Portugal Residency by Investment

The Portugal Golden Residence Permit Program, also known as the Portugal Golden Visa, is a five-year residence program for non-EU nationals. Portugal is a full member of the European Union. The residence permit allows visa-free access to Europe’s Schengen Area and requires a five-year average stay of only seven days per year in Portugal.

Portugal golden visa background

The Portugal Golden Residence Permit Program (also known as the Portugal Golden Visa Program) is a five-year residency program for non-EU nationals. In 2012, Portugal began issuing residence permits through investment. The program is popular among investors, with 27,000 applicants receiving Golden Visas in the last decade.

Investors can select one of seven options. Applicants frequently purchase a property for restoration for €350,000 or a new home for €500,000. The purchase of investment fund units for €500,000 is also becoming increasingly popular.

If investors purchase real estate or investment fund units, they can recoup their investment in 5 years by selling the asset.

If the investor and their family members stay in Portugal for 5 years, they can apply for permanent residence or citizenship. At the same time, they are not required to reside in Portugal. Golden Visas holders maintain their residence status by spending seven days a year in the country.

The residence permit grants the right to live, work, and study in Portugal, as well as free movement within Europe’s Schengen Zone. Furthermore, the program only requires an average of seven days per year in Portugal during this time period, which can be used to qualify for citizenship after five years.

The Advantages of a Portuguese Golden Visa

The advantages of Portugal’s Golden Visa have helped it to become arguably the world’s leading residency by investment program. They are as follows:

• Visa-free travel within Europe’s Schengen Zone, as well as the right to live, work, and study in Portugal;
• Eligibility to apply for citizenship after five years as a legal resident while maintaining other citizenship(s);
• Low physical presence requirement (seven days during the first year of residence and 14 days for the two subsequent years, which can count towards citizenship eligibility after five years)
• Excellent international and Portuguese schools and universities
• High quality of life, local cuisine and wines, rich culture, mild climate, and a high level of security
• International quality healthcare clinics and hospitals
• Low minimum investment of just €280,000
• No tax on worldwide income (NHR)

Golden visa requirements for Portugal

Applicants may select one option from each of the three categories: Capital transfer, property purchase, and business. You must make one of the following investments to be eligible for a Golden Visa in Portugal:

1. Capital transfer

Choose one of the following:

1. A minimum capital transfer of EUR 1.5 million into a Portuguese bank account or approved investments. The Portuguese CMVM (Securities Market Commission) regulates investment options, which typically include venture capital investment in real estate or start-up tech companies.
2. EUR 500,000 for the acquisition of investment fund or venture capital fund units committed to the capitalization of Portuguese law companies with a maturity of at least five years and at least 60% of the investment portfolio in companies with a registered office in the national territory.
3. EUR 500,000 for research activities of public or private entities in the national scientific and technological system (EUR 400,000 for purchasing real estate in a low population density area)
4. EUR 250,000 for artistic production or the recovery or preservation of national cultural heritage (EUR 200,000 in a low population density area)

2. Real estate investment

Choose one of the following:

1. Minimum real estate purchase of EUR 500,000 (residential property is restricted to designated interior areas) o EUR 400,000 in a low population density area*
2. Minimum real estate purchase of EUR 350,000 for the refurbishment of residential properties older than 30 years or in an urban regeneration area, including renovation costs (residential property is limited to designated interior areas) o EUR 280,000 in a low population density area*. The project should be eligible for funding from the Portuguese Immigration and Borders Service – SEF.

3. Business investment

Choose one of the following:

1. A minimum of ten new jobs o Eight new jobs in a low population density area*
2. EUR 500,000 for the incorporation or increase of the share capital of a company registered in Portugal, creating or maintaining a minimum of five permanent jobs for a three-year period

* A low population density area is defined as having less than 100 inhabitants per km2 or having a GDP per capita that is less than 75% of the national average.

If these investment options seem high, check out our article on Portugal golden visa program alternatives. It is also unknown if Portugal will terminate the Golden visa in the near future.

Procedures and timeline for the Portugal Golden Visa program

After receiving the residence permit, the client will be required to provide biometric data as well as updated original documents at each renewal.

The initial permit is normally valid for one year; however, due to the Covid-19 pandemic, it is now valid for two years. Following that, the permit may be renewed for two additional two-year periods.

The main applicant for the Portugal Golden Residence Permit Program must visit Portugal twice during the application period:

1. Selecting a qualifying investment, initiating the legal process, and opening a bank account
2. To provide biometric data as well as original documents

After receiving the residence permit, the client will be required to provide biometric data as well as updated original documents at each renewal.

The process to acquire a Portuguese residence permit through investment takes over 18 months.

Permanent residency and Portuguese Citizenship

One of the most appealing aspects of the Portuguese Golden Visa is the ability to apply for permanent residency or citizenship after five years without having to live in Portugal full-time.

To renew the Portuguese Golden Visa during this period, the applicant and their family only need to visit for two weeks every two years. Learn more about the process of obtaining Portuguese citizenship.

The Portuguese residency card obtained through the golden visa program entitles the holder to travel within the EU Schengen zone. Portuguese citizenship and a second passport grant the right to live, work, and study anywhere in the European Union.

Differences between the Portuguese Golden Visa program and other types of residency permits