Spain cancels the €500,000 shortcut — three real residency paths now replace the golden visa

Spain shuts the golden visa door: what it means for real estate Spain and investors

Spain has ended the golden visa and that matters for anyone tracking real estate Spain. On 3 April 2025 Organic Law 1/2025 repealed the provisions that allowed residency in exchange for a €500,000 property purchase. If you were planning to buy a Spanish apartment as a simple passport to residency, the rules have changed. The country still offers routes to residency and citizenship, but they all require living in Spain and meeting stricter economic or activity tests.

I’ll walk through the three legal alternatives, explain how they interact with the housing market, and give practical steps for buyers, investors and expats who now must rethink plans that relied on the golden visa.

Why the golden visa ended and the policy context

The golden visa existed from 2013 and worked for over a decade. It let non-EU nationals obtain residency primarily by buying property worth at least €500,000. The government of Prime Minister Pedro Sánchez repealed those articles in response to pressure over housing affordability.

Key facts from the government rationale and market data:

• In 2023 non-EU buyers acquired 27,000 properties in Spain.
• Officials linked many of those purchases to short-term rental strategies rather than long-term settlement.
• A proposed policy under discussion includes a 100% tax on property purchases by non-EU, non-resident buyers, though that is not yet law.

The political objective is straightforward: reduce demand from overseas buyers who do not live in Spain so that more housing remains available to residents. The immigration policy now prioritises people who will actually live in and contribute to the Spanish economy.

The three paths that replace the golden visa

Spain did not abolish residency options. Three legal alternatives remain. Each leads to permanent residency after five years and citizenship after ten years for most nationalities. For nationals of historically linked countries such as many Latin American nations, the Philippines and Equatorial Guinea, the citizenship timeline is reduced to two years.

Across all three routes the government has imposed a residency requirement: applicants must spend at least 183 days per year in Spain or comply with a six-month-per-year rule cited by immigration analysts.

1) Digital Nomad Visa (DNV)

The DNV is aimed at remote workers employed by foreign companies and freelancers whose clients are largely outside Spain. It launched under the Startup Law in January 2023 and is now one of the most relevant options for people who work remotely and want to relocate.

Main requirements and features:

• Income floor: roughly €2,849 per month (equivalent to 200% of Spain’s minimum wage at the referenced level).
• Professional background: a university degree or three years’ professional experience.
• Activity test: at least 80% of professional work must serve clients or employers outside Spain.
• Health cover: private health insurance without copays.

Duration and renewals:

• Initial visa granted for one year when applied from abroad.
• Once resident, you can convert to a residence permit valid for up to three years, renewable for two more years.
• After five years of continuous legal residence you become eligible for permanent residency.

Tax advantage — the Beckham Law:

A decisive advantage for many digital nomads is the ability to opt into the Special Tax Regime for Impatriates, commonly called the Beckham Law. Under this regime:

• Spanish-source employment income is taxed at a flat 24% up to €600,000 per year.
• Income above €600,000 is taxed at 47%.
• Foreign-source non-employment income such as overseas rental income, dividends and capital gains are excluded from Spanish taxation while under the regime.
• Foreign assets are exempt from the Spanish wealth tax for the duration of eligibility.

Important administrative point: applicants must register with the Spanish Tax Agency within six months of starting work in Spain to use the Beckham Law. Miss that window and you lose the tax option.

Who the DNV suits:

• Remote employees of foreign companies.
• Freelancers and contractors with an international client base.
• People who plan to live in Spain and work but do not want to establish a domestic employer contract.

What investors should note about housing and property:

• DNV holders must live in Spain for the required days, so buying a primary residence is compatible with the visa.
• Using property purchases as a purely passive residency route is no longer possible under the repealed golden visa rules.

2) Non-Lucrative Visa (NLV)

The Non-Lucrative Visa is Spain’s classic independent means or retiree visa. It is designed for people who do not intend to work in Spain and can support themselves with passive income.

Main requirements and features:

• Financial threshold: €28,800 per year for the main applicant (equivalent to 400% of IPREM) plus €7,200 per dependent.
• Acceptable income includes pensions, annuities, overseas rental revenue, Social Security payments and investment dividends.
• Work in Spain is prohibited, including remote work for foreign entities; the authorities enforce this strictly.

Duration and renewals:

• Initial visa length: one year.
• Renewal periods: two-year extensions thereafter.
• Eligibility for permanent residency after five years; citizenship after ten years or two years for eligible nationals from historically linked countries.

Residency rule change:

• From 2025, the government restored the requirement that NLV holders spend at least 183 days per year in Spain. Holding the visa while mostly living abroad is no longer permitted.

Who the NLV suits:

• Retirees relocating to Spain to live full-time.
• FIRE retirees and people with stable passive income who will be physically resident.

Caveat for investors:

• If you bought Spanish property previously to qualify for a golden visa, the NLV will not be a like-for-like replacement unless you meet the residency and income criteria and you do not work while resident.

3) Entrepreneur Visa

The Entrepreneur Visa targets founders and innovators. It is oriented toward projects that have technological, scalable or job-creating potential.

How it works and eligibility:

• Applications begin with a business plan submitted to ENISA, Spain’s National Innovation Company.
• ENISA evaluates proposals on innovation and scalability.
• Traditional businesses without a clear innovation angle typically do not pass.

Processing and timings:

• ENISA review can take up to three months.
• Once ENISA issues a favourable report, the application moves to the Large Companies and Strategic Groups Unit (UGE), which processes permits in roughly 20 business days after a positive report.

Financial and residency requirements:

• Baseline solvency: 100% of IPREM (about €7,200 per year) for the main applicant, though consulates often expect higher proof of funds.
• Residency obligation: at least six months per year in Spain.
• Permit duration: initial three years, renewable in five-year increments.

Beckham Law access:

• Since the Startup Law took effect, entrepreneur visa holders can also opt into the Beckham Law tax regime under the same conditions as DNV applicants.

Who the Entrepreneur Visa suits:

• Founders of tech-enabled startups with plans to scale in Spain.
• Entrepreneurs prepared to create jobs locally and submit a robust plan to ENISA.

What the change means for property buyers, landlords and investors

The abolition of the golden visa changes the calculus for several categories of buyers. Here’s how I read the market impact.

Short-term effects on housing demand and prices:

• Demand from buyers who purchased primarily to obtain residency without living in Spain should fall.