One of the most complex procedures is the so-called residence permit for investors, commonly known as “Golden visa” in which the applicant must invest in Spain in one of the following areas:
- Public Debt
- Stocks/shares
- Bank deposits
- Investment funds
- Real estate
In our case the client had invested in the acquisition of a real estate property, specifically, in a residence located in Madrid valued at 2,650,000 euros.
This type of permit is governed by Law 14/2013, of September 27, of support to entrepreneurs and their internationalization and specifically, in real estate, the investment is required to be at least 500,000 euros.
It is important to highlight that the investment must be free of charges, given that otherwise that amount “is subtracted from the investment”, i.e., if the home is valued at 800,000 euros, but is encumbered with a mortgage amounting to 400,000 euros, said domicile for immigration purposes would be worth a total of 400,000 euros, placing it below the threshold established in the aforementioned Law, and not being sufficient for the applicant to apply for this type of residence permit.
In the case we analyzed there was a mortgage in favor of BANCO SANTANDER S.A. for the amount of 900,000 euros, but we explained in our presentation by means of a written statement, that the same was going to be paid by the selling party, as this had been stated in the deed itself, which was notarized at the time of formalization of the sale and purchase, in addition to the fact that, even subtracting this amount, the investment still had a value of 1,750,000 euros.
The Large Companies and Strategic Groups Unit, which is in charge of analyzing this type of permit, approved the application without further requirement or additional information within 14 calendar days.
The request of the investor’s family member, his spouse, was also granted, for which it was necessary to provide a marriage certificate and financial means.
We attach both censored concessions to protect the privacy of our clients:
If you want to live in Spain and you are going to buy a property worth at least 500,000 euros, do not hesitate to contact us and we will offer you the best legal assistance during the whole process.
You can call us at +34 911 270 920 or send us an email to info@sternaabogados.com