Canary Islands Consider Limits on Foreign Homebuyers
The Canary Islands government has acknowledged it’s too early to impose restrictions on foreign homebuyers, despite growing concerns about housing accessibility. Matilde Asián, the region’s finance minister, emphasized that any such measures must align with EU principles of non-discrimination and proportionality.
EU Rules Complicate Housing Restrictions
Asián clarified that under EU law, outright bans on property sales to foreigners are prohibited unless justified by “imperative reasons of public interest.” The European Court of Justice allows localized limits on second-home purchases only if they serve specific goals, such as stabilizing populations or diversifying economies beyond tourism. However, pre-approval systems for foreign buyers remain unauthorized.
Working Group Explores Solutions
Following discussions with local councils, the Canary Islands government established a task force to study potential solutions. Options include zoning restrictions and fiscal deterrents, though Asián cautioned it’s “too soon” for conclusions. The group will also consider input from civil society and other administrations.
Balancing Housing Needs With EU Law
When questioned about President Fernando Clavijo’s proposed foreign buyer limits, Asián reiterated that property purchases fall under EU capital movement rules. Any restrictions must demonstrate clear public benefit without discrimination. The task force’s findings will determine whether the islands can implement legally viable measures to address housing pressures while complying with European regulations.
