10/04/2024
GOLDEN VISA WORRIES???
Below a translation of the press release issued after the meeting of the Consejo de Ministros yesterday.
"The Moncloa, Madrid
The Council of Ministers has analyzed a report to modify the law that allows foreigners not resident in the European Union to obtain a visa or residence authorization who buy a home in Spain that costs more than 500,000 euros. That is, to eliminate the so-called golden real estate visa.
The Minister of Housing and Urban Agenda, Isabel Rodríguez, recalled that the Executive works with all the instruments at its disposal to solve the housing problem. Its four lines of action are to reinforce the supply of affordable housing, promote financing for families, young people and public and private developers, streamline construction procedures and address exceptional situations, such as access to housing in specific places, with affordable prices. stressed and lack of residential supply. The elimination of the golden visa is the first step, as she has stressed, to respond to these special situations.
Since the law was approved in 2013, 14,576 golden visas linked to investments in real estate have been granted, the majority to citizens of China, Russia, the United Kingdom, the United States, Ukraine, Iran, Venezuela and Mexico. The main investment provinces are Barcelona, Madrid, Malaga, Alicante, the Balearic Islands and Valencia, which concentrate 90% of the authorizations granted throughout the national territory.
Isabel Rodríguez has also specified that the purchase of housing by foreigners increased considerably in the last quarters of 2023. The acquisition of homes linked to investments contemplated in the 2013 law represents 7.1% of the total sales in a year in Marbella; 5.3% in Barcelona and 10% in some municipalities of the Balearic Islands. Furthermore, of every 100 visas granted by the golden visa, 94 are linked to real estate investment action.
These types of investments, the minister has argued, greatly strain the market, increase the price of houses and encourage speculation. The Government's objective, she has advanced, is to put an end to "speculation that has increased very significantly" since 2022, when the concessions of "real estate visas" doubled.
In this sense, the minister has advocated modifying the law to eliminate the benefits that it contemplates in the residential field and direct that investment to the promotion of affordable housing and the rehabilitation of properties."
To add, such a modification of the law needs to go through legal channels, difficult to say how long that could take, but it's not expected to come into force until the summer and no doubt there will be provisions for those who have already started the process, info about renewals etc.
La Moncloa, Madrid, martes, 9 de abril de 2024. Con el fin de garantizar el acceso de los ciudadanos a una vivienda digna y asequible, el Ejecutivo también ha activado la línea de avales por importe de 2.000 millones para promover la construcción de 40.000 viviendas públicas y privadas en alquil...
