Portugal Golden Visa Investment options
There are multiple investment options available to get Portgual Golden Visa.
- €500,000 Investment in Real Estate
- €500,000 Investment in a Fund in Portugal
- €350,000 Renovation of a Property that is 30 Years Old
- Low-Density Areas (€400,000 in Real Estate or €280,000 in the Renovation of Proper
1. €500,000 Investment in Real Estate:
Different kinds of properties are for sale in Portugal. Most international investors tend to focus on commercial properties located in the mainland part of the country, especially Lisbon and Porto. There’s one thing you need to know, however: On January 1st, 2022, all residential properties in Lisbon, Porto (and nearby coastal towns) will no longer qualify for Portugal’s golden visa investment program. But if you are determined to go with either of these locations, we can help you find suitable alternatives and ensure you meet the requirements to submit your investment application.
Portugal has no restrictions on foreigners’ access to the real estate marketplace, meaning you can buy a home or property and do whatever you want. Invest in a large property for long-term rental income, retire in Portugal and rent out your property to supplement your income, or even sell off your property after receiving Portuguese citizenship, in case you decide to move back to your original country.
2. €500,000 Investment in a Fund in Portugal :
This particular option gained popularity in 2019 because it has a low minimum investment amount and low costs. The investment fund has to meet specific qualifications to be valid for the Golden Visa. There are currently a few dozen qualifying funds available in the market. Some focus on real estate, while others focus on equities, companies, startups, or commodities. They are each regulated by CMVM and each has a unique investment strategy.
3. €350,000 Renovation of a Property that is 30 Years Old :
The government in Portugal offers a lower investment threshold for investors looking to purchase an older home and renovate it. Properties eligible for this program must be at least 30 years old, and the cost of the property and its renovation must add up to a minimum of €350,000.
Investors who are not real estate developers should work with a developer to ensure that their property is actually built. The developer will help the investors in a variety of ways, from filing paperwork to finishing construction itself. Some may find this arrangement favourable because it allows the investor and developer to share costs and profits equitably.
If you are going for any of the real estate options, make sure and work with a licensed professional in Portugal. The right professional will save you time and money.
4. Low-Density Areas (€400,000 in Real Estate or €280,000 in the Renovation of Property)
To prevent a real estate bubble from happening, the Portuguese government has implemented a controversial initiative. If you choose to make a real investment or renovate a property in a Low-Density area, you get a 20% reduction on the minimum investment required, and if decide to invest in an Apartment Complex or other form of the hotel that can fit at least 30 rooms (included) in your city, you then get a 40% reduction on the minimum investment required. When deciding whether or not the extra 20-40% is worth it for you when buying business premises, consider that properties in low-density areas are harder to rent or sell.
Besides, there are fewer options for real estate in the less dense areas since most of Portugal’s population is located near its larger cities. A property in a low-density area might be a nice place to retire to, but definitely won’t yield the same returns on rent or reselling of property.