Spain’s government announced plans to eliminate the “golden visa” program, which allows wealthy individuals from outside the European Union to obtain residency permits by investing more than half a million euros in real estate. Socialist Prime Minister Pedro Sánchez stated that the reform is part of the government’s efforts to prioritize access to housing as a right rather than a speculative business. The program, introduced in 2013 by the previous right-wing Popular Party government, has issued approximately 10,000 visas and has been criticized for contributing to property price increases and speculation within the housing sector. These issues have exacerbated the ongoing problem of soaring house prices, particularly in major Spanish cities.
Sánchez’s minority coalition government plans to discuss the reform during the weekly Cabinet meeting on Tuesday. The decision to eliminate golden visas comes as part of a broader strategy to address the challenges facing the housing market in Spain, including affordability and speculation. By revoking the program, the government aims to create a more equitable and sustainable housing market that prioritizes the needs of Spanish citizens over the interests of foreign investors. The move is likely to have significant implications for the real estate sector and could potentially lead to changes in property prices and investment patterns.
Critics of the “golden visa” program argue that it has had negative effects on the Spanish housing market, leading to price hikes and speculation that have made it difficult for many Spaniards to afford a home. By targeting foreign investors, the government hopes to alleviate some of the pressure on the housing sector and create a more level playing field for Spanish residents. While the program was initially intended to attract investment and stimulate economic growth, its impact on the housing market has been a cause for concern among policymakers and housing advocates.
The decision to eliminate golden visas reflects a broader shift in the government’s approach to housing policy, with a renewed focus on addressing the needs of Spanish citizens and promoting greater affordability and access to housing. By targeting programs like the golden visa that disproportionately benefit wealthy individuals, the government aims to create a more inclusive housing market that serves the interests of all citizens. This change in strategy is part of a larger effort to address the social and economic challenges facing Spain and to promote a more equitable distribution of resources and opportunities within society.
The government’s decision to scrap the “golden visa” program comes amid a broader push to reform housing policy in Spain and address the growing issue of affordable housing. By prioritizing the needs of Spanish citizens and aiming to reduce speculation and price hikes in the housing market, the government hopes to create a more sustainable and equitable housing system. The move is likely to have significant implications for the real estate sector and could lead to changes in investment patterns and property prices. Overall, the government’s decision reflects a commitment to prioritizing the well-being of Spanish residents and promoting a more inclusive and affordable housing market.
