Spanish Prime Minister Pedro Sanchez has announced a bold plan to restrict non-EU foreigners, including Nigerians, from buying properties in Spain unless they are residents.
The move, aimed at curbing housing speculation, addresses the nation’s escalating housing crisis.
During a rally in Plasencia, western Spain, Sanchez stated, “We will propose to ban these non-EU foreigners who are not residents, and their relatives, from buying houses in our country since they only do so to speculate.”
The proposal includes a controversial measure to impose taxes of up to 100% on property acquisitions by non-EU citizens residing outside Spain. This approach, outlined on January 13, aims to reduce demand while increasing housing supply, Reuters reports.
A source close to the Prime Minister clarified that the ban is not yet finalized. Instead, the focus is on deterring speculative investments through steep taxation.
Industry experts warn that the proposed measures could dampen foreign investment. Paloma Relinque, Executive Corporate Director for CBRE Spain, noted, “All factors related to regulatory and juridical changes are discouraging investors.”
A Housing Crisis in Numbers
Spain is grappling with a severe housing shortage, driven by gentrification, tourism, and speculative purchases. The Central Bank estimates a deficit of 500,000 homes in 2025. Sanchez’s proposed policies aim to alleviate these pressures, though they have sparked significant debate about their potential impact on the housing market and international relations.
The debate highlights a broader challenge: balancing local housing needs with the benefits of foreign investment. For now, the proposed measures mark a significant step in addressing one of Spain’s most pressing social issues.
