01 Jul 2013
Residence permit for foreign investors who purchase properties in Spain approved
The purchase of properties from 500,000 euros upwards by foreigners will entitle them to a residence permit for two years, but not a working permit, according to clarified sources at the Ministry of Economy.
This clause, one of the most striking of the new laws applicable for entrepreneurs, has been created in order to "avoid embarrassment" to those foreign citizens having to leave the country every ninety days to renew their visas, and according to these sources, it has already been operating successfully in other nations such as Portugal and Ireland
It is high-income investors who nevertheless must pass all mandatory controls the Interior Ministry to check things like the absence of a criminal record.
This residence permit does not include a work permit, or the right to public health or welfare services, the mentioned sources stress.
Some experts predict a price inflation of the market for luxury properties.
Investing €500,000 or more in a Spanish property, whether for residential or commercial purposes, and in a property in Mallorca for example but also by investing in financial assets like Spanish government debt.
Granted permission to reside in Spain, also requires a number of guarantees, as the person will be given the permit provided that the checks carried out by the Interior Ministry are satisfactory. This residence permit will be for a period of 2 years and may be renewed, provided that the investment of 500,000 euros in Spanish real estate remains in place. On the other hand, also confirmed are granted residence permits for foreigners who make a purchase of public debt of over 2 million.
An increase in the residency-permit investment will be good for upmarket property segments in Mallorca or Ibiza , where sales have been increased by Russian, Chinese or Asian buyers in the last years.
The residency permit also provides an attractive incentive for foreigners to invest in business projects that create jobs or have a significant impact in terms of socio-economic or scientific and technological innovation.
With regards to other aspects of the standards, such as the so-called Express license being increased locally to 500 meters, which allows certain business ventures to open without certain municipal licenses, these are future plans to increase both the surface and the type of business, providing research affirms the success of this initiative.
You can now take advantage of the latest Spanish Government’s new law which will grant the residence for foreign investors who purchase properties in Spain.
Balearic Properties is one of the leading companies in Mallorca hosting luxury real estate properties in the most beautiful spots of the Balearic Islands. By buying one of the homes listed below, investors will get the possibility to obtain a legal residence permit to live in Spain
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