The question of whether Spain’s popular Golden Visa program is ending has generated significant interest and concern among international investors. The short answer is nuanced: Yes, the most popular pathway to the Golden Visa – investment in real estate – is confirmed to be ending or has already ended. However, the situation regarding the entire program encompassing other investment types is less definitively concluded, though significantly impacted.
Here’s a breakdown of the current status as of April 2025:
The End of the Real Estate Golden Visa
In April 2024, the Spanish government, led by Prime Minister Pedro Sánchez, announced its firm intention to abolish the residency visa pathway linked to real estate investments. This decision was primarily driven by concerns that the scheme was contributing to housing speculation and making housing unaffordable for local residents, particularly in major cities like Madrid, Barcelona, Malaga, and Valencia.
- What Changed: The provision allowing non-EU nationals to obtain residency by purchasing property worth at least €500,000 (free of mortgage) has been eliminated or is in the final stages of being formally removed from the legislation (Law 14/2013).
- Current Status: As of early 2025, applications based on new real estate purchases are no longer being accepted or are expected to cease imminently pending final legislative formalities. Anyone considering this route should assume it is closed.
- Why it Matters: The real estate option was overwhelmingly the most popular route, accounting for the vast majority (estimated over 90%) of Golden Visas issued since the program’s inception in 2013. Its removal effectively marks the end of the program as most people knew it.
What About Other Investment Routes?
While the spotlight was on the real estate component, the Golden Visa program historically included other significant investment options:
- Capital Transfer:
- €2 million in Spanish public debt securities (government bonds).
- €1 million in shares or equity of Spanish companies with real business activity.
- €1 million in investment funds constituted in Spain.
- €1 million in bank deposits held in Spanish financial institutions.
- Business Project:
- Developing a business project in Spain deemed of “general interest” based on job creation, socioeconomic impact, or technological/scientific innovation (no fixed minimum investment, evaluated case-by-case).
Current Status of Non-Real Estate Routes (As of April 2025):
- Uncertainty Remains: Official government announcements primarily focused on terminating the real estate option. There hasn’t been the same definitive confirmation regarding the immediate cancellation of the capital transfer or business project routes.
- Technically May Still Exist: Based on available information, these other pathways may technically still be open for application. However, the political will that led to the scrapping of the property route signals a significant shift in attitude towards residency-by-investment schemes.
- Extreme Caution Advised: Potential applicants for these routes face considerable uncertainty. The application process could become subject to much stricter scrutiny, potential delays, or future legislative changes that might affect even these options. It is absolutely critical to seek up-to-the-minute legal advice from a Spanish immigration specialist before committing substantial capital.
Why Did Spain Make This Change?
The primary drivers cited by the Spanish government include:
- Housing Market Pressure: Reducing speculative pressure on the real estate market to improve housing affordability for Spanish residents.
- Social Equity: Addressing concerns that the program disproportionately benefited wealthy foreign nationals without delivering substantial widespread economic benefits.
- European Trend: Following similar moves by other EU countries like Portugal and Ireland, which have also curtailed or ended their Golden Visa programs due to similar concerns and EU pressure regarding security risks.
Implications for Current Holders and Applicants
- Existing Golden Visa Holders: Individuals who already hold a valid Golden Visa (obtained via any route, including real estate before the cutoff) are generally expected to retain their residency rights and be able to renew their permits, provided they continue to meet the original conditions (e.g., maintaining the investment, unless specified otherwise by new rules). This is often referred to as “grandfathering.”
- Pending Applications (at time of change): The status of applications submitted before the final legislative changes took effect can be complex. Applicants in this situation urgently need specific legal counsel.
- Future Applicants: The real estate route is closed. Other routes require significant due diligence and expert legal advice due to the uncertain climate.
Anyone seeking Spanish residency should explore alternative visa pathways (like the Non-Lucrative Visa, Digital Nomad Visa, or visas for entrepreneurs and highly qualified professionals) and must consult with specialized Spanish immigration lawyers for the most current information and personalized advice before making any decisions.
Disclaimer: This article provides general information based on publicly available reports and announcements up to April 2025. Laws and policies can change rapidly. This is not legal advice. Always consult qualified legal professionals for advice tailored to your specific situation.
