Golden Visa scrapped

The Government’s decision to eliminate the ‘golden visa’ that allows foreigners to obtain a residence visa by investing in housing in Spain, has angered politicians and businessmen on the Costa del Sol, who believe that this measure will do nothing to slow down the rise in property prices.

On Monday April 8, Spain’s President, Pedro Sánchez, announced that: “We are going to eliminate the Golden Visa concession that allows access to resident status when more than €500,000 is invested in real estate”, adding, “we are going to take the necessary measures to guarantee that housing is a right and not a mere speculative business”.

The news has come as a cold shower on the Costa del Sol, one of the areas with the highest concentration of luxury homes in the country, largely in the hands of foreigners, in municipalities such as Marbella, Estepona, Mijas and Benahavís.

A huge source of income

The president of Malaga Provincial Council, Francisco Salado, said that the Sánchez government, “is trying to hide their neglect of investment in public or subsidised housing by attacking tourism once”, and went on to say that residential tourism is, “a huge source of income and employment for the country and the Costa del Sol”, as it has favoured the arrival of residents with high purchasing power who pay “many taxes and duties” here.

“It is absurd to think that the ‘golden visa’ has raised housing prices for young people”, said Salado. Councillor for Tourism, Foreigners and Local Development of Benahavís, Scott Marshall, agreed saying, “You can’t blame foreigners for the price of housing and rents”.