Spain May Give Residency to Home Buyers Who Spend $204,000

Spain is considering granting temporary residency to foreigners who buy homes valued at 160,000 euros ($204,000) or more, the deputy trade minister said today.

“In coming weeks, we will start to reform the law regarding foreigners to reactivate demand abroad and contribute toward reducing housing stock,” Jaime Garcia-Legaz said at a conference in Madrid. The changes are likely to have the most effect on Russians and Chinese, he said.

The price level, which is the average for Spain, isn’t definite, according to a spokesman for the deputy minister. The measure would replicate agreements established in Ireland, Portugal and the U.S., he said.

Spanish Foreign Minister Jose Manuel Garcia-Margallo announced the plan in Congress on Nov. 14, the spokesman said.

To contact the reporter on this story: Sharon Smyth in Madrid at ssmyth2@bloomberg.net

To contact the editor responsible for this story: Andrew Blackman at ablackman@bloomberg.net