The Current Timeline of Portugal’s Golden Visa

Manuella Sena | Lawyer

Portugal is ranked as one of the best places to live or to travel to long term as it offers a highly attractive and charming lifestyle, great weather, security, and excellent hospitality.

Portugal has risen notably as a place for migration, in 2012, when the Portuguese Government approved Portugal’s Golden Visa Programme, a residency by investment visa designed for non-EU citizens.

Even though the Golden Visa Programme is not the ideal option for someone who intends to relocate to Portugal (as there are faster and more cost-effective solutions) it is still an appellative option for people from all over the world.

The current investment options are as follows:

1. The transfer of at least €1.5 million to Portugal, which may have one of the following investment sub-types:

• A bank deposit.
• The purchase of a shareholding in a Portuguese company or the incorporation of a single-member private limited company having a paid-up share capital of at least €1.5 million, such company being free to invest wherever and in whatever it wants.
• The purchase of Portugal sovereign debt bonds.
• The purchase of any securities issued by Portugal-based entities.

2. A Real Estate Investment or Real Estate Investment and its rehabilitation for Non-residential Purposes of at least €500,000.00 (reduced to €400,000.00 if located in a "low density area"), or €350,000.00 (reduced to €280,000.00 if located in a "low density area").

3. A Real Estate Investment and the Real Estate Investment and its rehabilitation for Residential Purposes will be limited to properties located in the inland territories of Portugal identified in the addendum to Ordinance no. 208/2017 of 13th of July, and in the islands of Madeira and Azores, and will keep the same investment minimum amount: €500,000.00 (reduced to €400,000.00 if located in a "low density area"), or €350,000.00 (reduced to €280,000.00 if located in a "low density area"). For detailed information, visit the insight Eligible and not eligible areas for Golden Visa Real Estate Investment route.

4. An investment of at least €500,000.00 in scientific research conducted by accredited institutions that are part of the national scientific and technological system (reduced to >€400,000.00 if located in a "low density area"). As of the writing of this article there are no eligible projects open to private investors.

5. Capital transfer with a value equal to or above 250 thousand Euros for investing in artistic output or supporting the arts, for reconstruction or refurbishment of the national heritage, through the local and central authorities, public institutions, public corporate sector, public foundations, private foundations of public interest, networked local authorities, local corporate sector organizations, local associations and public cultural associations, pursuing activities of artistic output, and reconstruction or maintenance of the national heritage.

6. Investing at least €500,000.00 in units of Portugal-regulated funds dedicated to the capitalisation of companies, provided that the fund invests at least 60% in Portugal-registered businesses, and that the maturity of said units is no less than 5 years from the date they are bought.

7. Investing at least €500,000.00 in setting up a Portuguese company that creates and keeps 5 new permanent jobs or increasing the share capital of an existing Portuguese company that creates or keeps at least 5 permanent jobs for a minimum period or 3 years.

8. A business, in the format of a single-member private limited company (no minimum investment required), that creates and keeps at least 10 new permanent jobs in Portugal (reduced to >8 if located in a "low density area").

Several factors such as the Covid-19 pandemic, followed by the war in Ukraine are causing significant delays in the process of analysis and conclusion of the documentation and approvals at SEF – The Immigration and Border Service. As such, it is currently taking between 1 and 2 years for the entire process to be completed, which would be the moment when the applicants receive their residence cards.

For easy reference, the three main steps of the residency by investment programme are as follows:

• Online pre-approval – 6 to 12 months
• Biometrics appointment with SEF – 6 to 9 months
• Final analysis and issuance of the residence card – 6 months
  

The first steps to submit Portugal’s Golden Visa application are:

1. Obtaining a Portugal Tax ID number (NIF), which is mandatory for all applicants. We can obtain this document under power of attorney in 8 to 10 working days.
2. Opening of a bank account in Portugal and transferring funds thereto.
3. Choosing an investment route.

Once the investment is chosen and fully paid, you can officially start the Golden Visa process by submitting all documents related to the investment and the applicant’s personal documents online through SEF’s Golden Visa platform.

After the online submission, as mentioned above, SEF is bound to take around 6 to 12 months to complete the first analysis and issuing the pre-approval.

Once the submission has been accepted and approved, the legal representatives will be notified to schedule an appointment with SEF to collect the applicant’s biometrics and to provide the original documents that were submitted on the online Golden Visa platform.

The booking of the appointment depends on the Immigration Office’s agenda and availability. The waiting period for an appointment is currently of 6 months.

After the appointment with SEF, the Portuguese Authorities will grant the final approval and proceed with the issuance of the residence card (in approximately 6 months as well).

At the end of the 5th year, the Golden Visa holder can pursuit one of the following options:

1. Renew the Golden Visa every 2 years, for which the investment must be kept in place.
2. Apply for “permanent residency for investment”, subject to passing A2 Portuguese language test, or
3. Apply for Portuguese citizenship, also subject to passing the A2 Portuguese language test.

Considering the ratings, even with the delays outlined above, the Portuguese Golden Visa Program is still Europe's most successful residency by investment programme targeted at non-EU citizens.

The lifestyle offered by Portugal, as well as the tax benefits and the possibility for non-EU citizens to acquire Portuguese citizenship in a short period of time are key factors for the yearly increase of the number of residency requests, even under the current circumstances.

If you have further questions regarding this matter, get in touch with Manuella Sena and she will be delighted to assist you.