Starting in 2025, the Golden Visa in Spain will cease to exist. Discover how this change will affect the real estate market in Costa del Sol and what alternatives exist for investors.
The Golden Visa has been a key tool for attracting foreign investors to Spain, especially to Costa del Sol, where purchasing luxury properties has been a popular choice. However, starting in 2025, this visa will no longer be available, marking a significant change for international buyers. What does this mean for the Costa del Sol real estate market, and how can investors adapt to this new scenario?
What is the Golden Visa?
The Golden Visa has allowed non-European citizens to obtain residency in Spain through a significant investment. The most common option has been purchasing real estate worth over €500,000. This visa has been particularly popular among investors from countries like China, Russia, Germany, France, and the UAE, who seek not only property but also the opportunity to live in Spain and enjoy the freedom of traveling across Europe.
Why is the Golden Visa ending in 2025?
The Spanish government has decided to terminate the Golden Visa as part of broader reforms under the Law for the Efficiency of Justice. Although details are still emerging, this decision is based on the premise of fairer resource management and a more transparent approach to immigration policy. However, investors who have already applied for and received the visa can continue to use it as long as it remains valid.
Impact on the Costa del Sol Real Estate Market
Costa del Sol has been one of the most sought-after destinations for investors due to its climate, quality of life, and the option of enjoying a second home. With the end of the Golden Visa, many wonder how this will affect the demand for luxury properties. Despite the program’s discontinuation, experts suggest that the impact will be limited. Costa del Sol remains an attractive destination for those seeking luxury properties, thanks to its high standard of living and proximity to Europe.
Additionally, international buyers will continue to show interest in the region due to its excellent location, infrastructure, and long-term investment opportunities. However, those who relied solely on the Golden Visa might look for alternatives, such as investment visas through other means like investment funds or business creation in Spain.
Alternatives to the Golden Visa
Although the end of the Golden Visa changes the landscape, there are alternatives for investors still wishing to live and work in Spain. Some of these include:
- Investment visas in businesses: Investing over €1 million in a Spanish company.
- Investment visas in funds: Investing in investment funds or shares of Spanish companies.
- Non-lucrative residence visas: For those wishing to live in Spain without engaging in economic activities in the country.
What does this mean for future buyers in Costa del Sol?
For those interested in Costa del Sol, now is the perfect time to consider purchasing luxury properties before the legal changes take effect. Despite the end of the Golden Visa, the region will remain a highly desirable destination for international buyers due to its beauty, infrastructure, and quality of life.
The elimination of the Golden Visa in 2025 will mark a change in how investors access residency in Spain but will not significantly affect Costa del Sol’s appeal as a real estate investment destination. Those interested in this market should stay informed about legislative changes and explore the available alternatives to continue taking advantage of the opportunities the region offers.
Costa Sunsets offers a wide variety of properties in Costa del Sol, ideal for those looking for long-term investments in one of Europe’s most exclusive destinations. Don’t hesitate to contact us for more information about available options.
