Spain Residency by Investment

The Spain golden visa program, also known as the Spain residency by investment program, allows foreign nationals to make a significant investment in the country and apply for an investor visa.

Successful applicants and their families are granted visa-free travel throughout the Schengen Area of Europe.

Spain residency by investment overview

In 2013, the Spain Golden Visa Program was established. Applicants must choose one of these residency by investment options: 1) buy real estate or securities, 2) open a deposit with a Spanish bank, or 3) invest in a business project. We will go over the investment amounts for obtaining permanent residence in Spain in the investment section below.

Language and cultural exams are not required for investors. Furthermore, they are not required to reside in Spain, and the law permits them to rent out the investment property.

If the Golden Visa holder has lived in Spain for five years and obtained permanent residence, they will be able to return their investments. A permanent resident can apply for citizenship after another five years in the country. However, there is a requirement that the first passport be returned, unless the applicant falls in certain categories (explained below).

The Spain Golden Visa Program

Spain is a highly sought-after investment destination and one of the most desirable destinations in the world. Every year, millions of visitors come to enjoy the country’s amazing nature, beautiful beaches, diverse culture, and rich history. The Spain Residence by Investment Program is the most efficient way for those who want to live in this vibrant country to obtain such status. The Spanish government has made a large number of visas available to individuals who wish to make a significant, qualified investment in the country in order to boost the economy through foreign direct investment.

Individuals and their immediate family members can become residents of Spain (via a temporary residence permit) in less than a month under the residence by investment program. Residents by investment, subject to general immigration rules and requirements, can obtain permanent residency status after five years of continuous residence in Spain, and may then obtain Spanish citizenship.

On the 2022 Global Residence Program Index, the Spain Residence by Investment Program is ranked eighth out of 26 programs.

The Benefits of a Spanish Golden Visa

The Spanish Golden Visa Program encourages foreign investors to invest in real estate, job creation, and public debts in Spain. Through a minimum property investment of €500,000, investors and their families can obtain temporary residency in a matter of months. Other investment options include business, government bonds, and bank deposits.

The legislation does not require a minimum period of residence; an initial residence card is issued for two years and is then renewable every five years.

The Spain Golden Visa Program is a true gateway to Europe, allowing you to travel visa-free throughout the European Union and the Schengen Zone. This program allows the investor to consider residency acquisition as a first step toward permanent residency and, if necessary, citizenship acquisition.

Further residency requirements must be met; permanent residency can be obtained after 5 years, and citizenship after 10 years.

It is not necessary to live in Spain to keep and renew the residency visa permit. However, the investor and their family must reside in Spain in order to obtain permanent residency and citizenship. The Spanish Golden Visa is an investment-only visa that requires no contribution or donation to a fund.

Other advantages include:

• A high quality of life
• The ability to include a spouse or unmarried partner, financially dependent children of any age (adult children must be full-time students), and financially dependent parents of the main applicant and/or their spouse who are 65 years or older
• Access to the country’s public healthcare and education systems
• Possibility of obtaining a Spanish passport after two years of effective residence for Sephardi Jews and citizens of Equatorial Guinea, Latin America, and the Philippines, and after ten years for other nationals.
• Excellent schools with instruction available in English, French, German, Italian, Japanese, and Mandarin

Investment options

The Spanish Golden Visa Program provides a variety of investment options, including a real estate purchase for at least €500,000, making a bank deposit of at least €1,000,000, investing €1,000,000 in a business project, or a €2,000,000 government bonds investment.

The most popular option is to invest in real estate in Spain as an alternative Mediterranean residence to enjoy with the family. The investment is always yours and can be withdrawn after 5 years.

5 years is the minimum investment period. You will need to maintain your investments in order to keep and renew your residence permit. If your main goal is to obtain permanent residency in Spain, you can then withdraw your investments.

You must make one of the following investments to be eligible for a Spanish Golden Visa:

OPTION 1 – €500,000 for real estate investments

Purchase at least €500,000 in Spanish real estate. The property can be a single unit or several units, with a total value of no less than €500,000.

OPTION 2 – €1,000,000 in shares or business investments

Investing in a Spanish company or buy Spanish companies’ stocks for a minimum of €1,000,000. Or invest in a new business that will create jobs, contribute to scientific and/or technological innovation, and have a significant socioeconomic impact in the area where the business will be established.

OPTION 3 – €2,000,000 in government bonds

Make a €2,000.00 investment in Spanish public debt by purchasing of Spanish government bonds.

OPTION 4 – €1,000,000 bank deposit

Funds transfer of €1 million into a Spanish bank account.

In addition to the investment, you must also meet the following criteria:

• You must be of legal drinking age (+18).
• You must not have a criminal record.
• You must not have previously been denied a Schengen Visa.
• In Spain, you must have private health insurance.

Procedures and time frame of the Spain golden visa

Applications for the program must be submitted on the prescribed forms, along with the appropriate fees and supporting documentation. Residence permits are typically issued after a 20-day consideration period and have an initial duration of two years, renewable for five years upon request, provided the applicant maintains a minimum investment in Spain.

The application procedure is divided into two stages:

1. In the first phase, applicants apply for a Spanish residence visa in their home country, which allows them to live and work in Spain for one year.
2. Applicants apply for a Spanish residence permit in the second phase. If they arrived in Spain on a regular tourist visa, they can apply for the residence permit directly, skipping the first stage.

The main investor, spouse or partner (including unmarried or same-sex unions), and all economically dependent descendants are all eligible for the residence permit.

There is no minimum stay requirement to maintain residence status, but the first residence permit must be obtained in Spain.

How to Obtain Permanent Residence and Citizenship in Spain

There is no way to gain Spanish citizenship through investment. An investor can become a Spanish citizen through naturalisation: obtain a residence permit through investment, relocate to the country, obtain permanent residence in a few years, and then apply for citizenship.

To be eligible for permanent residence, you must have lived in the country for at least 5 years. During these five years, you cannot spend more than ten months outside of Spain. It is not advised to travel frequently outside the country or to leave Spain for more than three months in a row.

An applicant for permanent residency must demonstrate financial stability, Spanish residence, and medical insurance. When deciding on the application, the investor’s law-abiding nature and level of integration into Spanish society are taken into account. It is also determined whether the applicant filed annual tax returns and paid all taxes on time.

Permanent residency is valid indefinitely. Every five years, the permanent resident card is renewed.

Adult applicants must have a residence permit or permanent residence card in Spain for at least 10 years in order to obtain citizenship. They also pass two examinations:

• DELE to confirm Spanish language proficiency at the A2 level or higher;
• CCSE to demonstrate knowledge of Spanish cultural and legal life.

Because Spain forbids its citizens from holding multiple citizenships at the same time, you will have to give up your first citizenship. Citizens of three European countries — France, Portugal, and Andorra — and several Latin American countries where Spanish is recognized as the official language are exempt.

Minor children of Spanish citizens are automatically granted citizenship in Spain. Exams are not required for children.

If at least one of the parents is a Spanish citizen, a child can be granted Spanish passport at birth. It makes no difference where you were born.

If the parents switch to Spanish citizenship, their child can become a Spanish citizen within two years. It makes no difference how long the child has lived in Spain.

Children born in Spain do not automatically acquire citizenship by birthright. After a year of living in the country with a residence permit, they can become Spanish citizens. Thus, at least one child’s parent must also have a residence permit.

Differences between a Golden Visa and a residence permit for financially independent individuals

Those who receive passive remote income and housing in Spain can apply for a residence permit and Spanish visa for financially independent people. For at least a year, the housing can be owned or rented.

To obtain a one-year residence permit, one must demonstrate financial solvency. The applicant’s Spanish bank account must have at least €27,000. Each family member requires an additional €7,000.