Golden Visa
Spain Golden Visa Guide for 2024: Pathway to Residency
The Spain Golden Visa program is an investment-based immigration pathway that grants non-EU individuals the opportunity to obtain residency in Spain. Designed to attract foreign investment, this visa provides a mutually beneficial arrangement: investors contribute to the Spanish economy, while gaining access to Spain and the broader Schengen Area.
Key Benefits:
- Residency: Investors, along with their families, can live and work in Spain.
- Schengen Access: The Golden Visa allows visa-free travel within the Schengen Area.
- Path to Citizenship: It potentially leads to permanent residency and citizenship.
Investment Criteria:
Applicants are required to invest in one or more of the following:
- Real estate property with a minimum value of €500,000.
- A capital investment in Spanish companies.
- Government bonds or a bank deposit in Spain.
Eligibility Requirements:
- Applicants must make a significant investment.
- Clean criminal record.
- Comprehensive health insurance in Spain.
- Sufficient financial resources to support themselves and their dependents.
Documentation:
The application process necessitates a set of documents, including proof of investment, a valid passport, and the fulfillment of relevant legal criteria set by the Spanish authorities.
Application Process:
Prospective applicants apply through the Spanish consulate or within Spain, if legally present. They are advised to engage with legal specialists in Spanish immigration to navigate the application process effectively.
General Requirements
Applicants must demonstrate sufficient financial means to cover their stay without the need for employment, ensuring their income does not undermine local labor opportunities. Additionally, those applying for the Golden Visa must not have any history of criminal records within their home country or any other country where they have resided for the past five years. Furthermore, applicants need a valid health insurance policy with coverage in Spain.
Age Requirement
To be eligible for the Spain Golden Visa, individuals must be at least 18 years old. This ensures that only legally accountable adults can make the significant investment required for the visa.
Investment Types
The program offers several investment options:
- Real Estate Investment: A minimum of €500,000 investment in Spanish real estate is required. The property acquired can be either residential or commercial.
- Capital Investments: The minimum threshold includes a capital investment of at least €1,000,000 in either quoted shares, unquoted shares, or a deposit in a Spanish bank.
- Business Projects: Alternatively, investments can be directed towards a business project deemed of public interest in Spain, with criteria such as job creation, social and economic impact, and contribution to scientific and/or technological innovation.
Upon making a qualifying investment, applicants will receive a Temporary Residence Permit (TIE) which is the physical document that evidences their legal status and grants them residency in Spain.
Application Process
The application process for the Spain Golden Visa requires meticulous documentation and adherence to specific submission protocols. Applicants should prepare for a clear set of steps and understand that the processing time can vary based on individual circumstances.
Documentation Needed
A key component in applying for the Spain Golden Visa is gathering the correct documentation. Applicants will need:
- A valid passport
- Proof of a qualifying investment, such as property purchase for a minimum of €500,000, a bank deposit, or investment in public debt securities
- A clean criminal record, evidenced by a Criminal Record Certificate from the applicant’s country of residence and any country where they have lived in the past five years
- Proof of sufficient financial means to support themselves and their dependents
- Health insurance valid in Spain
Documentation must be officially translated into Spanish and apostilled.
Application Form Submission
Applicants need to fill out the long-term visa application form accurately and attach a passport-sized photograph. This form, along with the aforementioned required documents, should be submitted either through a Spanish consulate or, if the applicant is legally in Spain, through a public registry office.
The documents typically include:
- Application form EX-01
- Form 790 code 052
- Receipt of fee payment
It’s essential to ensure that all documents are current, correctly filled out, and submitted in the prescribed manner to avoid delays or rejection.
Decision Timeframe
The decision on a Spain Golden Visa application should be communicated within 20 working days from the submission date. If applying from within Spain, it may take an additional three months to issue a Residence Permit once the Golden Visa has been granted. However, this is subject to individual cases and can vary depending on the volume of applications received and the accuracy of the submitted documentation.
Applicants can generally expect to receive short-term visa approval, allowing entry into Spain, followed by a Residence Permit, which can lead to permanent residency if the conditions are maintained for five years.
Investment Types and Requirements
The Spain Golden Visa program requires substantial financial investments in different categories to grant residency to non-EU investors. These categories are designed to bolster the Spanish economy while offering investors and their families a chance to reside in Spain.
Real Estate Investments
Investors looking to attain the Golden Visa must consider investing in real estate. The minimum amount to be invested in real estate property is €500,000. This investment can include one or multiple properties and must be free of any liens or encumbrances. The types of eligible properties include:
- Residential
- Commercial
- Land (with development potential)
- Industrial
Capital Investments
A capital investment made by an individual is another route to obtaining the Golden Visa. The investment must be of a significant amount, meeting or exceeding the following thresholds:
- €1 million in shares of Spanish companies
- €1 million in investment funds, venture capital funds, or investment funds of close-end type that are incorporated within Spain
- €1 million in a bank deposit with a Spanish financial institution
Government Bonds
Investing in Spanish public debt securities can also lead to Golden Visa eligibility. The requirement for this pathway is an investment in government bonds valued at a minimum of €2 million. These bonds are a stable investment option that contributes directly to the public treasury.
Business Investment
Applicants can invest in a business project that is considered to be of general interest, or in a company that has a real business activity. Key elements of a qualifying business investment include the creation of jobs, having a socio-economic impact on the geographical area of the investment, or contributing to technological or scientific innovation. The minimum investment amount in this category is not explicitly defined, but the project’s viability and impact are assessed rigorously.
Benefits of The Golden Visa
The Golden Visa program in Spain offers an array of advantages to international investors, extending benefits beyond the immediate investment to encompass residency, citizenship, and lifestyle enhancements for their families.
Residency and Citizenship
The Golden Visa Spain provides a rapid route to residency for investors and their immediate family members, including spouses and children. It offers a clear pathway to permanent residency and, after a set period of compliance with the program’s requirements, opens the possibility for obtaining Spanish citizenship through investment.
Family Reunification
Family reunification is a cornerstone of the Golden Visa program. Investors can extend the program benefits to their family, ensuring that spouses, children, and dependent family members can enjoy residency rights. This facilitates access to Spain’s education system and comprehensive healthcare, providing a high quality of life.
Freedom of Movement
A significant benefit of obtaining the Golden Visa is the freedom of movement it grants. Holders can travel visa-free within the Schengen Area, encompassing 26 European countries. This mobility is a key factor for business professionals and travelers seeking uninhibited access to the continent.
Economic Advantages
Investors contribute to the Spanish economy through residency by investment, supporting the financial health of the nation. In return, they may partake in the local economy, including establishing businesses or partaking in employment opportunities. With the Golden Visa, stability and economic interaction with Spain are markedly enhanced.
Financial Considerations
When applying for the Spanish Golden Visa in 2024, applicants must carefully evaluate the financial implications, including direct costs, taxes related to investments, and insurance requirements.
Costs and Taxes
Investment Costs:
- Minimum Investment: Applicants must invest at least €500,000 in Spanish real estate to qualify for the Golden Visa.
- Additional Costs: Beyond the purchase price, buyers should account for taxes and fees, such as property transfer tax (6-10% depending on the region) and legal and notary fees (1-2% of the property value).
Taxes:
- Income Tax: If one becomes a tax resident, they are subject to Spanish income tax on their worldwide income.
- Wealth Tax: Some regions in Spain impose an annual tax on the value of an individual’s economic interests.
Health and Medical Insurance
Requirements:
- Applicants must possess private health insurance from a company operating in Spain.
- The health insurance policy should offer coverage that is equivalent to that provided by the Spanish National Health System.
Considerations:
- Policy Coverage: Ensure the policy covers all family members without any copayments or gaps in benefits.
- Duration: The policy must be valid for at least one year with the possibility to renew.
Financial Institution Requirements
Economic Stability:
- Applicants must demonstrate they have sufficient funds to support themselves without the need to work. This implies having a stable income or savings.
Spanish Financial Institutions:
- Financial Proof: Documentation from a Spanish bank showing economic means is often required.
- Investment Origin: Applicants must prove that the funds for the investment come from legal sources.
By providing clarity on these financial aspects, applicants can better prepare for the Golden Visa process, ensuring compliance with Spanish regulations and a smoother path toward residency.
Renewal and Permanent Residency
Renewing the Golden Visa and transitioning to permanent residency are critical steps for investors who wish to maintain their ability to live and work in Spain long-term.
Renewal Requirements
Upon securing a Golden Visa, investors receive an initial residence permit valid for two years. To renew it, they must demonstrate continued ownership of the investment. The requirements for renewal typically include:
- Proof of maintained investment, such as real estate or financial assets.
- Evidence of spending a minimum amount of time in Spain, which may not necessarily mean residing full-time.
- Up-to-date documents demonstrating the applicant’s and their family’s good standing, such as a clean criminal record and health insurance.
Renewals are generally granted for five-year periods, given that the conditions of the initial visa are maintained.
Path to Permanent Residency
Holding a Golden Visa can eventually lead an investor to permanent residency and is a stepping stone to apply for Spanish citizenship. The specifics:
- Applicants must have legally resided in Spain for a minimum of five years.
- During this period, the investor must have maintained their investment and followed all renewal requirements.
- Permanent residency allows individuals to live and work in Spain indefinitely, reaping similar benefits to Spanish citizens without holding a passport.
- After ten years of legal residence, individuals may apply for Spanish citizenship, provided they meet all relevant criteria, including but not limited to language proficiency and integration into Spanish society.