Launched in 2012, the Portugal Golden Visa program is aimed at attracting foreign investment.
The investors must own this property for a minimum five year period as from the date of the residence permit. The real estate investment is evidenced by a land register certificate. Both residential and commercial properties are eligible and may be subsequently rented. The real estate must be free of charges or encumbrances up to the minimum investment amount (a mortgage for the exceeding amount would be allowed). The real estate can also be acquired in co/ownership, provided the applicant’s co-ownership quota amounts to at least to €500,000. This is a very interesting angle as it allows investors to collectively buy properties in the premium sector of the market where prices start at €1,000,000. As an example, four investors buying a €2 million property would all qualify for the visa. An initial promissory contract is sufficient to evidence the investment provided there is a down payment of €500,000.
Excellium Capital’s Property Investment Club identifies and negotiates key investment property opportunities at below market value prices directly with developers and financial institutions. This enables our clients to acquire properties at excellent market values in the best locations thus ensuring the maximum capital appreciation over time. Our investors usually seek income generating assets and most of our portfolios are selected with this in mind.
For more information please request our latest Golden Visa Presentation.
The Golden Visa Programme launched by the Portuguese Authorities in October of 2012 is a fast track for foreign investors from non-EU countries to obtain a fully valid residency permit in Portugal (“Golden Visa”).
Under the Golden Visa programme, non-EU citizens simply need to carry out one of the investments set out in the law to qualify to obtain a residency permit in Portugal. This residency permit will allow the investor to enter and/or live in Portugal and to travel freely within the vast majority of European Union Countries (Schengen space).
Aimed at attracting foreign investment to Portugal, the Golden Visa is a very straightforward and flexible programme, with simple and clear legal requirements. With extremely reduced minimum stay requirements; the Golden Visa is clearly one of the most attractive residency programs for investors in the world.
The following types of investment qualify for the Golden Visa programme:
It should be noted that only investments effectively made after 8th October 2012 are eligible for the Golden Visa programme.
Once issued, the Golden Visa will be valid for an initial period of 1 (one) year and then will be renewed for 2 subsequent periods of 2 years.
The simplicity of the Golden Visa Programme implies an extremely reduced amount of requirements being asked from the investor. The Golden Visa Programme sets out that the investor must comply with general requirements applicable to all types of qualifying investments and also with the specific requirements of each type of qualifying investment.
In general, all investors have to comply with the following requirements:
The Schengen Area is a group of 26 European countries that have abolished passport and immigration controls at their common borders. With a resident permit from Portugal, the investor is entitled to enter and travel freely throughout all the countries of the Schengen area.
The Schengen Area includes the following countries: Austria, Belgium, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, The Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, Switzerland.
Yes. Under the Golden Visa Programme, the investor’s family members may also apply and obtain a resident permit from Portugal by applying for “family reunion”. The Golden visa will be extended to family members, namely children, spouse and dependent family members.
The family members will also be eligible for Permanent Residency after 5 years Portuguese Citizenship after 6 years.
Under Portuguese Law any person that has held a valid Portuguese temporary residency title (e.g. the Golden Visa) for a period of at least 5 years, he will be entitled to obtain Permanent Residency in Portugal.
The investor and family members will have to meet the following criteria in order to be able to apply for Permanent Residency in Portugal:
The Portuguese legislation also sets out that any person who has been validly resident in Portugal for at least 6 years (either under a temporary or permanent residency title), is eligible for obtaining Portuguese Citizenship.
In order to be able to obtain Portuguese Citizenship, the investor and family members will also have to comply with the following requirements:
The application for the Golden Visa implies that the investor will have to submit the following documentation:
Any document that is not in the Portuguese or English languages needs to be translated to Portuguese. The translation needs to be certified.
Document issued by foreign authorities need to be legalized before being submitted in Portugal. This legalization means obtaining the Appostille of the Hague Convention (when applicable) or legalization by the Portuguese Consular services.
A fiscal number is an identification number before the Portuguese Tax Authorities also known as the tax number). This number is required to carry out the investments.
Any investor interested in applying for a Golden Visa, can submit the application, either personally or via a legal representative appointed by him, in one of the following manners:
The Golden Visa involves payment of the following fees (payable directly to the Services of Foreigners and Borders (“SEF”)):
Once the application is submitted at the Services of Foreigners and Borders (SEF), it will take around 1-2 weeks for the application to be processed (please note that this is just an estimate based on our recent experience).
Once the application is processed, the Services of Foreigners and Borders (SEF) will contact the investor or the investor’s legal representatives in Portugal and set up an appointment with the investor (and family members) to collect signature and fingerprints.
It should be noted that in some cases, it is possible for the investor to go to the immigration services to leave the fingerprints and signature shortly before the investment and/or submission of the required documents.
The investor (or any family member) will only be refused the Golden Visa (or its renewal) if:
Yes, the investor only needs to hold the investment during the Golden Visa’s validity period – 5 years.
Yes, but without proof that the investment has been kept, the investor will not be able to renew the Golden Visa Permit.
No. The investor does not need to occupy the property and it can be rented out to obtain income.
There are three taxes in Portugal related to property:
a) Payable with the property’s acquisition:
“IMT” or Property Transfer Tax”, which is the tax on transfer of ownership of property
| Value | Marginal | Medium |
| Up to 92,407 | 0 | 0 |
| + 92,407 to 126,403 | 2 | 0,5379 |
| + 126,403 to 172,348 | 5 | 1,7274 |
| + 172.348 to 287.213 | 7 | 3,8361 |
| + 172.348 to 287.213 | 8 | – |
| + 574,323 | 6 (single rate) | |
| Stamp Duty |
Note: The exact amount of taxes to be paid varies according to the actual value of the acquisition.
b) Payable on an annual basis: “IMI” or Municipal Tax, which is the annual municipal property tax; it is levied between 0.3% and 0.5% on the property’s tax value.
No. If the holder of the golden visa does not stay in Portugal form more than 183 consecutive days, he/she will not be required to pay taxes for income generated outside of Portugal.
Rental income and income arising from capital (e.g. interest, dividends, etc) will be taxed at a rate of 28%.
If so, please contact us and we will be happy to provide you with additional information.