
Spain has decided to restrict the purchase of housing for non-resident foreigners from countries outside the European Union. Learn about the new restrictions and how these measures will affect the housing market, investors, and the affordability of housing for Spanish citizens
On January 13, Spanish Prime Minister Pedro Sanchez announced a new government initiative that could significantly affect the country's real estate market.
In particular, non-residents from countries outside the European Union are to be subject to a significant increase in tax liabilities when purchasing real estate in Spain. According to Majorca Daily Bulletin, these measures are intended to make housing more affordable for Spanish citizens.
New draft law: essence and purpose
According to El Economista, one of the key points of the initiative is to restrict non-EU foreigners from buying housing.
According to Sanchez, the tax burden for such buyers could reach 100% of the property value. This step is explained by the need to combat the shortage of housing for Spanish citizens.
"In 2023 alone, non-residents from outside the European Union purchased 27,000 houses and apartments. This housing was bought not for living, but mainly for speculation. To make money on it. In the context of the deficit we are experiencing, we cannot afford this," the Prime Minister said.
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Impact on foreign buyers
If the draft law comes into force, it will pose a serious challenge for potential buyers from the UK, the US and other non-EU countries. This is especially true for those who planned to buy a vacation home in popular resorts in Spain.
According to experts, such changes could lead to a significant decrease in foreign interest in the Spanish real estate market.
Why is it important for Spain?
The proposed changes are part of the government's broader strategy to reduce social inequality and ensure affordable housing for the local population.
According to the authorities, limiting speculative transactions by foreigners will help stabilize prices in the real estate market and reduce the pressure on Spanish families.
If you are planning to invest in real estate abroad or have already faced legal issues regarding the purchase of a home, contact Visit Ukraine's professional real estate lawyers. We will help you understand all the nuances of local legislation, provide full legal support for the transaction, and protect your interests. With us, your investment will be safe and secure!
Just a reminder! The year 2025 has brought important changes for all travellers planning to visit the European Union. The changes apply to both visa-free travel and tourists with Schengen visas. Read more about the new rules for entering the EU in 2025 here.
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