Spain Abolishes Golden Visa Program but Luxury Real Estate Market Unaffected, Experts Say
Spain’s decision to abolish its Golden Visa Program is unlikely to deter wealthy international buyers from purchasing high-end properties, as their primary focus remains on profitable investments rather than residency, according to real estate experts.
On April 3, 2025, the Spanish government officially announced the end of the Golden Visa Program, a policy that granted residency in exchange for real estate investments worth €500,000 or more, as reported by Schengen.News. The move is part of broader efforts to tackle the ongoing housing crisis in the country.
In addition to discontinuing the program, Spanish authorities have proposed a new tax of up to 100 per cent on properties purchased by non-EU nationals. The aim is to curb property speculation and address affordability concerns for local residents.
However, some industry professionals question the effectiveness of this measure. Immigration and property lawyer Maryem Essadik, CEO of Barcelona-based Marfour Law, told The Local Spain that such policies may not yield the desired impact. She noted that foreign investors typically compete in the luxury market, which remains inaccessible to middle- and low-income Spaniards.
Despite the government’s recent reforms, real estate experts argue that removing the Golden Visa option will not lead to greater affordability in Spain’s high-end property market. They cite examples from Madrid, the Balearic Islands, Valencia, and the Costa del Sol—regions where demand for luxury real estate remains robust.
José Miguel Artieda, President of the Official College of Real Estate Agents (APIS) of the Balearic Islands, reinforced this viewpoint, telling Spanish newspaper El Confidencial that demand for luxury and super-luxury housing in the Balearic archipelago far exceeds supply.
100% Tax on Non-EU Property Buyers
Spanish Prime Minister Pedro Sánchez recently outlined plans to impose a tax of up to 100 per cent on property purchases by non-EU nationals. He highlighted that, in 2023 alone, foreign buyers from outside the European Union acquired approximately 27,000 properties in Spain—primarily as investment assets rather than primary residences.
This initiative is part of Spain’s broader strategy to curb the expansion of short-term rentals and enhance housing accessibility for local citizens. Sánchez emphasized that housing affordability is a critical issue across Europe and reaffirmed the government’s commitment to ensuring that housing remains a fundamental right rather than a speculative asset.
