Recently, there have been more and more posts on forums about how to settle in Spain, especially on the topic of getting residency through property purchase, which always sparks a lively debate. Many people confuse the ‘Golden Visa’ with the ‘Non-Lucrative Visa.’ To put it simply, the Non-Lucrative Visa doesn’t require you to buy property, but it comes with a minimum stay requirement of six months per year and, in principle, does not permit you to work. The Golden Visa, on the other hand, is what we often refer to as property-based immigration, and its requirements are much more relaxed. Today, let’s dive into the details of what this Golden Visa is all about.
Core Conditions of the Golden Visa
The most crucial condition is to invest in real estate in Spain with a value of at least €500,000. There are a few key points to note regarding the costs of buying property in Spain:
- This is the net investment amount, and it does not include taxes, lawyer fees, notary fees, etc., associated with the purchase. Including all miscellaneous expenses, it’s wise to budget at least €550,000 in total to be safe.
- The investment can be in one or more properties, including residential homes, commercial units, or garages, as long as the total value reaches €500,000.
- This €500,000 must come from your own funds and cannot be financed by a Spanish bank loan; this is a core policy of the Spanish Golden Visa. However, you can apply for a loan for any amount exceeding the €500,000 threshold.
What Else Is Required Besides Money?
Besides the investment, applicants also need to meet some basic personal and financial requirements:
- The main applicant must be at least 18 years old.
- Have no criminal record in Spain or in any country where you have resided in the last 5 years.
- Purchase a comprehensive health insurance policy that is valid in Spain.
- Prove sufficient financial means to support yourself and your family in Spain. The specific requirements, based on Spain’s IPREM index, are detailed in the table below.
| Family Member | Financial Requirement |
|---|
| Main Applicant | 400% of IPREM, approx. €28,800/year |
| Each additional dependent | 100% of IPREM, approx. €7,200/year |
The Visa Process and Renewal
The general process is: travel to Spain to view properties and sign a preliminary contract -> transfer funds and complete the purchase -> prepare documents and apply for the visa. You will initially receive a 1-year Type D visa. After arriving in Spain, you will exchange it for a residence card valid for 3 years. That’s right, the latest policy has extended the validity from the previous 2 years to 3, making it more favorable for applicants! The subsequent renewal is for 5 years. One of the biggest advantages of the Golden Visa is that there is no minimum stay requirement! For renewal, you only need to enter Spain once during the validity period of your permit, which doesn’t interfere with your business or life in your home country at all.
The Golden Visa is tailor-made for individuals with sufficient funds who do not want to be tied down by ‘minimum stay requirements’ and wish to obtain residency for their families as well. Although the threshold is high, its flexibility and convenience are very appealing. What are your thoughts on this visa? If anyone here has already gone through the process, would you be willing to share your experiences or any ‘pitfalls’ you encountered? Let’s discuss!
