The ALand Times: Immigration and Golden Visa Update
Published Date: 22 Jan, 2025
Spain to Terminate Golden Visa Program by April 2025
Spain has announced the termination of its Golden Visa program, effective April 3, 2025. This initiative, which granted residency to non-EU nationals investing at least €500,000 in real estate, aimed to attract foreign investment. However, concerns over escalating property prices and housing affordability have prompted this policy change.
Surge in Applications Ahead of Spain's Golden Visa Deadline
As the April 2025 deadline approaches, Spain has experienced a significant increase in Golden Visa applications. Investors are expediting their applications to benefit from the program before its conclusion. This surge underscores the program's appeal and the urgency among investors to secure residency under the existing terms.
Greece's Golden Visa Program Attracts Diverse Investors
Greece's Golden Visa program continues to draw investors, offering residency permits for real estate investments. The program has seen interest from various nationalities, contributing to the country's real estate market growth. The minimum investment required varies by region, with higher amounts in prime areas like Athens and lower thresholds in other locations.
Portugal Modifies Golden Visa Program, Removes Real Estate Option
Portugal has restructured its Golden Visa program, eliminating the real estate investment option. The program now focuses on alternative investment routes, such as capital transfers and job creation, aiming to address housing affordability issues while still attracting foreign investors.
Malta's Golden Visa Program Faces Criticism
Malta's Golden Visa and passport schemes have come under scrutiny for contributing to inflated property prices and overdevelopment. Critics argue that these programs benefit foreign investors over local residents, exacerbating housing affordability issues. Despite these concerns, the schemes remain popular among investors seeking EU residency or citizenship.
Alternative Destinations Emerge for Property Investors
With Spain and Portugal modifying their Golden Visa programs, investors are exploring alternative destinations. Countries like Greece, Italy, and Montenegro offer attractive investment opportunities and residency options, appealing to those seeking favorable climates and investment potential.
Spain Proposes Tax on Foreign Property Buyers
In response to housing affordability concerns, Spain's Prime Minister Pedro Sánchez has proposed a 100% tax on property purchases by non-resident foreigners. This measure aims to curb speculative investments and stabilize the housing market, though it has faced criticism from opposition parties.
Non-Lucrative Visa Gains Popularity in Spain
Following the termination of the Golden Visa program, non-EU nationals are increasingly turning to Spain's non-lucrative visa. This visa allows residency without the need for significant investments, requiring applicants to demonstrate sufficient financial means and private health insurance. It has become an attractive option for retirees and individuals seeking to reside in Spain without engaging in economic activities.
Spain's Golden Visa Program Issued Over 14,500 Visas
Since its inception in 2013, Spain's Golden Visa program has issued over 14,500 visas, primarily to investors from China, Russia, and the United States. The program significantly impacted the real estate markets in regions like Barcelona, Madrid, and the Costa del Sol, contributing to rising property prices and debates over housing accessibility.
Spain's Golden Visa Program Officially Ends
Spain's Congress has officially approved the end of the Golden Visa program, with the termination date set for April 3, 2025. This decision reflects a broader European trend of reevaluating investment-based residency programs to address housing market challenges and ensure equitable access to housing for residents.
Date: 22 Jan, 2025
