Spain's Golden Visa After 2025: What Mallorca Property Buyers Need to Know

Spain's real estate Golden Visa — which granted Spanish residency to non-EU nationals investing €500,000 or more in Spanish property — was abolished by the Council of Ministers in April 2025 and ceased to accept new applications. For Mallorca property buyers who had assumed the visa as a side benefit, the policy change reshapes the residency calculus.

This piece explains what the change actually means, what alternative residency routes remain, and how existing Golden Visa holders should plan around renewals.

What was abolished and what remains

The April 2025 reform eliminated the real estate investment route only. The Golden Visa framework still operates for three other qualifying investments: €1M+ in Spanish company shares, €2M+ in Spanish government bonds, or a 'project of general interest' qualifying business investment. Real estate, which was by far the most-used route (roughly 90 percent of historical applications), is no longer eligible.

The change is forward-looking only. Visas issued before April 2025 remain valid through their original term and can be renewed under the historical rules — though political signaling suggests that future renewals may face increased scrutiny, and a buyer who acquired a property primarily for the visa should not assume indefinite continuation of the renewal pathway.

What alternative routes exist for property buyers seeking Spanish residency

Three alternative pathways are most relevant to UHNW property buyers:

• Non-Lucrative Visa — residence without right to work, requires demonstrated passive income of approximately €30,000 per year (single applicant) plus €7,500 per dependent, plus private health insurance. Suitable for retirees or families with passive income; not suitable for those wishing to work in Spain.
• Digital Nomad Visa (introduced 2023) — for remote workers and self-employed individuals working for non-Spanish entities. Income threshold approximately €2,762/month. Includes favorable tax treatment under the Beckham regime for up to six years.
• Investor Visa via business investment — qualifying business projects, share investments, or government bond holdings still trigger residency. Practical for high-net-worth buyers willing to make an additional non-property investment alongside their Mallorca purchase.

Tax implications: residency versus property ownership

An important distinction: owning property in Spain does not require Spanish tax residency, and Spanish tax residency carries meaningful tax consequences that buyers should understand before pursuing any residency pathway.

Spanish tax residency triggers liability for Spanish income tax on worldwide income (typically 19 to 47 percent), Spanish wealth tax in the Balearic Islands (with progressive rates above the €700k personal allowance), and potentially the Solidarity Wealth Tax for net wealth above €3M.

Many international property buyers deliberately maintain non-resident status — owning the property, paying the modest non-resident income tax (IRNR) on imputed rental value, but avoiding worldwide tax exposure. The Golden Visa, when it was available, allowed property ownership and visa-eligible residence without forcing tax residency (which is determined by the 183-day physical presence test rather than visa status).

For existing Golden Visa holders

Holders of pre-April-2025 visas should plan around three considerations:

• Renewals — currently proceeding under historical rules, but political risk exists. Holders nearing renewal should ensure documentation is complete and consider consulting a Spanish immigration lawyer before submitting.
• Path to permanent residency — five years of legal residence enables permanent EU residency; ten years enables Spanish citizenship (with renunciation of prior citizenship in most cases). Holders well into the five-year window should weigh whether to pursue permanent status before the renewal landscape further tightens.
• Tax residency exposure — holders who have been spending significant time in Spain and have approached the 183-day threshold should consult tax advice before assuming non-resident status, regardless of visa type.

Frequently asked questions