Following a somewhat muted start to the Spain’s Golden Visa scheme, improvements made in July 2015 have seen investment levels soar some 63% in 2016.
Figures to the end of October 2016 show an increase of 63% in total invest within the initiative jumping from the 1.05 billion Euro’s invested in 2015 to 1.71 billion Euro’s to the end of October the following year. The most popular investment by far was real estate with 94% of transactions amounting to 77% of value.
Introduced in 2013 the Spanish Golden Visa offers a pathway to permanent residency along with travel throughout the Schengen territories to non-EU nationals in return for investments in Spain, among them investments of 500,000€ or more in Spanish real estate.
The rise in investment within Spain’s Golden Visa scheme highlights the the countries diverse international appeal with Chinese and Russian investors leading the way.
Real estate purchases by Chinese buyers leapt 75% to the end of October, investing a total of 469 million Euro’s, spending on average 703,724 Euro’s per property. In terms of destination, the Spanish capital of Madrid was the most popular amongst Chinese Investors.
Málaga, home to the Costa del Sol was the most popular destination amongst Russian buyers who invested a total of 469 million Euro’s, an increase of 46% on the previous year. The average spend per property for Russian investors in 2016 was 786,000 Euro’s.
The step up in activity within the Spanish property market is not limited to Russian and Chinese buyers seeking visas, the second half of 2016 saw significant increases in property purchases by Swedish buyers with property transactions increasing 22.7% in the third quarter alone. Swedish buyers account for the second largest amount of property transactions on the Costa del Sol by foreign investors.