The most surprising news this week has been that the Spanish government is in the process of cancelling or abolishing the residency for investors commonly called the “Golden Visa“.
First of all, it should be noted that the residence for investors has several types: financial assets that include bank deposits in financial institutions in Spain worth one million euros or the purchase of Spanish public debt securities worth 2 million euros. euros, among others. There is also the possibility of investing in a business project or investing in the purchase of real estate for a minimum value of €500,000 free of charges and mortgages.
And it is precisely the latter that is intended to be cancelled or eliminated given that the government considers that this type of investment does not generate any benefit for the country and at the same time increases the price of housing for Spaniards. At the moment there are no details of what the modifications to this law will be. It has also not been indicated whether the cancellation will only be for permits for the purchase of real estate or if all residence permits for investors will be cancelled.
From Sterna Abogados we want to bring a message of tranquility. First of all, inform that at the moment you can still request the permit. Secondly, clarify what this announcement indicates is that the way in which this type of residence permit will be eliminated is beginning to be analysed. The cancellation is not immediate since there is a legal process that involves several stages from the analysis of the proposal, its approval to the implementation and entry into force of the new law.
To all those foreigners who already have this type of residence permit, you don’t have to be worried as when these types of changes in the law occur, the government is obliged to offer a solution to those people who are already beneficiaries of the eliminated permit. An example of this has been what happened to British citizens when BREXIT occurred, who today have a special permit that guarantees the rights acquired before the United Kingdom left the European Union.