Spain proposes 100 percent tax on vacation homes

Buying a holiday home in Spain might became a pricey option.

Prime Minister Pedro Sánchez on Monday presented a series of measures to combat the housing crisis in the country. One of them is a 100 percent tax on homes purchased by foreigners.

The tax will apply to people outside the EU and who are not permanent residents of Spain.

Sánchez wants people to live in houses and flats, that they are not used for investment and speculation.