How Does Greece’s Investment Residency Compare with Spain’s?

Table of Contents

1. Introduction
2. Overview of Investment Residency Programs
3. Greece’s Golden Visa Program
   • Investment Options
   • Benefits
   • Requirements
4. Spain’s Golden Visa Program
   • Investment Options
   • Benefits
   • Requirements
5. Comparison of Greece and Spain’s Programs
   • Investment Thresholds
   • Processing Times
   • Residency Rights
   • Path to Citizenship
6. Economic Impact on Host Countries
7. Pros and Cons for Investors
8. Recent Changes and Future Outlook
9. Conclusion
10. FAQs

1. Introduction

In recent years, investment residency programs have gained significant popularity among high-net-worth individuals seeking to expand their global mobility and secure a foothold in Europe. Two countries that have particularly attractive offerings in this realm are Greece and Spain, both boasting their own versions of the “Golden Visa” program. This article aims to provide a comprehensive comparison of Greece’s and Spain’s investment residency schemes, highlighting their unique features, benefits, and potential drawbacks for investors.

As we delve into the intricacies of these programs, we’ll explore how they stack up against each other in terms of investment thresholds, processing times, residency rights, and pathways to citizenship. We’ll also examine the economic impact these schemes have had on their respective host countries and consider the pros and cons for potential investors. By the end of this article, readers will have a clear understanding of how Greece’s investment residency program compares with Spain’s, enabling them to make informed decisions about which option might best suit their needs and objectives.

2. Overview of Investment Residency Programs

Investment residency programs, also known as “Golden Visa” schemes, are initiatives designed by countries to attract foreign capital and talent. These programs typically offer residency permits, and in some cases, a path to citizenship, in exchange for significant investments in the host country’s economy. The investments can take various forms, including real estate purchases, government bonds, or business ventures.

The concept of investment residency gained traction in the aftermath of the 2008 global financial crisis, as countries sought innovative ways to stimulate their economies and attract foreign investment. Since then, numerous countries, particularly in Europe, have implemented their own versions of these programs, each with unique features and requirements.

Greece and Spain, both Mediterranean countries with rich cultural heritage and attractive lifestyles, have been at the forefront of this trend. Their respective Golden Visa programs have attracted thousands of investors from around the world, contributing significantly to their real estate markets and overall economies.

3. Greece’s Golden Visa Program

Greece introduced its Golden Visa program in 2013 as part of efforts to revitalize its economy following the severe impact of the European debt crisis. The program has since become one of the most popular in Europe, attracting a significant number of non-EU investors, particularly from China, Russia, and the Middle East.

Investment Options

Greece’s Golden Visa program offers several investment options:

• Real Estate Investment: This is the most popular option, requiring a minimum investment of €250,000 in Greek real estate. This can be a single property or multiple properties, as long as the total value meets or exceeds the threshold.
• Capital Contribution: Investors can choose to make a capital contribution of at least €400,000 to a company headquartered or registered in Greece.
• Government Bonds: Purchase of Greek government bonds with a minimum value of €400,000 and a residual maturity of at least three years.
• Bank Deposit: A term deposit of at least €400,000 with a Greek credit institution for at least one year with a standing renewal order.

Benefits

The Greek Golden Visa offers several attractive benefits:

• Residency permit valid for five years, renewable for as long as the investment is maintained.
• Visa-free travel within the Schengen Area for up to 90 days in any 180-day period.
• No minimum stay requirement to maintain the residency permit.
• Option to include family members (spouse, children under 21, and parents of the main applicant and spouse).
• Access to Greek public education and healthcare systems.
• Potential for rental income from real estate investments.

Requirements

To be eligible for the Greek Golden Visa, applicants must meet the following requirements:

• Be at least 18 years old.
• Have a clean criminal record.
• Possess valid health insurance coverage in Greece.
• Provide proof of sufficient funds to support themselves and their family members.
• Make the required investment and maintain it throughout the duration of the residency permit.

4. Spain’s Golden Visa Program

Spain launched its Golden Visa program in 2013, aiming to attract non-EU investors and stimulate its economy, particularly the real estate sector. The program has been successful in drawing investors from various countries, including China, Russia, and the United States.

Investment Options

Spain’s Golden Visa program offers several investment pathways:

• Real Estate Investment: A minimum investment of €500,000 in Spanish real estate. This can be one or more properties, as long as the total investment meets the threshold.
• Capital Investment: €1 million investment in shares of Spanish companies or bank deposits in Spanish financial institutions.
• Government Bonds: Purchase of €2 million worth of Spanish government bonds.
• Business Investment: Investment of at least €1 million in a new or existing business project in Spain that creates jobs and contributes to scientific and/or technological innovation.

Benefits

The Spanish Golden Visa program offers several advantages:

• Initial residency permit valid for two years, renewable for five-year periods.
• Visa-free travel within the Schengen Area.
• Inclusion of family members (spouse, children under 18 or dependent adult children, and dependent parents).
• No minimum stay requirement to maintain the residency permit.
• Access to Spanish public education and healthcare systems.
• Potential for rental income from real estate investments.
• Path to permanent residency after five years and citizenship after ten years of residence.

Requirements

To qualify for the Spanish Golden Visa, applicants must:

• Be at least 18 years old.
• Have a clean criminal record.
• Not have been previously rejected for a visa to enter Schengen countries.
• Have valid health insurance coverage in Spain.
• Demonstrate sufficient financial means to support themselves and their family members.
• Make the required investment and maintain it for the duration of the residency permit.

5. Comparison of Greece and Spain’s Programs

While both Greece and Spain offer attractive Golden Visa programs, there are several key differences that potential investors should consider:

Investment Thresholds

One of the most significant differences between the two programs is the minimum investment required:

• Greece: €250,000 for real estate investments, €400,000 for other options.
• Spain: €500,000 for real estate investments, €1 million for capital investments, €2 million for government bonds.

Greece’s lower investment threshold makes it more accessible to a broader range of investors, particularly in the real estate sector.

Processing Times

The processing times for both programs can vary, but generally:

• Greece: The process typically takes 2-3 months from application to approval.
• Spain: The process usually takes 2-6 months, depending on the complexity of the application and the workload of the authorities.

Greece tends to have slightly faster processing times, which can be advantageous for investors looking to obtain residency quickly.

Residency Rights

Both programs offer similar residency rights, including:

• Visa-free travel within the Schengen Area.
• No minimum stay requirements to maintain the residency permit.
• Inclusion of family members.

However, there are some differences in the validity periods of the initial residency permits:

• Greece: Initial permit valid for five years, renewable for five-year periods.
• Spain: Initial permit valid for two years, renewable for five-year periods.

Path to Citizenship

Both countries offer potential paths to citizenship, but with different requirements:

• Greece: Investors can apply for citizenship after seven years of continuous residence, with a requirement to demonstrate sufficient knowledge of the Greek language, history, and culture.
• Spain: Citizenship can be applied for after ten years of residence, with a requirement to demonstrate sufficient knowledge of Spanish language and culture. However, citizens of certain Latin American countries, Portugal, Andorra, the Philippines, and Equatorial Guinea can apply after just two years of residence.

6. Economic Impact on Host Countries

Both Greece and Spain have seen significant economic benefits from their Golden Visa programs:

Greece: Since its inception in 2013, the Greek Golden Visa program has attracted over €2 billion in investments, primarily in the real estate sector. This has helped revitalize the country’s property market, which was severely impacted by the economic crisis. The program has been particularly popular with Chinese investors, who account for a large portion of the visas issued.

Spain: The Spanish Golden Visa program has generated over €3 billion in investments since 2013. Like Greece, the majority of this investment has been in real estate, helping to stabilize and grow the property market in major cities and coastal areas. The program has attracted a diverse range of investors from countries such as China, Russia, and the United States.

Both programs have contributed to job creation, increased tax revenues, and stimulated economic activity in various sectors beyond real estate, including retail, hospitality, and professional services.

7. Pros and Cons for Investors

When considering which program to choose, investors should weigh the pros and cons of each:

Greece

Pros:

• Lower investment threshold, especially for real estate
• Faster processing times
• Longer initial residency permit (5 years)
• No minimum stay requirement
• Potential for high returns in a recovering real estate market

Cons:

• Less stable economy compared to Spain
• Smaller job market for those looking to work or start a business
• Limited options for investment beyond real estate

Spain

Pros:

• More diverse investment options
• Larger, more stable economy
• Better infrastructure and healthcare system
• More international business opportunities
• Potential for faster path to citizenship for certain nationalities

Cons:

• Higher investment threshold
• Longer processing times
• Shorter initial residency permit (2 years)
• More competitive real estate market in prime locations

8. Recent Changes and Future Outlook

Both Greece and Spain have made adjustments to their Golden Visa programs in recent years to address concerns and improve their effectiveness:

Greece: In 2020, Greece announced plans to increase the minimum real estate investment threshold to €500,000, aligning it more closely with other European programs. However, this change has been postponed due to the COVID-19 pandemic. The government has also introduced digital application processes to streamline the application procedure.

Spain: In 2018, Spain introduced new anti-money laundering measures, requiring more stringent due diligence checks on applicants. The country has also been considering changes to attract more diverse types of investments, particularly in technology and innovation sectors.

Looking ahead, both countries are likely to continue refining their programs to maintain competitiveness while addressing concerns about money laundering and the impact on local housing markets. There may be increased focus on attracting investments that create jobs and contribute to economic diversification, rather than solely relying on real estate investments.

9. Conclusion

Both Greece and Spain offer attractive investment residency programs, each with its own unique strengths and considerations. Greece’s Golden Visa program stands out for its lower investment threshold and faster processing times, making it an appealing option for investors looking for a more affordable entry point into European residency. The potential for high returns in Greece’s recovering real estate market is also a significant draw.

On the other hand, Spain’s program offers more diverse investment options and the benefits of a larger, more stable economy. For investors looking for broader business opportunities or considering long-term settlement, Spain’s program might be more suitable, especially given its established path to citizenship.

Ultimately, the choice between Greece and Spain’s investment residency programs will depend on individual investors’ financial capabilities, long-term goals, and personal preferences. Factors such as lifestyle, climate, culture, and economic opportunities should all be taken into account alongside the specific program requirements and benefits.

As both countries continue to refine their programs in response to global economic conditions and investor demands, it’s crucial for potential applicants to stay informed about any changes or updates to the programs. Consulting with legal and financial advisors who specialize in investment migration can also help ensure that investors make the most appropriate choice for their unique circumstances.

10. FAQs

Q1: Can I apply for both Greece and Spain’s Golden Visa programs simultaneously?

A1: While there’s no legal restriction preventing you from applying to both programs simultaneously, it’s generally not recommended due to the substantial investments required for each program. It’s more practical and cost-effective to research both options thoroughly and choose the one that best fits your needs and goals.

Q2: Do I need to speak Greek or Spanish to apply for these Golden Visa programs?

A2: Knowledge of Greek or Spanish is not required to apply for or obtain the initial Golden Visa in either country. However, if you’re planning to apply for citizenship in the future, both countries require a certain level of language proficiency as part of the naturalization process.

Q3: Can I work in Greece or Spain with a Golden Visa?

A3: Yes, both Greece and Spain’s Golden Visa programs allow holders to work in the country. However, the primary purpose of these visas is investment, not employment, so there may be additional requirements or restrictions for certain types of work.

Q4: How often do I need to visit Greece or Spain to maintain my Golden Visa?

A4: Neither Greece nor Spain imposes a minimum stay requirement to maintain the Golden Visa. However, if you’re aiming for permanent residency or citizenship in the future, you may need to spend more time in the country to meet those specific requirements.

Q5: Can I sell my investment property after obtaining the Golden Visa?

A5: In both Greece and Spain, you must maintain your investment for the duration of your residency permit. If you sell the property or liquidate your investment before your permit expires, you may lose your residency rights. However, you may be able to reinvest in another qualifying property or investment to maintain your status, subject to approval from the relevant authorities.

Article reviewed by August Schmidt, Alternative Investments Expert | Diversifying Portfolios with Unique Assets, on March 3, 2025