The Golden Visa is a permanent residency visa that allows investors to gain European Citizenship through property. It was already making waves last year and we reported on it regularly. Now, in 2018, it has been breaking yet more records.
The early news was that almost 50% of the visas handed out this way were done so in Catalonia, in particular in Barcelona. We then covered developments to this Visa around the time of the Catalan referendum, confirming that the system would remain intact regardless of the political outcome. The visa, then, was going from strength to strength and this is a trend that has continued into 2018.
As El Pais recently broke in a new story, 563 of all the visas Spain has handed out in 2018 have been as a result of property investment. In other words, by investing over €500.000 in property and satisfying the Golden Visa’s requirements. This number, the total of only the first 10 months of this year, is already more than the total number for 2017.
The Golden Visa in an incentive, introduced in 2013, initially aimed at combatting the financial crisis faced at the time. It invites new investment to the nation, encourages entrepreneurship, and creates a more international society. It has proved a success, growing in popularity each year since its conception. At this current rate, 2018 would break the current record for most visas handed out this way.
The Inside Line
Casamona International CEO and Founder Tine Mathiassen addressed the matter. “We have noticed a year on year increase in the number of non-European citizens investing in real estate in Barcelona. We have regular contact with clients from America, the Middle East, and the Far East.
“These clients often seek to use property as an investment, rather than as an immediate home. Their typical budget is in the range of 500.000€ and 1.000.000€. This investment would qualify them for the Golden Visa.”
Does the Golden Visa have a future?
Whether or not this trend continues, however, is yet to be seen. The European Commission have recently indicated that they plan to revise the process through which people can gain European citizenships. There have been concerns about the lack of regulation and background checks in the system. It has allowed for money laundering and a possible rise in corruption. The European Commission may, consequently, take issue with the Golden Visa if it is deemed a risk to European regulation and safety.
Watch this space for future real estate news reports, and check out our blog for tips and tricks on life in the city and real estate here.
If you are interested in investing in real estate in Barcelona, or discussing the rental process further, please feel free to contact us or to visit our website for more information.