Golden Visa – Real Estate Investment
The Portuguese government through recent legislation has made more flexible the assignment of residency to foreigners who invest in Portugal, namely in the acquisition of real estate.
What are the conditions for applying
for the 'Golden Visa – Real Estate Investment'?
Investment in real estate acquisition of at least 500 000 Euros.
The investment can be made through a company?
Yes, the investment can be done through a company, ensuring that the share investor in the company complies with the minimum investment of 500.000 Euros in Real Estate.
The real estate investor has to open a bank account in Portugal?
Not necessarily, but makes it easier if you open a bank account in Portugal or a in a Portuguese bank abroad, eg Macau.
It’s possible to buy two or more properties, provided that the value reaches the amount of 500 thousand Euros?
Yes, various properties can be bought. It is only necessary that the amount of 500 thousand euro is exceeded.
Is it possible to make real estate investments
in co-ownership?
Yes, if each co-owner makes an investment of a minimum of 500.000 Euros. If two investors invest that amount each, both can qualify for the residency application.
The investor can apply for a residence permit before completing the deed of purchase of real estate?
Yes, he can apply for residency. The foreign investor must submit:
• The contract, accompanied by a declaration issued by a financial institution in Portugal evidencing the transfer
of funds for purchase payment (minimum of 500 thousand Euros);
• Update the Land Registry Certificate, certifying the registration of the purchase and sale contract.
In case of payment of 500 thousand Euros, the completion of the purchase ultimately must be made before the first renewal of a residence permit.
What are the taxes and fees for buying
property in Portugal?
Taxes related to the acquisition of real estate are:
- IMT - Tax on Transaction of the Property - is paid only once on the transaction of the property,
according to the following table:
What are the taxes payables if the investor opts
for the sale(s) of the Property (ies)?
When selling, having capital gains (mais valias), you must pay the corresponding tax. The current rate on capital gains is 25%. The maintenance of the investment for 5 years is a prerequisite for obtaining
the Permanent Residency.
- Stamp Duty - is paid only once on the transaction of the property and corresponds to 0.8% of the transaction price.
In addition to these taxes, the buyer should consider more the following costs:
- Notary (scripture) - about 250 Euros.
- Land Registry (property registry) - about 400 Euros.
- IMI Tax on real estate - Normally this tax ranges from 0.5% to 0.8% of the property value. It is an annual tax, related to the value of the property (ies) in the previous year and is payable in 2 installments (April and September).
The acquired property may be subject to mortgage?
Yes, provided it remains free of any charges or mortgages the net amount of 500,000 Euros.
Is it possible rent the property in order to obtain income?
Yes, they can be rented, and our organization can provide rental management for the properties.
What documents are required for an application
for a residence permit?
• Completing the application form;
• Passport or other valid travel document;
• Proof of entry and legal stay in the country;
• Proof of health insurance;
• Authorization to query criminal record by the Foreigners and Borders Services – SEF;
• Criminal Record Certificate from the competent authority of the country of origin of the applicant or any other country where he lived for more than a year;
• Proof of the requirements fulfillment.
All documents of the country of origin must be officially translated into Portuguese and certified. Certification/Consularization can be made from the Portuguese consular services in the country of origin
of the applicant/investor.
Como é efectuada a prova de requisitos
para uma autorização de residência?
No caso da compra de imóveis no valor mínimo de 500 mil euros, a prova é efectuada por certidão atualizada, emitido pela Conservatória do Registo Predial.
How is performed the proof requirements
for a residence permit?
In the case of purchasing real estate in the minimum amount of 500 thousand Euros, the proof is carried out
by updated certificate issued by the Land Registry.
What is the minimum time required for maintenance
of the investment?
The minimum time is five years. The period begins from the date of granting the residence permit.
What is the average time for a decision on the residence permit?
• Since the beginning of formalities for obtaining the temporary residence, until obtaining it, should be considered
no more than 60 days.
• After complete all the procedures with the acquisition of properties, and delivery of documents in SEF, within 8 days,
the investor will receive notification to pick up the temporary residence permit.
What kind of document is assigned to the investor/applicant if the permit is approved?
The applicant will receive a residence permit card. That will serve as an identification document in Portugal
and in other European Union countries and the Schengen area.
How long is a temporary residence permit valid?
It is valid for 1 year. Must be renewed 2 in 2 years, after the 1st year. In the 5th year the applicant can apply
for permanent resident. Wanting can apply to Portuguese nationality.
There is a minimum period to stay in Portugal?
The investor must prove to fulfill the following minimum periods of stay in the country: seven days in the first year and 14 days in subsequent two years. These reduced periods of stay make the Portuguese program even more attractive for foreign investors.
What are the conditions for renewal of residence permit?
• Maintaining the Real Estate investment in Portugal.
• Comply with the minimum periods of residence above mentioned.
What rights does a resident have in Portugal?
The right to education, professional activity and working, improvement, training, health care and access to justice system. Has the right to travel freely within the Schengen area. It also has advantages for visas for most countries.
What are the tax obligations of a resident in Portugal?
In general, residents and non-residents who have income in Portugal are subject to taxation:
- IRS: Income Tax, in the case of individuals.
- IRC: Income Tax, in the case of companies.
- IMI: Property Tax, when it owns property.
What are the conditions for candidacy
for permanent residence?
• Having fulfilled the requirements of temporary residence permit for at least five years;
• Owning means of subsistence;
• Having guaranteed accommodation;
• Have enough basic knowledge of Portuguese language.
What is the condition of a child born in Portugal,
son of holders of temporary residence,
permanent residence or Portuguese nationality?
Children born in Portugal can apply for Portuguese nationality.
The holder of a temporary residence can apply
for family reunification?
Yes it is possible. It is regarded in the Portuguese immigration law.
Are there any limits to the number of members of a family?
There is no limit.
Sources:
SEF - Foreigners and Borders - Interior Ministry
Ministry of Foreign Affairs
Ministry of Finance
AICEP - Portugal Global
Who is considered a family member of the resident?
• The spouse;
• Minors or children who are under the guardianship of the couple or one spouse;
• Minors adopted by the applicant with supporting legal authority in the country of origin, and since this decision is recognized by Portugal;
• Parents in the first line up of the resident or their spouse, who depend on them;
• Minor brothers or sisters if they are under the resident tutelage, according to the decision taken by a competent authority of the country of origin, provided that such decision is recognized by Portugal.