visa or have you done so this year? Email tips@theolivepress.es
SPAIN is one step closer to banning its Golden Visa programme after the measure was approved in Congress last week.
Currently, Brits and many other ‘third nationals’ can secure residency in Spain if they spend at least €500,000 on real estate.
The sum can also be spent on investing into a Spanish company’s shares or public debts, with both also granting residency.
The law was brought in back in 2013 under the-then conservative Partido Popular government, in a bid to attract foreign investment following the 2008 financial and subsequent property crash.
While the ban has been approved in Congress, it still needs to pass through the Senate for potential amendments, before making its way back through Congress for final approval.
It means that the Golden Visa scheme is unlikely to be abolished before January 2025, setting up a probable surge in applications.
Anyone can continue to apply for the scheme until the day its ban passes final approval.
According to La Vanguardia, the number of people applying for the visa has grown by 38% in the six months since its abolishment was announced by left-wing prime minister Pedro Sanchez.
An average of 69 golden visas were issued per month between January and March this year, surging to 95 between April and October.
A total of 780 golden visas have been handed out so far this year, according to the latest statistics made available by the Spanish government.
The visa programme has been applied for by more than 15,300 people since its launch 11 years ago.
Last year saw the highest number of approvals ever, surpassing 3,200, reports Catalan News.
Since 2013 and until last year, Chinese nationals accounted for the majority of golden visas, standing at more than 3,300.
They were followed by Russian nationals, with 3,100 and then British citizens, with more than 1,000.
The US, Ukraine, Iran, Venezuela and Mexico also account for a significant number of applicants.
The ban on the golden visas was brought in amid a developing housing crisis across Spain that is seeing locals priced out of central neighbourhoods.
Sanchez said he hoped the ban would help stop the property market from becoming a ‘speculative’ business.
The hottest locations for golden visa applicants are Barcelona, Madrid, Malaga, Alicante, Valencia, and the Balearic Islands.
The question then…if you currently hold a golden visa, can I continue to renew it, after they do away with this scheme? Or does this ban only affect the NEW golden visa applicants (not the renewal)?