I’ve been researching properties on the Iberian Peninsula lately, focusing on Spain and Portugal. Many people were previously drawn by the ‘Golden Visa,’ but the policies have changed. In Portugal, especially, the path to residency through property purchase is essentially closed. It feels like there’s less discussion about this on forums now, and the information is a bit outdated. So, I’m starting this thread to discuss whether it’s still worthwhile to buy property in these two countries at this point, or how our strategies should adapt.
My personal take is that without the Golden Visa ‘shortcut,’ buying property is returning to its true essence of being for residence and investment. Previously, one might have bought a less-than-ideal ‘visa property’ just to meet the €500,000 mark. Now, we can make decisions based purely on location, appreciation potential, rental yield, and lifestyle convenience. Take Portugal, for example. Although buying in central Lisbon and Porto no longer qualifies for residency, properties in regions like the Algarve, Madeira, or the Azores have become attractive. With beautiful scenery and lower prices, they seem like great options for a vacation home or retirement, and it’s worth looking at Iberian properties in these areas.
Over in Spain, the options are even more plentiful. In major cities like Madrid and Barcelona, property prices have remained robust. Renovating an old apartment in the city center makes it easy to rent out. The downsides are the high cost and significant taxes. Lately, I’ve been looking at Valencia and Málaga, which I think are future hotspots. They have great weather, a lower cost of living than the big two, and are developing rapidly. Málaga, in particular, is attracting many tech companies, becoming a sort of ‘Silicon Valley of the south.’ For remote workers like us, that’s a huge draw. Has anyone looked at properties in these cities? Please share your experiences
!
I’ve put together a simple comparison of some popular cities I’ve researched. It’s definitely not exhaustive, just something to get the conversation started. Please feel free to add to it or make corrections.
| City | Pros | Cons |
|---|
| Madrid | Economic hub, many job opportunities, rich cultural life | High property prices, hot summers, fast-paced lifestyle |
| Barcelona | Design capital, has beaches, highly international | Over-tourism, occasional safety issues, independence sentiment |
| Valencia | Moderate cost of living, pleasant climate, has both a beach and an old town | Fewer job opportunities than Madrid, relatively quiet |
| Lisbon | Strong historical feel, relatively cheap, popular with influencers | Prices have risen sharply, many tourists, hilly streets |
| Porto | Beautiful scenery, distinctive character, relaxed lifestyle | Damp and cold winters, smaller city size |
I think if you’re looking to buy in Spain or Portugal now, you need to adjust your mindset. Don’t focus on getting residency in one go or getting rich overnight. It’s better to view Spanish and Portuguese properties
as a form of asset allocation or a way to improve your quality of life. First, clarify your core needs: is it for your children’s education, your own retirement, or purely for investment and rental income? Once your goal is clear, looking at specific cities and areas becomes much easier. I’m not sure if my thinking is on the right track, it’s just my personal opinion, and I welcome everyone’s feedback and debate!
