WITH 500,000 € INVESTMENT GOLDEN VISA TO SPAIN
Since 2013 running Spanish Golden Visa program has been very popular because it is clear and very prompt. An investment of 500,000 € to real estate sector will gain family residency. The Spanish investor visa can be renewed every second year. After five years it is possible to gain permanent residency and after ten years is possible to gain a citizenship. One main advantage with Spanish Golden Visa program is that it is not necessary to live in Spain in order to retain and renew the residency visa permit.
Spanish Golden Visa program has been designed for real estate investors to a route gaining residency in Spain. The program started on September, 2013 and is valid today. The Golden Visa program in Spain provides very flexible in terms of the family options it offers however it is restrictive when it comes to the route to citizenship. Generally, government fees are low and the process is quick and reliable. It is ideal for residency but slow for those who requiring a second passport.
INVESTMENT IN BRIEF
General rule is that 500,000 € investment is required into real estate sector in Spain. The property or properties, either residential or commercial, can be rented for income. Major advantages are that any number of properties can combine to make up the 500,000 € minimum investment and joint investors can combine investments into one or several property(ies). The property can also become mortgaged for any investment exceeding the minimum amount.
An application can be made once a contract for investment has been signed and prior to completion of buying at the notary. Funds must be ready for investment in a bank account in Spain because money transfers will be done at notary. The application process for the residency visa takes normally just two weeks. It is issued for two years, if applied for in Spain, and can then be renewed for a further five years provided the investment is maintained.
When our Customer has decided to start a property selection, named Proproperties.pro’s professional start seeking with the Client. New build properties are easier and faster to select than resale properties. Proproperties.pro take care of buying process with experienced lawyer company and the same company runs the application process, conveyancing and legal work for the property. Proproperties.pro’s named professional is Client’s single point of contact in Spain.
Normally we start the process with Client with initial requirements specification discussion. This gives to both sides a general view for investment and after that we introduce the Client to lawyer company to start an application process.
After a preselecting of a proper properties we recommend 3 to 4 days visit to Spain and target area. During the visit Properoperties.pro and the Client view selected properties, agree buying and has a meeting with Golden Visa application lawyer. The application itself can be done in Spain or at a consulate outside of Spain. Proproperties.pro recommends that the Client makes a POA (Power of Attorney) with the lawyer (company) at the same visit.
REQUIREMENTS AND CONDITIONS
Applicant has to fulfill some requirements and all conditions must be fulfilled. First requirement was an investment amount to the real estate sector. Applicants will need also a clear criminal record, medical insurance and sufficient economic situation to cover any stay in Spain. Also applicants must not have previously been refused visas or entry into the Schengen zone. Applicants satisfying such criteria are granted to get a Golden Visa in Spain.
The requirements for the investor visa are briefly:
- Minimum investment is 500,000 €.
- Clean criminal record
- No previous refusal of entry or visa to the EU
- Sufficient medical insurance (in case you decide to stay in Spain)
- Bank statements to prove sufficient income (in case you decide to stay in Spain)
- being at least 18-years-old
Other non-property investment ways to apply Golden Visa process are:
- Invests 2 million € in Spanish debts
- Invests 1 million € Spanish companies ( stocks)
- Deposits 1 million € in a Spanish bank account
- Is hired as a highly qualified professional by a company in Spain
- Plans on realising a business project considered to be of special economic interest
FEES FOR APPLICATION AND PROPERTY INVESTMENT
Golden Visa application fees for lawyer and government processing fees will apply for the process to the applicant and family. This is variable cost and depending on family set up and situation. We recommend to budget around 6-8,000 € for a family application.
Buying a real estate in Spain effects certain taxes, stamp duty and fees. Main element of this package is local VAT (IVA) or asset transfer tax which is 10% with residential properties. Fees is also needed for conveyancing fees, typically around 1-1,5% of the property purchase price and some minor expenses – totally 11-12% to top of purchase price.
Qualifying family members include spouse and all children under 18. Children 18 and over and parents can qualify if dependent.
Investors will only be taxed on their worldwide income if they are resident in Spain for over 183 days in any year. For those non-resident individuals tax is charged at 24.75% on income derived in the country, such as rental income. This can be reduced with expenses. Capital gains tax (CGT) applies to any profit on the sale of a property. CGT starts at 24% rising to 27% for gains over 50,000 €. There are allowances and deductions that can be made. Annual property taxes are payable to the local authority, typically 200 – 400 € per year for an apartment and 500 – 2000 € for a Villa.
LIVING AND WORKING
Applicants deciding to live full time in Spain will require medical insurance. Families will have access to all public services including state medical care and schooling. State schooling follows the Spanish curriculum but there are also several English international schools also.
The Spanish residence permit gained through the Golden Visa allows freedom of travel throughout the EU Schengen zone.
SPANISH CITIZENSHIP, PASSPORT, PERMANENT RESIDENCY AND GOLDEN VISA DISPOSE
Permanent Residency can be gained after five years in Spain provided the applicant has lived in the country for more than six months each year. Citizenship can be applied for after living full time for ten years. Applicants will need to have been resident throughout that period in order to gain citizenship and a Spanish passport. Once applicants have either permanent residency or citizenship then they are free to dispose of their investment as further Golden Visa renewals are not necessary.
- Applicants gain the right to live in Spain with the golden visa although there is no requirement to do this.
- There is no minimum stay requirement.
- With the residency card all family members will have freedom to travel to and throughout the EU Schengen visa zone with ease and without further visa applications.
- Gaining a passport in Spain is a long process and requires the applicant to live in the country. However, eventual passport holders gain European residency, meaning the ability to live, work, study and travel freely anywhere within the European Union. Some European Union member states has some rules to agree.
PRE VISIT STAGE
- We will help plan your visit but you will need a Schengen visitor visa for access to visit Spain.
- We also advise You on the most appropriate areas and real estate investments to suit your current and future needs. Lifestyle, rental, intended usage, capital growth, business and travel needs can play a part in this.
- We make to visiting group a schedule and program to full fill all required steps and desired happenings or leisure activities.
VISITING AND AFTER STEPS
During your visit to Spain you will essentially need to do 4 things in smooth lead of Proproperties.pro:
- Visit and view properties with us and our trusted partners
- Meet with lawyers and grant a Power of Attorney (POA)
- Open a bank account – needed document is just a passport
- Application for NIE. NIE is a tax identification number in Spain, known in formally the “Número de identidad de extranjero”.
Proproperties.pro will take care of all arrangements and accompany you. All an official matter can be done with conversations just in a few hours because of our superb beforehand work and arrangements. Proproperties.pro uses for Your a legal advice company which has very wide experience and dedicated personnel for Golden Visa activities.
We welcome You and Your family to our Clients. With Proproperties.pro You can get a remote pre-consultation, a proper arrangements and trusted services to reach agreed objectives. For all through Proproperties.pro bought properties are eligible for free life time service management.
This means that if there’s a problem with Your property, just contact us and we’ll arrange needed services and support to you. Our service provider network is wide and professional.