LATAM and Spanish Residency by Investment in 2024

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Latin American investors once looked north to the United States for investment migration options. They’re now shifting their gaze eastwards, to Spain. Our Chief Operating Officer David Regueiro, a son of A Coruña, Galicia, addresses the rise of Spanish Residency by Investment amongst LATAM HNWIs.

1.) What has sparked Latin American interest in Spanish Residency by Investment (RBI)?

“Spanish Residency by Investment appeals to Latin Americans for many reasons. These include access to world-class education and healthcare. They’re also able to enjoy visa-free travel throughout the Schengen Area”

“Latin American entrepreneurs value what’s also known as the Spanish Golden Visa. This is because it aids business expansion and networking opportunities. Spain acts as a gateway to the European market, offering a strategic base.”

“Cultural and historical links between LATAM and Spain comfort the Latin American investor. They feel welcome in Spain, especially as there is no language barrier. If Bea Alonzo can feel at home in Madrid, so can Sofía Vergara.”

2.) Which investment options are more popular with Latin American HNWIs and why?

“Latin American investors do not view Spanish RBI with a one-size-fits-all mindset. Each has their own needs and will choose the more suitable investment.”

“Many opt for real estate investment. Purchasing commercial or residential property for €500,000+ is good business sense. You receive a tangible asset with potential appreciation.”

“We offer commercial properties that guarantee a return in advance. After a period of time, the investor can exercise the buyback option. This makes their investment free of both risks and worries.”

“Or they may select to invest €2 million in Spanish public debt securities. There is also the chance for them to deposit €1 million in Spanish banks or investment funds .” 

3.) What are the costs involved? How do these expenses compare to related programmes in other countries?

“The costs of Spanish Residency by Investment depend on the chosen investment option. You will have to factor in consular fees. Then there are annual health insurance payments and property taxes to contend with.”

“Compared to other European residency programmes, the Spanish Golden Visa holds up well. It’s considerably cheaper than Iberian neighbour, Portugal.”

4.) What are the tax implications for Latin Americans with Spanish residency? 

“Spain has tax treaties with most Latin American countries. This will cut double taxation on income earned in both jurisdictions. So their tax liability is reduced.”

5.) How does the Spanish Golden Visa benefit Latin American families?

“Family members of Latin American investors who secure Spanish RBI enjoy several benefits. Spouses, partners, and dependent children, parents, and grandparents can claim residency. Like the investor, they qualify for Spanish citizenship after two years of residency. The standard qualifying period is 10 years of residency.”

“Spain has some of the top business schools in the world. One thinks of the likes of IESE Business School, Esade, and IE Business School. We see many students of investor families heading to Spain to study for an MBA under the Golden Visa regime.”

“Switching their business studies to Spain gives them several advantages. One of the most important is to obtain citizenship in two years, coinciding with the conclusion of their studies.”

“Another benefit is the possibility of immediately starting work. They don’t have to change visas from a study one to a job-seeking visa and, eventually, a work permit.”

“As well as being home to some of the world’s leading business schools, Spain boasts first-class universities such as the Universidad de Navarra and the Universidad Complutense de Madrid. Education is, without a doubt, the biggest play for Latin American families that view Spain and, in particular, Madrid as the new Miami.”

6.) If you were to look in your crystal ball, David, how do you think Spanish RBI will evolve?

“I expect the Spanish RBI Programme to continue attracting Latin American investors. This is due to its favourable investment options. A straightforward application process and the fast track to Spanish citizenship are also appealing.”

“The programme may undergo minor adjustments to mirror economic and political developments. Yet I have no doubt that it will maintain its core suitability. Demand for Spanish RBI from Latin American is likely to sustain. Nobody ever tires of stability, growth opportunities, and a European lifestyle.”

7.) What are the next steps for Latin American investors? How do they proceed with a Spanish Golden Visa application?

“They should consult an experienced investment migration firm such as Latitude Group, our parent company. We have Spanish staff like myself who intrinsically understand the needs of LATAM entrepreneurs. In addition, Latitude Group work closely with our partners in Spain, Orience.”

How to Take the LATAM Path to Spanish Residency by Investment

As David mentions, Latitude Group’s infrastructure suits Latin American investors. We have Spanish-speaking RBI experts and Latitude Group enjoys a working collaboration with Spain’s Orience. For all your Spanish Residency by Investment requirements, don’t delay and contact RIF Trust today.