Spain Abolishes Golden Visa Programme

Spain Abolishes Golden Visa Programme in a landmark decision that signals a shift in the country’s immigration and real estate policies. The programme, which allowed non-EU investors to obtain residency by making qualifying investments, mainly in real estate, has now been scrapped due to concerns over its impact on housing affordability, security risks, financial transparency and speculative property purchases.

This move aligns with broader efforts to prioritize local housing needs over foreign investment-driven demand. In this article, we’ll explore why Spain abolishes the Golden Visa Programme, what it means for investors, and what alternative residency options may be available.

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Spain’s Decision to End the Golden Visa Programme

Spain’s golden visa programme, introduced in 2013, allowed non-EU nationals to obtain residency by investing at least €500,000 in real estate or through other qualifying investments such as business ventures or government bonds. However, as of 3 April 2025, this route to Spanish residency will be closed. The decision was formally published in Spain’s Official State Gazette (BOE) on 3 January 2025 under Organic Law 1/2025, giving investors a three-month window before the new law takes effect.

The Spanish government, led by Prime Minister Pedro Sánchez, has justified the move as part of its broader efforts to address housing affordability issues. High real estate demand from foreign investors, particularly in cities like Barcelona, Madrid, Valencia, Malaga, Alicante, and the Balearic Islands, has significantly driven up housing prices, making it difficult for local residents to afford homes. The government sees the golden visa as a contributing factor to real estate speculation and aims to ensure that housing is a fundamental right rather than a speculative investment.

The European Context: A Wider Crackdown on Golden Visas

Spain is not alone in its decision to phase out golden visas. The European Commission has been increasingly vocal about the risks associated with these programmes, particularly in the wake of Russia’s invasion of Ukraine. In 2019, the Commission released a report warning that golden visas and passports pose a security threat, facilitating money laundering, tax evasion, and potential ties to organized crime. Read the European Commission Report.

Several countries have already taken steps to restrict or completely eliminate their residency-by-investment schemes:

Portugal removed real estate investment from its golden visa criteria in October 2023 to combat property speculation.
The Netherlands ended its golden visa programme in January 2024.
The UK abolished its investor visa in 2022 over concerns of “dirty money” entering the country, particularly from Russian oligarchs.
Ireland shut down its golden visa scheme in 2023 after warnings of tax abuse and financial opacity.
Albania abandoned plans for a similar programme after EU warnings.

However, not all countries are following this trend. Hungary reintroduced its golden visa scheme in July 2024, allowing investors to obtain residency through real estate and education-related donations. Greece and Italy also continue to offer golden visas, albeit with revised investment requirements to manage housing shortages.

Impact and Implications of Spain’s Golden Visa Ban

The fact that Spain abolishes the Golden Visa Programme will significantly impact foreign investors, real estate markets, and the broader economy:

End of a popular residency route: Foreign investors who were considering Spain as a golden visa destination must now look for alternative residency options.
Potential decline in real estate investment: The programme’s abolition may slow down high-end property purchases, particularly in sought-after cities, but could ease housing affordability pressures for local residents.
Regulatory uncertainty for investors: Existing golden visa holders will retain their residency rights. Old rules remain valid for renewal applications. However, new investors must complete transactions before 3 April 2025.
EU-wide pressure on remaining schemes: Spain’s move adds further weight to the EU’s stance against golden visas, potentially pressuring other countries like Greece, Italy, and Malta to re-evaluate their programmes.

What Happens to Existing Golden Visa Holders and Applicants?

If you already hold a Golden Visa, there’s no need to worry. Your permit remains valid for its original duration and you can still renew it under the same conditions as before.

There are people who have already submitted an application or plan to apply before the law officially takes effect. In those cases, the government will process the applications under the existing rules, ensuring no abrupt changes for those already in the system.

What Are the Alternatives to Spain’s Golden Visa?

Many prospective investors and expats are now exploring alternative pathways to live, work, or retire in Spain. Fortunately, there are still several visa options available for those looking to establish themselves in the country. Here are some of the most viable alternatives to the Golden Visa in Spain:

Retirement Visa
Spain Spouse and Family Visa
Digital Nomad Visa
Spain Work Visa
Spain Study Visa

A word from SublimeSpain

Spain’s golden visa programme has played a significant role in attracting foreign investment since 2013. However, rising housing prices and EU pressure have led to its impending abolition. Portugal, the Netherlands, Ireland, and the UK already ending similar programmes. Spain’s decision reflects a broader shift away from investment-driven residency schemes in Europe. As golden visa opportunities decline, wealthy investors will need to explore alternative routes to residency. Meanwhile, European governments focus on prioritizing housing affordability and security concerns over foreign investment in real estate.

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommend seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.