Throughout our lives we make a lot of decisions. Some easier than others, with direct consequences in the short and medium term. One of these decisions is the purchase of a property whether it is housing or local, since it’s one of the most important investments that the majority of the citizens will make in their lives. Therefore, we must acquire a house with the maximum possible guarantees.

Here is a guide to make it easy for you to buy a property. Pay attention!

In the first place, the best way to protect your home from the potential risks you’re exposed to is by taking out home insurance. In this way, in case the house suffered any damage (floods, humidity etc) we would have both the house and the property inside completely protected, which means, insured. At the same time, it’s essential to hire the services of water, electricity or gas. Without this you will not be able to enjoy your property!

Procedures to make 

Another aspect to consider is the price agreed with the seller and the associated expenses of approximately 10% or 15% of the total value. We know that the acquisition of a property is an important procedure, so for this reason you must take this factor into account.

Change ownership in the cadastre 

On the other hand, you can’t forget cadastral procedures. When you purchase a property, you have to communicate the change of ownership tot the municipal cadastre in which it’s located. This procedure can be done within two months of signing the deed of purchase.

It’s necessary to carry out the above procedure as the Spanish Ministry of Finance keeps a detailed administrative record of the immovable property that exists in the territory and the relationship of its owners. If we change ownership by sale or other similar cases, we must activate a change of cadastral ownership.

One of the functions of this register is to serve tax justice and, therefore, this change involves the taxation of new taxes. The cadastre includes urban, rustic and other special properties in a description of their physical, legal and economic characteristics

Registering the housing in the property registry 

Another important step is the registration of the house in the Land Registry, and essential procedure in order to extend the filing seat in the Land Registry with an effective of 60 days, and mandatory to access, if necessary, a Mortgage.

The Land Registry is a State institution that responds to the need for security in the real estate market. Currently, it’s a very important aspect in the purchase of a property as it guarantees us the informative balance between the owner of the property and the buyer.

Pay taxes 

One the public deed of sale has been granted to the notary, the corresponding taxes must be settled within a maximum period of one month. If the sale is due, VAT must be paid, and besides this, 1% or 1,5% of the deed price has to be paid as well.

On the other hand, we have to count on the taxes that have to be paid to the Treasury, including the Property Tax (IBI). This compulsory paid on an annual basis and depends on the real estate, which can both include the purchase of flats and houses as well as premises or garages.

When you have a property, this tax must be paid no matter what, regardless of whether you don’t get any benefit from this property, that is, even if you don’t rent it, live in it or you are making a commercial profit.

Property management 

With all this, it’s very important to have an industry professional to take care of visiting the property and manage how to keep the property clean in case it’s not rented and thus avoid its deterioration, or have someone looking for a tenant in case you want to rent the house and manage collections, support incidents and supervise the property.

If you want to buy a property in Barcelona or Greece don’t hesitate to contact us, we offer you the best service and we also take care of the management of your properties.

 

Soraya Rocha

Office Manager & After Service Specialist Orience International

On Monday, the president of the Consorci of the Zona Franca of Barcelona (CZFB), Pere Navarro, expressed during his participation in the forum Barcelona Tribuna the opening in June of a factory in which the technologies that are driving the economy 4.0 will converge.

The DFactory will be located in the Zona Franca, will be 17.000 square meters and will reach into 90.000. It will be the cathedral of the new industry and “the most important hub in Europe in Industry 4.0”, as Navarro has stated.

This economic potential will be fostered by economic activities that will be promoted by CFZB. In fact, they have already created the first incubator of companies dedicated to 3D printing which is part of an investment package to boost the new economy and adapt the Zona Franca to the technological circumstances of the sector.

The objective from CZFB is to maintain the heritage of the entity to continue to have economic resources, seek greater urban integration and promote the economic development of Barcelona and its metropolitan area.

Looking for investment options in Zona Franca?, don’t hesitate to contact us!

 

 

Greece offers the Golden Visa program to international investors in exchange for an investment in the greek market.

We cannot deny that Greece is, in addition to a country with historical legacy and beautiful beaches, a nation with enormous potential. The economic recovery, coupled with low prices with growth potential, make the hellenic country a very attractive option to invest.

Here are some of the most frequently asked questions about the Golden Visa:

1- What is the initial investment to get the Golden Visa?

The Golden Visa Greece program was launched in 2013 and requires an initial investment of 250,000 €. This is the second cheapest program in Europe and the fifth in the world.

2- In addition to the monetary investment, what other documents should I submit?

It is necessary to present a medical certificate and prove that there is no criminal record.

3- How long is the residence permit?

The Golden Visa Greece has a duration of five years and is being renewed every half decade. Likewise, family international investor, such as the couple and children under 21, will also get a visa.

4- How long should I be in Greece?

There is no rule that establishes the period of time spent in the country, that is, no minimum is required to get the Golden Visa Greece. In addition, it is not necessary to be in Greece to renew the visa every five years.

5- Do I have freedom of movement in Europe?

Yes. With the Golden Visa Greece you have freedom of movement throughout the Schengen area and the European Union.

At Orience International we have an office and a team in Athens that can help you through the entire investment process and will accompany you so that you and your family have the visa.

¡Contact us!

Last week we published an article on our blog about the changes in the Golden Visa Portugal, because the Portuguese government has restricted the golden visa for investment (minimum € 500,000) in the cities of Porto and Lisbon and their respective metropolitan areas. This change in the law will come into effect from 2021 and aims to promote the promotion of investments in areas of low population density and the poorest, as well as encourage urban requalification in cultural heritage or activities of high environmental and social value.

From the beginning of the Golden Visa Portugal until the end of 2017, 71% of the total golden visas were granted in the metropolitan area of ​​Lisbon and in the Algarve area and only 1% in Porto. As we can see, the bulk of the investment was for the capital, although in recent years investments in Porto have increased due to the high prices of Lisbon.

The measure, that was approved last week by the Portuguese executive, will not be applied immediately. According to the government itself it will be from 2021, so as not to alter the investments that are already underway. Most likely, this announcement will increase investments in Porto and Lisbon pending the entry into force within a year.

Oriol Molas, CEO Orience International

The European Union has received in the past years more than 6.000 new citizens and 100.000 new residents, most of them attracted because of the Golden Visa programme. This investment method, available in several European countries, gives access to European Union residence.

In the next post, we will focus on the Golden visa programme in Spain, Greece and Portugal, although it is also available in other countries such as Malta or Cyprus.

Features of the three programs 

Before going further into de subject, we will review the main characteristics of each program. In the case of the Golden Visa Spain, one of the main requirements to apply is make an investment of 500.000 euros in real estate assets. The inverstor’s spouse and children will also be provided with a residence permit, which will last for two years with a possible extension.

In Spain, the gold visa is part of the ‘Law 14/2013 of support for entrepreneurs and their internationalization’ which also includes the residence for those who made other type of investments, like the acquisition of government bonds for more than two million euros or the investment in shares of a company for more than one million euros, among others.

In the case of Greece, the Golden Visa program was launched in 2013 and, unlike Spain, the initial investment was 250.000 euros. This figure is the second lowest in the European Union and the fifth cheapest in the world. As in the Spanish case, the couple and children under the age of 21 may also benefit from the program.

Finally, regarding the Portuguese program, we can confirm that it has become one of the most popular options. The investment to obtain the residence is 500.000 euros and, as in Spain, extends to the entire family of the investor.

It is important to remember that, in order to maintain the residence permit, the investor must retain the real estate property that he acquired at the time.

Relevant figures on different programs 

Since the implementation of 2014’s law in Spain, the granting of residence authorizations has been increasing, achieving its peak in 2018 (the last year with data), with a total of 19.328 authorizations. If we compare this figure with 2017 (16.118), we can see an increase of 19%.

It is quite interesting to note that 2.273 of the authorizations granted went to investors, while a total of 4.349 went to highly qualified professionals whose also registered the largest increase (19,4%) compared to 2017.

If we focus on the nationalities, the ones that arrive the most by the investment route are the Chinese and the Russians, with 791 and 580 authorizations. With regard to those who arrive by the way of highly qualified professionals, we find Venezuelans with 513 authorizations and the Indians, with 353.

For more information of the Golden Visa in Spain, please refer to this document from the Ministry of Labour, Migration and Social Security

If we move to Greece, the number of investment visas has been growing since 2013 and a total of 6.304 permits had been granted in December 2019. It is interesting to note that Greece is the country where the most visas have been given, as long as taking as reference investment visas, since no other type of visas are granted as happens in Spain, with highly qualified professionals.

If we take a look at nationalities, the Chinese are by far the nationality that invests the most in Greece. According to data from the Greek Ministry of Citizenship, in 2019 4.371 visas were given just to Chinese citizens, followed by Turks (487) and Russians (382). In fourth place we find the Lebanese, closely followed by the Egyptians.

Finally, in the case of Portugal, 2018 has been a very positive year for the Portuguese gold visa. We cannot overlook that it has been the most popular program during this year: in total 7.738 visas have been granted for investment. Regarding the nationalities, Chinese are the ones who arrive the most thanks to the investment. According to Portugal’s Border and Foreign Service, they represent a total of 68%, followed by Brazilians, Russians, Turks and South Africans.

In conclusion, we can say that the Spanish gold visa has been very effective during 2019, especially for the attraction of highly qualified professionals, unlike Greece and Portugal who do not grant this type of visa. For investors, the figure has also been significant, although it has been more so in Portugal and Greece.

To sum up, as for nationalities we can see the same pattern in the three countries with the Russians and the Chinese, while in Portugal there is an ancestry of the Brazilians and Africans. However, Greece has been able to attract investors from the Middle East effectively.

Oriol Molas, CEO Orience International

The Portuguese PS Socialist decision to limit the scope of the programme to “areas of the Interior, Madeira and the Azores” was initially taken to mean that parts of the Algarve would still qualify for golden visa investment.

But on Tuesday in parliament, it appeared that no area of the Algarve, being a “coastal region”, would qualify for Golden Visa via property investment because every municipality is part of what is termed a CIM Litoral (coastal intermunicipal community) – and these too have been taken out of the regime.

According to Ana Catarina Mendes, leader of the socialist bench “it was time to address the galloping property speculation that golden visas have generated in areas of the capital and Porto, as well as to try and dynamise ‘poorer regions’ where people could do with increased job opportunities”

Read the full article in published by the digital newspaper Portugal Resident.

The 22 @, within the district of Sant Martí, is the technological neighborhood par excellence of Barcelona due to the number of corporate offices, companies and start-ups that we find.

Anyway, this could change in the coming months, as the Barcelona City Council plans to enact a license suspension with the aim of reformulating residential uses and raising more protected housing.

On the one hand, neighbors and associations are satisfied with the news, while the economic sector remains in expectation and understands that a successful model recognized by experts from around the world is being put in check.

The City Council initiative proposes to triple the percentage of roof planned for housing, which would go from a reserve of 10% to 30%, which would mean between 5,000 and 6,000 new floors, and guarantee the mix of uses.

On the other hand, the economic sector of the city is restless before a possible suspension of licenses that consider it would create more legal uncertainty. At this time, the City Council has decreed six license suspensions that affect specific streets of the city, neighborhoods or, in the case of activities such as gas stations or betting houses, all districts.

And we can not forget that the 22@ is, in the eyes of investors, the area par excellence of the city where to host offices and new corporate buildings are built.

 

Likewise, the document for a new 22 @ also intends to review the special Industrial Heritage plan of Poblenou. This rereading wants to preserve the industrial historical heritage seen as a whole of the Poblenou neighborhood, not as isolated and decontextualized pieces. Moreover, a program of historical memory of the neighborhood has been claimed to help disseminate heritage values ​​and lost identity due to the 22 @ construction process.

Barcelona has registered its second best year in 15 years with the hiring of 399.000 square meters of offices in 2019, which represents 4.4% more than the previous year. These numbers were surpassed only in 2015, when the Generalitat carried out a rental operation of 50.000 square meters. With all of this, the offices contract in Barcelona can’t stop growing every year.

It looks like the forecasts for 2020 remain favourable for the Spanish real estate market. The hiring of offices in Barcelona is driven by the arrival of international companies and by the growth of those that are already located in Barcelona. With all of this, the Catalan capital is becoming one of the most attractive cities to invest in.

An optimistic scenario for the offices contract in Barcelona

Barcelona is currently shortening distances with Madrid, that closed 2019 with 2.5 billion. It should be borne in mind that the offices stock in Madrid doubles the Barcelona ones so the growth of office contracting in Barcelona during the last year has been very relevant.

This market situation allows an optimistic scenario, while in the last three months of 2019 two Ocado Technology pre-rental operations were materialized, the hiring levels are expected to remain high during the first quarter of 2020.

The boom of flex and coworking offices 

Real estate investment of flexible areas grew in Barcelona by 47% this 2019. At the end of the first half of 2019, the hiring of flexible spaces already accounted for 22% of the total contracting of offices in Barcelona. In fact, large global operators, such as WeWork o Impact Hub, have already opened their flex projects in the Catalan capital.

Within the three major types of flexible space operators, we find coworkings, a booming working model. These spaces are no longer just places for freelancers o entrepreneurs, but have come to seduce even the small and medium-sized companies.

The coworking phenomenon continues to expand in Spain in such a way that almost the 30% of the total office market by 2030 is expected to become coworking spaces.

Low availability 

With all of this, we must take into account that Barcelona has an availability rate that doesn’t stop falling to 4.29%. In districts such as the 22@, the offer reduces to 1.6% of the total in this area, levels that are similar to the city center ones, where we can hardly find availability anymore.

On the other hand, the NBA area (new business areas) has taken 48% of the total absorption of 2019. Faced with this alarming shortage of space, the periphery is an alternative for companies due to the fact that concentrates a 10.9% of availability rate.

If you are thinking about investing in a Spanish property and looking for advice, don’t hesitate to contact us:

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One of the easiest and fastest ways to get residency permit in Spain is through the Golden Visa. If you make a 500.000 euros investment or more, you can get this visa that gives you the right to reside and work in Spain. That means that this formula allows access to the benefits of residence permit in exchange for an economic investment.

The Golden Visa was created with the aim of incentivizing real estate demand. Approved in Spain back to 2013, it’s already in force in many other European Union countries such as Malta, Portugal or Greece.

The gold visa was part of Law 24/2013 on support for entrepreneurs and their internalization which also included residency for those who made other types of investments like the acquisition of government bonds of more than two million euros, or the investment in shares of a company for more than one million euros, among others.

What do you need to apply for the Golden Visa? 

Those who want to invest in Spain will need to submit previous documents in order to guarantee compliance with the general requirements established by the Ministry of Foreign Affairs.

The main requirements for applying for a gold visa are:

  • Investment of 500.000 euros in real estate assets.
  • Be 18 years old.
  • The applicant has to have a minimum of financial resources, not only for him but for his family members, to be able to cover the expenses during their time of residence.
  • Have public or private insurance with an authorized insurer.
  • Give the criminal record certificate.
  • Pay the visa fee.

Golden Visa benefits

As we have said, with these visas you can get a fast-track residence permit for both the first immediate concession of one year, and for the processing of renewals every two years. Therefore, the visa allows the investor to reside for at least one year in Spain, extendable for up to two years, and also grants residency tot the applicant’s family.

Among the most prominent advantages are the free movement through the Schengen Area, in which 26 European nations recognized the abolition of their borders with other member nations for unrestricted free movement. This freedom of movement is one of the main reasons for the processing of visas.

It’s also worth noting that, with the Golden Visa, it’s only necessary to visit Spain once, in order to maintain the permit, so the investor doesn’t have to stay for a long time. In addition, he obtains the right to work as an employer or employee once the visa has been granted.

Spain, one of the best countries to invest

Spain offers a wide variety of business investment projects and that’s why the Golden Visa Spain is one of the most attractive options for foreign investors. With the consolidation of the industrial, technological and service sector, Spain is positioned as one of the greatest destinations for investors.

The key factors that make Spain one of the best countries to invest are, among others, visa’s low price, as well as the good quality of life of the country and Spanish monetary policy.

Still not knowing if it’s worth it to invest in Spain? At Orience International we analyse each case and offer advice to get the most out of the Golden Visa.

CONTACT US!

 

Currently, it’s possible to obtain Spanish residency through an investment. Within the real estate investment residence law that has been made in Spain, we find the Golden Visa which allows you to live and work in Spain if you invest a minimum of 500.000 euros in real estate.

The Golden Visa is also an excellent immigration route for those foreigners who need to stay in their countries or don’t want to live in Spain since obtaining the visa doesn’t imply that the investor has to reside in the country, but can visit it once a year.

This visa has already been extended in many European countries; however, Spain offers one of the most tempting visas in terms of conditions and advantages. Getting Spanish residence by buying housing in Spain allows the applicant access to the Schengen territory, co-ownership and rights of their partners and children and non-stay in the country, among many other factors.

The use of gold visas in Spain is getting more popular every year. In fact, Spain broke the record number of visas in 2018 for the fifth consecutive year. Approximately 45% of luxury homes purchased by non-EU was used to obtain a residence permit. What’s more, more than four in ten buysales of homes above 500.000 euros also ended with the grant of a Golden Visa.

Best way to get the Golden Visa 

As we’ve been saying, the first requirement is to invest a minimum of 500.000 euros in a property for residential or commercial use. The majority of investors obtain the visa in this way, but there are also other actions inside the real estate investment residence law:

  • Acquire an amount of 1 million euros or more in equity or shares in national companies.
  • Maintain bank deposits that reach the amount of 1 million euros.
  • Make investments in order to buy Spanish public debt of 2 million euros or more.
  • Make an investment for the establishment of companies oriented to scientific and technological innovation whenever they have an economic interest for Spain and create employment.

Garanteed legality 

The Golden Visa was born withing the framework of the Law to Support Entrepreneurs and their Internationalization. With the intention of promoting and incentivizing foreign investment in Spain, Law 14/2013 of 27 September was enacted; a real estate investment residence law.

This law establishes, among other categories, the different immigration benefits that a foreigner can obtain by making a significant capital investment in Spain. It is thought to be for investors, entrepreneurs, highly qualified personnel, R&D&I training and intra-enterprise transfer.

The implementation of the law has favoured the international mobility of professionals in Spain because it’s one of the countries with best conditions to invest and offers more facilities and benefits than other countries of the European Union.

Personalized advice with Orience International 

If you are thinking about investing in Spain, in Orience International we are specialists in showing the real estate market to foreign investors. With this sector growing more and more every year, especially in cities such as Barcelona or Madrid, it’s essential to have professionals specialized in the sector in order to be by your side every step of the investment project.

Our goal is to eradicate any risk and protect those who decide to invest in the Spanish real estate market. We know first-hand what any investor needs and we offer a transparent service that goes from the initial advice to the end of the process.

We are Golden Visa specialists, get in touch!