Golden Visa Opportunity: Buying a Home in Marbella for Spanish Residency| REAL ESTATE ARTICLES
The Golden Visa program, active in Spain since 2013, offers non-residents the opportunity to obtain Spanish residency by investing in real estate in Marbella or any other part of the country. This law allows foreigners planning to make a “significant investment” in financial assets, a business project, or properties to apply for a residence visa. Buying a Home in Marbella for Spanish Residency.
The term “significant investment” is quantitatively defined, setting minimum thresholds for each type of investment:
- Financial assets:
- Public Debt: minimum of €2,000,000
- Spanish company shares or equity participation: minimum of €1,000,000
- Investment funds, closed-end or venture capital: €1,000,000
- Bank deposits in Spanish entities: €1,000,000
- Investment in business projects: assessed based on its general interest impact.
- Investment in real estate: minimum of €500,000 net, excluding taxes.
Focusing on the opportunity to apply for residency, a non-resident foreigner intending to buy a house in Marbella must invest a minimum of €500,000 net, excluding taxes. Initially, the investor can obtain a six-month stay visa if a pre-contract with payment guarantee (down payment and bank deposit) for the property purchase exists but the purchase hasn’t been completed.
Upon acquiring the property, validated by the public deed of sale and registration certification, the investor can request a one-year investor residence visa. This visa allows residency and work in Spain during its validity.
Following this, the investor can apply for an initial two-year residence authorization. Upon completion, those interested in residing in Spain for a longer period can renew the residence authorization for successive five-year periods, provided the conditions for the initial investment are maintained.
The investment can be made through a legal entity, provided it’s not domiciled in a tax haven, and the visa applicant holds a majority stake in the company. A representative duly authorized by the investor can also apply for a residence visa.
Every complete tranche of €500,000 invested in real estate grants the right to apply for an investor residence visa for the investor and their family.
Furthermore, it’s possible to acquire a property worth more than €500,000, for instance, €1,000,000, with two investors, with each investor meeting the minimum investment requirement of €500,000 (50% each).
Lastly, an investor can also purchase multiple properties totalling an amount equal to or exceeding €500,000, for example, a home worth €470,000 and a garage worth €30,000, as long as the total surpasses the required minimum of €500,000 plus taxes.
The Key Advantages of the Spanish Golden Visa
Diverse Investment Options The Spanish Golden Visa presents a range of investment opportunities to meet visa requirements. This diversity allows investors to choose options aligning with their interests and financial goals. Besides property acquisition, investors can attain residency by investing (albeit in larger amounts) in public debt, government bonds, and more. Investment Opportunities
Inclusion of Family Members A notable feature of the Spanish Golden Visa is the inclusion of immediate family members in a joint application. This extends beyond granting residency to fostering a shared life in Europe for the entire family, encompassing spouses and minor children. Family Inclusion
Swift Application Process Complaints about the slow pace of Spanish bureaucracy are common among foreigners seeking residency permits. However, the Golden Visa process stands apart, delivering a quick resolution in just 20 business days, diverging significantly from the typical three-month wait in Spanish immigration offices. Fast Processing
No Requirement for Permanent Residence An essential advantage drawing many foreigners to this visa is the absence of a need for permanent residency in Spain. Unlike other Spanish residency permits that demand 183 days of residence and make the individual a tax resident, the Golden Visa necessitates only one annual visit to Spain for renewal, allowing individuals to avoid worldwide income taxation in Spain. Residency Requirements
These benefits make the Spanish Golden Visa an attractive choice for individuals seeking efficient residency solutions without the complexities of permanent residency obligations.
Our real estate Terra Realty aims to provide comprehensive information tailored to your individual situation if you’re considering purchasing property in Marbella as a non-resident seeking residency.
Writen by Patricia Durán | Nov 23, 2023