In a bold move to curb rising housing prices and prioritize housing for its citizens, Spain has proposed a 100% tax on homes purchased by non-EU residents. The new tax law aims to prevent wealthy foreign buyers from driving up prices and leaving locals struggling to find affordable housing.

According to sources, the Spanish government believes that the influx of foreign investment in the real estate market has contributed to a shortage of affordable housing for its residents. Non-EU residents, especially those from countries with strong economies, have been buying up properties in Spain as vacation homes or investments, pushing prices beyond the reach of many Spaniards.

This new tax would apply to any property purchased by non-EU residents, effectively doubling the cost of the home. The goal is to deter foreign buyers from snapping up homes in Spain and help stabilize the housing market for locals.

While the proposal has sparked debate among lawmakers and economists, many agree that action needs to be taken to address the housing crisis in Spain. The new tax law, if passed, could potentially change the landscape of real estate in Spain and offer hope for residents struggling to find affordable homes.