Marbella – The Golden Visa: How Property Ownership Can Fast-Track Residency

The allure of Marbella is undeniable. With its stunning beaches, vibrant culture, and luxurious lifestyle, it’s no wonder that this coastal city has become a magnet for people worldwide. For those seeking not just a vacation destination but a place to call home, Spain’s Golden Visa program offers a unique opportunity. By investing in real estate, non-EU citizens can fast-track their residency in Spain, opening doors to a Mediterranean lifestyle and the many benefits that come with it.

What is the Golden Visa Program?

The Golden Visa program, officially known as the Spanish Residence by Investment program, was introduced in 2013 to attract foreign investment and stimulate economic growth. It offers non-EU/EEA/Swiss citizens a streamlined path to residency in Spain in exchange for a qualifying investment¹. The program has been a popular choice for those seeking a European lifestyle, access to Spain’s excellent healthcare and education systems, and the freedom to travel within the Schengen Area².

Recent Changes to the Program

In April 2024, Spain’s Prime Minister, Pedro Sánchez, announced plans to abolish the Spain Golden Visa program³. This was followed by the Senate’s restriction of the measure in December 2024 and the announcement of a veto³. However, Congress overturned the Senate’s veto on December 19, 2024, and proceeded with the suspension of the program³.

Despite these developments, the program is expected to continue accepting applications until April 3, 2025⁴. This means there is still a window of opportunity for those who act decisively⁵. The Spanish government plans to publish the final law in the Official State Gazette (BOE), likely in early 2025³.

Obtaining a Golden Visa Through Property Ownership in Marbella

One of the most popular routes to obtaining a Golden Visa is through property investment. By investing a minimum of €500,000 in Spanish real estate, non-EU citizens can obtain a residence visa for themselves and their families⁶.

Specific Requirements for Marbella

While the general requirements for the Golden Visa apply across Spain, there are a few specific considerations for those investing in Marbella:

• Minimum Investment: The minimum investment for a Golden Visa in Marbella is €500,000⁷. This can be in a single property or in multiple properties⁸.
• Eligible Property Types: The investment can be in any type of real estate, including residential or commercial properties⁸.
• No Mortgages: The investment must be made with the investor’s own funds and cannot be financed by a mortgage⁹.
• Property Valuation: The property valuation must meet or exceed the €500,000 threshold⁷. This valuation must be free of any charges or encumbrances, such as mortgages⁷.
• Legal and Tax Implications: Understand the legal and tax implications of property ownership in Marbella. This includes property transfer tax, VAT, and other potential taxes¹⁰. It’s crucial to consult with a lawyer specializing in Spanish property law to ensure a smooth and compliant purchase¹⁰.
• Local Expertise: Engage a reputable real estate agent with expertise in the Marbella market. They can guide you through the property selection process, provide insights into local trends, and assist with legal and financial procedures¹¹.

Alternative Investment Options

In addition to real estate, there are other investment options for obtaining a Golden Visa in Spain:

• Investment in Public Debt: Invest a minimum of €2 million in Spanish public debt securities⁷.
• Investment in Shares or Bank Deposits: Invest a minimum of €1 million in shares or bank deposits in Spanish companies⁷.

Process and Timeline for Obtaining a Golden Visa in Marbella

The process for obtaining a Golden Visa in Marbella generally involves the following steps:

1. Choose an Investment Route: Decide on your preferred investment option, whether it’s real estate, public debt, shares, or a bank deposit⁶.
2. Make the Investment: Complete the investment process, ensuring compliance with all legal requirements. This may involve working with a lawyer, obtaining an NIE number, and opening a Spanish bank account⁶.
3. Visa Application: Prepare and submit your Golden Visa application to the Spanish Consulate in your country of residence. Include all required documentation, such as: ⁸

• Application form
• Photographs
• Valid passport and photocopies
• Certificate of criminal record
• NIE number
• Proof of economic means
• Medical insurance contract

4. Visa Approval and Residence Permit: Once your visa is approved, travel to Spain to exchange it for a residence permit and provide biometric data⁶.

Timeline

The timeline for obtaining a Golden Visa can vary depending on individual circumstances and processing times. However, a general estimate is as follows:

• Visa Application: The Spanish Consulate typically takes 10 days to approve a Golden Visa application¹². If the application is not rejected within this timeframe, it is automatically granted¹².
• Residency Authorization: After the visa is approved, you can apply for a two-year residency authorization¹².
• Residency Renewal: The residency authorization can be renewed every five years, provided you maintain the investment and visit Spain at least once a year¹².

It’s crucial to start the process well in advance of the program’s termination deadline to allow sufficient time for completion.

Benefits of Obtaining a Golden Visa in Spain

The Golden Visa offers a range of benefits that make it an attractive option for international investors:

• Residency Rights: The Golden Visa grants residency rights to the investor and their family, allowing them to live, work, and study in Spain¹³.
• Schengen Area Travel: Holders of the Golden Visa can travel freely within the Schengen Area, which encompasses 26 European countries¹³.
• Path to Citizenship: The Golden Visa provides a pathway to permanent residency and eventually Spanish citizenship¹³. After five years of temporary residence, you can apply for permanent residency⁶. To be eligible for citizenship after ten years, applicants must have lived in Spain for at least 183 days per year during those ten years¹³.
• High Quality of Life: Spain consistently ranks high in quality of life indices, offering a Mediterranean climate, excellent healthcare and education systems, and a vibrant culture¹⁴.
• Investment Flexibility: The Golden Visa program offers flexibility in terms of investment options¹⁵. While you don’t need to live in Spain continuously, you do need to visit at least once a year to renew the visa⁷.
• Family Benefits: The Golden Visa allows you to include your spouse or unmarried partner, financially dependent children of any age, and financially dependent parents¹⁶. Your children can enroll in Spain’s high-quality public or private schools and later attend Spanish universities at local student rates¹⁵. Your family also gets full access to Spain’s comprehensive healthcare system¹⁵.
• Safe Haven: A residence permit allows holders to visit Spain anytime, even if the borders are closed to tourists¹⁴.
• Business Opportunities: A residence permit allows holders to operate and manage their businesses in Spain without any additional work authorization¹⁴. Entrepreneurs are allowed to transfer their businesses from abroad¹⁴.

Potential Drawbacks and Challenges

While the Golden Visa offers numerous advantages, it’s essential to be aware of potential drawbacks and challenges:

• High Investment Threshold: The minimum investment requirement of €500,000 can be a significant financial hurdle for some investors¹⁴.
• Investment Risks: As with any investment, there are inherent risks associated with property ownership. Market fluctuations, potential legal issues, and unexpected costs can impact your investment¹⁴. For example, in 2023, the Spanish government implemented housing legislation with the aim of limiting the escalation of rental prices¹⁷. This could potentially affect rental yields for investors.
• Tax Implications: It’s crucial to understand the tax implications of property ownership and residency in Spain¹⁴. This includes potential wealth tax, income tax on rental income, and capital gains tax if you decide to sell the property¹⁸. For example, non-residents must pay income tax on any income received through property ownership in Spain, even if the property is not rented out¹⁹.
• Squatter Risks: Villas and properties that are left vacant for extended periods can be vulnerable to squatters¹⁴. Evicting squatters can be a lengthy and challenging process in Spain¹⁴. For example, squatters occupied a residential building in Spain and used banners to declare their intention not to vacate the property¹⁴.
• Program Termination: The upcoming termination of the Golden Visa program adds uncertainty and potential complications for those considering this route to residency²⁰.

Strategic Investment Considerations

When considering property investment for a Golden Visa in Marbella, it’s crucial to evaluate different property types based on your investment goals and lifestyle preferences:

• Luxury Villas: Marbella offers a wide range of luxury villas, often located in exclusive neighborhoods like the Golden Mile or La Zagaleta¹¹. These properties offer privacy, expansive living spaces, and premium amenities, making them attractive to high-net-worth individuals²¹. However, they also come with higher purchase prices and potential maintenance costs.
• Apartments: Apartments in Marbella cater to a variety of budgets and preferences¹¹. They can be a more affordable option than villas and offer a lower-maintenance lifestyle²¹. However, rental yields and capital appreciation potential may vary depending on location and amenities.
• Townhouses: Townhouses provide a balance between the space of a villa and the convenience of an apartment¹¹. They often feature private gardens and terraces, offering a blend of indoor and outdoor living²².

Residency Options After Golden Visa Termination

With the Golden Visa program ending, it’s essential to consider alternative residency options in Spain:

• Non-Lucrative Visa: This visa allows non-EU citizens to reside in Spain without working, provided they can demonstrate sufficient financial means to support themselves and their families²³.
• Work Visa: This visa is for those who have a job offer from a Spanish company. It allows you to live and work in Spain for the duration of your employment contract.
• Study Visa: This visa is for those who want to study in Spain. It allows you to live in Spain for the duration of your studies.

Synthesis and Conclusion

The Golden Visa program offers a unique opportunity for non-EU citizens to obtain residency in Spain through property investment in Marbella. While the program’s upcoming termination adds a sense of urgency, it’s crucial to approach the process with careful planning and due diligence. By understanding the requirements, benefits, and potential drawbacks, and by working with experienced professionals, investors can make informed decisions and maximize the benefits of this program.

Marbella, with its luxurious lifestyle, stunning scenery, and thriving real estate market, remains an attractive destination for those seeking a Mediterranean lifestyle and a secure investment. The Golden Visa program, while temporary, provides a valuable pathway to residency, opening doors to a brighter future in Spain. Act now, before it’s too late!

Works cited

1. Spain – Golden Visa Cancelled – KPMG International, accessed February 11, 2025, https://kpmg.com/xx/en/our-insights/gms-flash-alert/flash-alert-2025-008.html

2. Spain Golden Visa Guide for 2025: Pathway to Residency, accessed February 11, 2025, https://globalresidenceindex.com/spain-investor-residency/

3. Spain’s Congress Votes to Suspend the Spain Golden Visa Program, accessed February 11, 2025, https://getgoldenvisa.com/industry-insights/suspension-of-spain-golden-visa

4. Golden Visa: Spain abolished its programme – Echeverria Abogados, accessed February 11, 2025, https://echeverriaabogados.com/en/blog/breaking-news/golden-visa-spain-abolished-programme

5. Secure your Spanish residency before April 3rd 2025 deadline, accessed February 11, 2025, https://www.panoramamarbella.com/news/spanish-residency-golden-visa

6. Golden Visa Spain: Updated Guide for 2025 – Global Citizen Solutions, accessed February 11, 2025, https://www.globalcitizensolutions.com/golden-visa-spain/

7. Golden Visa Spain 2025: Requirements and Fast Application – MySpanishResidency, accessed February 11, 2025, https://www.myspanishresidency.com/visas-spain/golden-visa/

8. Obtaining the Golden Visa in Malaga and Marbella – TEJADA Solicitors, accessed February 11, 2025, https://tejadasolicitors.com/english-lawyers-malaga/golden-visa-spain/

9. Golden Visa | MYT Real Estate, accessed February 11, 2025, https://mytrealestate.com/en/golden-visa/

10. Buying property in Spain: 6 Key legal and tax requirements – Mortgage Direct, accessed February 4, 2025, https://mortgagedirectsl.com/general-news/spain-property-requirements-2024/

11. Buying a Property in Marbella in 2025: Everything You Need to Know, accessed February 4, 2025, https://marbellainvestpro.com/buying-property-in-marbella-in-2025-everything-you-need-to-know/

12. Spanish Golden Visa Guide – Set On Spain, accessed February 11, 2025, https://setonspain.com/golden-visa-guide/

13. Spain Golden Visa Requirements, Supporting Documents, and Application Steps, accessed February 11, 2025, https://visaguide.world/golden-visa/spain-golden-visa/

14. Spain Golden Visa: 15 benefits and 11 disadvantages of Spanish residence permit, accessed February 11, 2025, https://immigrantinvest.com/blog/spain-golden-visa-pros-and-cons-en/

15. Spain Golden Visa program: Full guide – Wise, accessed February 11, 2025, https://wise.com/us/blog/spain-golden-visa

16. Spain Residence by Investment Program – Henley & Partners, accessed February 11, 2025, https://www.henleyglobal.com/residence-investment/spain

17. Estepona’s property market booms in 2023 – Iberia Living, accessed February 4, 2025, https://www.iberialiving.com/news/esteponas-property-market-booms-in-2023

18. Property Tax in Spain for Foreigners in 2024, accessed February 4, 2025, https://thepropertyagent.es/property-tax-spain-foreigners/

19. Taxation In Spain – Real Estate Investments | Marbella & Beyond, accessed February 4, 2025, https://www.marbellaandbeyond.com/taxation-in-spain-real-estate-investments/

20. Spain Golden Visa vs Portugal Golden Visa: Why Racing Against Time Could Cost You Everything – IMI, accessed February 11, 2025, https://www.imidaily.com/sponsored-feature/spain-golden-visa-vs-portugal-golden-visa-why-racing-against-time-could-cost-you-everything/

21. Is it profitable to invest in luxury apartments in Marbella?, accessed February 4, 2025, https://www.primeinvest.es/en/our-blog/luxury-apartments-in-marbella

22. Investment Insights: Buying Luxury Property in Marbella – LUXUO, accessed February 4, 2025, https://www.luxuo.com/properties/buying-luxury-property-in-marbella.html

23. Spain’s Golden Visa program ends this April: Don’t miss your last chance to apply., accessed February 11, 2025, https://www.dmproperties.com/44793-changes-spains-golden-visa-program