In a major policy shift aimed at improving housing affordability, Spain has officially banned Golden Visas for non-EU citizens, ending a program that allowed thousands of wealthy foreigners to gain residency through real estate investments. The move marks the closure of a 12-year-old scheme that has attracted investors from China, Russia, the Middle East, and increasingly, North America.
Prime Minister Pedro Sánchez announced the decision as part of a broader plan to curb skyrocketing property prices and housing shortages in cities such as Madrid, Barcelona, Valencia, and popular coastal regions. The government argues that the influx of foreign investment has contributed to inflated housing markets, making it difficult for local residents to find affordable homes.
“Speculation and foreign investment in real estate are driving up prices and pushing residents out of their own neighborhoods,” Sánchez said during the press conference. “Spain is not for sale.”
What Were Spain’s Golden Visas?
Launched in 2013 in the aftermath of the Eurozone crisis, Spain’s Golden Visa program allowed non-EU nationals to gain a renewable residency permit in exchange for a minimum €500,000 investment in Spanish property. The visa also offered a path to permanent residency and eventually citizenship, provided the investor met residency requirements.
The program attracted over 14,000 applicants during its run, according to data from the Ministry of Inclusion, Social Security, and Migration. While its supporters claim it brought foreign capital into Spain’s struggling economy, critics have long argued that it contributed to housing inequality, especially in already over-saturated urban centers.
Why Spain Banned Golden Visas Now
Spain’s decision is part of a growing trend across the European Union. The European Commission has repeatedly raised concerns about the social and security risks of such schemes, especially those linked to real estate.
In 2022, Ireland and the Netherlands also shut down their investor visa programs, citing similar concerns about housing accessibility and national interest. Portugal, too, removed its real estate investment option in 2023, pivoting toward job creation and research-based investment pathways.
The Spanish government emphasized that its focus is now on “housing as a right, not a speculative asset.” The new policy ensures that no new Golden Visa applications will be accepted for real estate investment. Alternative investment-based residency routes such as entrepreneurship or job creation may remain under review.
What This Means for Global Investors
The announcement has sent shockwaves through the global residency-by-investment industry. Spain was one of the most popular Golden Visa destinations for non-EU nationals seeking access to the Schengen Area. The country’s climate, healthcare system, and lifestyle made it a top choice for retirees, remote workers, and business owners alike.
With the door now closed, investors are expected to redirect their focus to other countries with similar offerings.
Yusuf Boz, international investment advisor and founder of NotteGlobal, says the shift is already being felt in neighboring nations:
“We’re seeing a sharp uptick in inquiries for Greece, Portugal (via fund investment), and Latvia,” says Boz. “Spain’s exit creates a supply gap, and savvy investors are moving quickly to secure residency in other EU nations before potential changes occur there too.”
Housing Advocates Applaud, Industry Reacts Cautiously
While housing advocates and local governments have largely applauded the decision, real estate professionals and migration experts are more cautious. Many worry that the abrupt nature of the ban could damage investor confidence and affect Spain’s luxury property sector.
Property developers in Barcelona and Valencia had grown dependent on high-value foreign clients. The sudden cutoff may lead to a short-term market correction, though long-term effects will depend on whether Spain introduces alternative residency incentives or support for foreign direct investment through other means.
What Comes Next?
For now, those who already hold a Spanish Golden Visa will not be affected. Their existing permits will remain valid and renewable. However, the government has not clarified whether future renewals tied to property investments will be allowed indefinitely or be phased out.
Meanwhile, European policymakers continue to discuss broader reforms aimed at regulating and harmonizing investor migration schemes across the EU.
As Spain bans Golden Visas, it signals a broader shift in Europe toward more regulated, socially conscious investment migration programs. For high-net-worth individuals seeking EU residency, the landscape is evolving quickly—making early action and professional guidance more critical than ever.
For personalized advice and access to exclusive Golden Visa opportunities in Greece, Portugal, or Latvia, contact NotteGlobal to schedule a free consultation.
