Portugal's Golden Visa: Investment Routes and Benefits in 2024

Portugal offers a unique opportunity for investors to obtain a residence permit and a potential path to citizenship.

09:26 04 June 2024

Portugal offers a unique opportunity for investors to obtain a residence permit and a potential path to citizenship through contributions to the nation's growth. Known locally as the Golden Visa program, or ARI (Autorização de Residência para Atividade de Investimento), it comes with an opportunity for non-EU/EEA nationals to secure a sought-after residence permit. This is achievable if you commit to a five-year investment in Portugal.

Investors can qualify for the Golden Visa by channeling funds into appreciating assets, e.g., real estate, venture capital funds, or their own business ventures. Full-time residency in Portugal isn't a requirement. To maintain the Golden Visa, minimum presence in the country of seven days per year is required.

Portugal Golden Visa: top choice for investors and families

The Portugal Golden Visa is popular in the investment immigration sector for its benefits. Here's why it's a top choice: 

• Investment Options: Affordable even for moderate investors, Portugal's booming market has seen assets appreciate, which makes the program cost-neutral. Options include real estate, funds, or business investments.
• Family Benefits: Including family in your application is simple, with dependents enjoying EU-level educational rates.
• Travel Freedom: Golden Visa holders enjoy free movement in the Schengen Zone, with no visas needed.
• Residency Terms: Just seven days per year in Portugal are required to maintain the Golden Visa.
• Global Standing: Portugal's EU and OECD membership prevents blacklisting.
• Citizenship Opportunity: Many have gained Portuguese citizenship, allowing permanent residence and work throughout the EU and associated countries.

Portugal's allure lies in its peaceful nature, hospitable people, and enjoyable lifestyle.

Launched in 2012, Portugal's Golden Visa gained traction in 2015 when investment requirements were lowered. Despite stricter rules in 2024, the program retains its appeal, offering profitable investment opportunities, tax benefits through the NHR program, and a path to EU citizenship.

Portugal pairs a desirable lifestyle with an inviting investment environment. Actually, the Golden Visa is just an introduction to Portugal's investment opportunities.

How to qualify

To secure a Portugal Golden Visa, applicants must adhere to the criteria outlined in Law 56/2023, as published in the Diário da República n.º 194/2023 on October 6, 2023. The requirements are as follows:

• The primary applicant, along with their spouse and children under 26 (if applying jointly), must have a clean criminal record.
• Applicants, including those in a joint application, can’t face any EU entry restrictions, e.g., those imposed by the Schengen Information System.
• The legitimacy of the applicant's funds shall be confirmed before the bank accepts the investment for the Golden Visa.
• Adult children included in the application must depend financially on the main applicant, with proof such as university enrollment documents.
• Golden Visa applicants need to have health insurance coverage in Portugal.
• Once granted a residence permit, the main investor and family members are required to spend at least seven days per year in Portugal, or 14 days over two years.
• Investment criteria must be met, which is demonstrated through purchasing real estate, creating jobs, or making a bank deposit.
• To retain their Golden Visa, the investor must maintain the investment for a minimum of five years. Failure to do so will result in the loss of resident status and the residence permit.

Eight ways to invest and qualify for the Portugal’s Golden Visa

The Portugal Golden Visa program has easy-to-meet conditions for those who apply. It's made to be simple, with eight different ways to invest. Applicants have the flexibility to invest either personally, as individual entrepreneurs, or as sole proprietors of limited companies.

For the Portugal Golden Visa, applicants can choose from eight main investment routes:

1. Capital Transfer: Applicants are expected to transfer a minimum of EUR 1.5 million. Proof of investment is required through documentation of an international bank transfer. Eligible investments include bank deposits, public debt instruments, non-documentary securities acquisition, securities in individual custody, and equity investments.
2. Job Creation: Applicants must create at least ten jobs. Documentation confirming you’ve created the required number of jobs is necessary. In areas with low population density or GDP per capita below 75% of the national average, the requirement is reduced by 20%, meaning only eight jobs need to be created.
3. Standard Real Estate Purchase: Applicants can invest in property starting at EUR 500,000. However, this excludes residential properties in certain urban and coastal areas like Lisbon, Porto, and much of the Algarve. In less populated regions, with fewer than 100 inhabitants per square kilometer or a GDP per capita below 75% of the national average, the minimum investment drops to EUR 400,000. Ownership can be single, joint, or through a single-owner limited company. Properties may also be acquired via mortgage or leased for business purposes.
4. Renovation and Regeneration: Properties over 30 years old, located in urban regeneration areas, and valued at over EUR 350,000 qualify for this option. Investments in major cities and coastal resorts are excluded. Ownership forms are flexible, and investors can double dip on reductions, lowering the threshold to EUR 280,000 in underdeveloped areas. The total investment, including renovation costs, must meet the minimum requirement.
5. Research and Development: Applicants are free to invest a minimum of EUR 500,000 in public or private R&D. Documents that verify the investment are a must. In less developed areas, the minimum investment is reduced to EUR 400,000.
6. Cultural Contributions: Investing in artistic production, art support, or national heritage reconstruction starts at EUR 250,000. Investments must be made through recognized entities, say, local authorities or cultural associations. In underdeveloped areas, the investment threshold is lowered to EUR 200,000.
7. Investment Fund Participation: An increasingly favored option, it requires a minimum investment of EUR 500,000 in investment or venture funds. These funds must allocate at least 60% of their capital to small and medium-sized Portuguese businesses.
8. Business Investment and Job Creation: For this route, a minimum of EUR 500,000 must be invested from overseas to either establish a new business or invest in an existing Portuguese company. Besides, this investment must result in the creation of five permanent jobs for at least three years.

Need further information on the expenses, required documents, and steps for your family's Golden Visa to Portugal? Feel free to contact the International Wealth team for help!