The real estate market in Portugal is quite promising for foreign investors:
- According to CBRE’s 2020 Real Estate Market Outlook, in Portugal, “investment in income property will remain robust, at around 3 billion euros. The lack of core product will drive forward-purchase transactions.”
- CBRE’s report from 2019, “the investment in non-residential real estate registered a new record value of 5.75 billion euros. There was a substantial investment in every sector, with great growth in the hotel sector and student residences.”
- The Portuguese Immigration and Borders Service (SEF) supports the investment interest through its data. Of 9,340 investors; 8,782 of them obtained residency in Portugal by real estate purchase.
If you already plan to buy real estate, Portugal Golden Visa will be of great benefit for you, providing additional benefits as well.
What are these benefits then?
Path to EU citizenship
Portugal Golden Visa is a residency by investment program. However, you’ll have the opportunity to become a citizen as well, after you fulfill the stay requirement. Don’t get discouraged though. The minimum stay requirement per year is only seven days on average. At the end of five years, you can apply for citizenship and permanent residence as well.
In this way, you can live, work, and study in any EU country like a normal EU citizen. This means that you can expand your business too.
Return on investment is possible
Unlike some other programs that lead to citizenship, such as Malta, Portugal allows a return on investment. Also, you don’t need to maintain your investment at a certain point. You can liquidate your investment after you get citizenship or permanent residence.
Diverse investment options
It provides several investment thresholds even if you are buying a property in Portugal. The minimum investment amount in real estate investment starts from as low as €280,000. This option is available as long as the property is older than 30 years old and in urban rehabilitation and low-density area. Other options include minimum amounts of
- €350,000 for the property older than 30 years old and in the urban rehabilitation area
- €400,000 for the property in a low-density area
- €500,000 for the property investment in main cities.
Stability in many aspects
Stable political and social environment, modern education system, low crime rates, high living standards, strengthening of the Portuguese economy… These are just a few factors that make Portugal a great place to live and a safe investment destination.
Portugal also ranks the third safest country in the world, according to the 2020 Global Peace Index.
Furthermore, Expat City Ranking 2020 by Internations ranks Lisbon the third best city in the world for foreigners to live in. Lisbon is also among the top 10 in these three categories:
- 3rd in accommodation
- 4th in quality of urban life, and
- 6th in the cost of local living.
Promising residential real estate market post-Covid-19
A real estate report called “Marketbeat Portugal” published in Autumn 2020. It addresses how the management of the pandemic affected the real estate market in Portugal.
“The way Portugal initially faced the coronavirus outbreak reinforced the country’s appeal – with Portugal leading this year’s International Living’s Annual Global Retirement Index and Forbes magazine considering the Algarve region the best place in the world to live and retire post-COVID-19 – maintaining the interest of international buyers, with deals taking place despite the considerable travel limitations.”
“Finally, a moratorium on credit agreements and mortgages implemented in April, and subsequently extended (until March 2021 and September 2020, respectively), have also contributed to stability in the sector.”
Why Golden Visa is a great offer to foreign investors
Applying for Portugal Golden Visa means more than an investment. In return for your investment,
- You and your dependent family members get residency in Portugal
- You can be exempt from taxation on almost all of your foreign income through the NHR (Non-habitual resident) program
- It leads to eventual EU citizenship, permanent residency, and a second passport
- Even if you liquidate your investment after five years, your citizenship or permanent residence status will not be affected at all.