Spain is set to implement a 100% tax on property purchases by non-EU residents in response to rising housing prices and a shortage of affordable properties.
This is one of 12 measures proposed by the government of Prime Minister Pedro Sánchez to tackle the housing crisis. The increase in prices and inflation are creating difficulties for local residents, while the shortage of new housing exacerbates the issue.
The Prime Minister pointed out that in 2023, non-EU residents purchased around 27,000 homes and apartments in Spain, which he believes worsens the crisis, as many buy property for speculation rather than for living purposes.
In addition, the government plans to increase the supply of social housing and tighten short-term rental regulations. Opponents of the tax measure are concerned about its impact on the tourism industry, which is vital to the country’s economy.
