Highlights: Spain ends 'golden visas' to combat speculation. Established by the conservative government of Mariano Rajoy in 2013, when the real estate market was at its lowest. The very rich will no longer be able to establish themselves in Spain in this way, reports our correspondent in Madrid, François Musseau. Since 2013, any foreigner who invested at least 500,000 euros in real estate or in a Spanish company was automatically granted a “golden visa” These famous golden visas as they are called, i.e. a residence and work permit of three years.

Established by the conservative government of Mariano Rajoy in 2013, when the real estate market was at its lowest, “golden visas”, which give a residence permit, do not exist…

Spain ends 'golden visas' to combat speculation

Established by the conservative government of Mariano Rajoy in 2013, when the real estate market was at its lowest, “golden visas”, which give a residence permit, no longer exist. In order to counter a speculative dynamic, the socialist leader Pedro Sanchez announced their disappearance which must be ratified this Tuesday, April 9 in the Council of Ministers.

Spanish Prime Minister Pedro Sanchez stressed that many young people and families do not have access to housing due to real estate speculation. REUTERS - Vincent West

By: RFI Follow

Bad news for all those millionaires who swap residence in exchange for a real estate investment. The very rich will no longer be able to establish themselves in Spain in this way, reports our correspondent in Madrid,

François Musseau

. Since 2013, any foreigner who invested at least 500,000 euros in real estate or in a Spanish company was automatically granted a “golden visa”, these famous golden visas as they are called, i.e. a residence and work permit of three years.

Introduced in 2013 by the conservative government of Mariano Rajoy who wanted to revive investments in the country, in the midst of an economic slump caused by the financial and real estate crisis, over all these years, the system has worked well: 6,200 golden visas have been granted. granted, for a total value estimated at around 5 billion euros. For the most part, 65%, Chinese and Russian fortunes.

But Prime Minister Pedro Sanchez announced on April 8 that the government would “

remove the granting of “golden visas” allowing people to obtain a residence permit when more than half a million euros are invested in real estate

. ".

Exceptional regime

Reason given by the socialists in power: this contributes to

real estate speculation

and increases the cost of housing. “

We are thus fighting against speculative trading, and working for the right to housing,”

said Pedro Sanchez.

It is not normal for half of the population to spend more than 30% of their income on repaying their housing or paying rent.

» This removal, which will be validated on Tuesday in the Council of Ministers, will make it possible to fight against “

speculative investment ” from which “

many young people and families

” suffer

, today unable to access housing, he said. for follow-up.

Several countries in southern Europe, which had used similar programs to attract investments during the financial crisis, have decided in recent months to tighten the screws in the face of this highly contested exceptional regime. Portugal thus stopped issuing “golden visas” at the beginning of 2023, in a context of soaring housing prices. At the end of March,

Greece tightened the rules governing the granting of these exceptional residence permits

According to the daily

El Economista

, there is another hidden reason: “golden visas” present the risk of giving too much power to big money from enemy countries like China, Russia or Iran.

Spain ends 'golden visas' to combat speculation

Spain ends 'golden visas' to combat speculation

Exceptional regime

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