Spain’s decision to close the Golden Visa real estate investment route has sent ripples across the global investment landscape. This policy change, effective April 3, 2025, is part of a broader effort to address housing affordability and social inequality. However, it has also left many international investors reconsidering their options. Prominent industry experts from RIF Trust, NotteGlobal, and Lesperance Associates weighed in on this significant shift, offering unique perspectives and actionable advice for affected investors.
RIF Trust: Disappointment in Spain’s Policy and Strategic Advice for Investors
Mimoun Assraoui, CEO of RIF Trust, expressed disappointment over the Spanish government’s decision, describing it as a “knee-jerk reaction.” He highlighted that the level of real estate investment through the Golden Visa program was relatively small compared to the broader property market. Assraoui elaborated:
“The Spanish Government has been under pressure to address the rising purchase and rental costs of residential real estate. However, the Golden Visa program has had minimal impact on the property market as a whole. This decision is disappointing but final, with the program set to end on April 3, 2025.”
Assraoui foresees a redistribution of investor interest toward Portugal and Greece, predicting that these programs may increase their costs to capitalize on reduced competition. He advised investors:
“The benefits of Spain’s Golden Visa, such as Schengen Area access and potential citizenship after 10 years (or 2 years for Latin American and Filipino nationals), are still attainable if applications are submitted by April 2, 2025. For those who miss this deadline, exploring the Greek or Portuguese programs before price hikes is essential.”
NotteGlobal: A Balanced Perspective and Viable Alternatives
Yusuf Boz, founder of NotteGlobal, emphasized the broader implications of Spain’s Golden Visa closure on the European residency-by-investment market. He remarked:
“Spain’s decision to close the real estate route for Golden Visas marks a significant shift in the European residency-by-investment landscape. While the move is aimed at addressing housing affordability and social inequality, it’s clear that global investor interest will now be redirected to other attractive programs in Europe.”
Boz highlighted alternatives such as Latvia’s flexible Golden Visa program, which offers an affordable entry point, and Portugal’s HQA program, designed for entrepreneurs and investors in innovation. He added:
“For investors seeking stability, Schengen access, and long-term growth potential, programs like Latvia and Portugal offer excellent opportunities. At NotteGlobal, we pride ourselves on guiding investors through these changes and identifying the most suitable residency options.”
Boz also pointed out Greece’s recently adjusted investment thresholds as another promising option, especially for investors prioritizing long-term stability and access to European markets.
Lesperance Associates: A Critical Take on Spain’s Populist Policies
David Lesperance JD, founder of Lesperance Associates, offered a critical analysis of Spain’s decision, calling it a populist move rather than a solution to the housing crisis. He explained:
“Pedro Sánchez claims that 27,000 properties in Spain were purchased by non-EU residents in 2023. However, the Spanish property registry shows that out of 583,000 total sales, only 87,000 were made by foreigners, including EU nationals. Non-EU nationals account for just a fraction of these purchases.”
Lesperance criticized Spain’s imposition of a 100% tax on property purchases by non-EU nationals, stating:
“This policy signals that Spanish politicians prefer to blame foreigners rather than tackle the real issues. This tax and the closure of the Golden Visa program will likely decrease tourism spending and tax revenues, doing little to address housing affordability.”
He urged investors to consider more welcoming jurisdictions, adding:
“Countries with favorable tax regimes and well-structured immigration policies, such as Portugal and Greece, are capitalizing on Spain’s missteps. Wealthier individuals are increasingly less bound to specific locations, and countries that embrace this mobility stand to gain.”
Global Impact of Spain’s Golden Visa Closure
The closure of Spain’s Golden Visa real estate option represents a broader trend in European immigration policy, where some countries are tightening regulations while others aim to attract high-net-worth individuals. Experts agree that Portugal, Greece, and Latvia are poised to benefit from this policy change, with investors likely to redirect their interest to these markets.
Portugal and Greece: Both countries continue to offer strong alternatives, albeit with their own challenges. Portugal’s HQA program provides a pathway to residency through innovation-driven investments, while Greece’s updated thresholds cater to those seeking long-term European residency.
Latvia: Known for its affordability and flexibility, Latvia’s Golden Visa program has emerged as an excellent option for investors looking for lower entry costs and quick access to the Schengen Area.
Advice for Affected Investors
Across the board, experts agree on the need for decisive action. Investors should:
1.Act Quickly in Spain: Submit Golden Visa applications before the April 2, 2025, deadline to secure the program’s benefits.
2.Explore Alternatives: Consider Latvia, Portugal, and Greece as viable options for European residency.
3.Seek Expert Guidance: Engage with experienced advisors, such as RIF Trust, NotteGlobal, or Lesperance Associates, to navigate the evolving Golden Visa landscape.
Spain’s Golden Visa closure signals a significant shift in the residency-by-investment market. While the policy change aims to address housing affordability, its broader implications highlight the need for strategic action by investors. With countries like Portugal, Greece, and Latvia stepping up as alternatives, the global Golden Visa landscape continues to evolve, offering new opportunities for those ready to adapt.
