Foreigners might need a visa to own property in Portugal. In today’s climate, an increasing number of individuals are seeking opportunities to invest in real estate beyond the confines of their home countries. Portugal is a favorable destination for foreigners seeking to invest in real estate. It is thanks to reasonable regulations enticing foreign investment. In this article, we answer the question that often arises, which visa does a foreigner need to buy property in Portugal?
Can foreigners buy property in Portugal?
Yes, foreigners can buy property in Portugal through the Golden Visa. Portugal imposes no restrictions on foreigners when buying properties within its borders. It also offers an additional incentive for property investment, as it facilitates the purchase and presents an opportunity to acquire residency.
What is the Golden Visa?
The Golden Visa is a residency-by-investment program introduced by the Portuguese government to encourage foreign investment in the country. It allows non-EU citizens to obtain a residence permit in Portugal through real estate investments. Those who can get this visa can acquire a residency permit but are subject to certain restrictions.
Residential Real Estate
The Residential Real Estate Golden Visa in Portugal is a specific category within the Golden Visa program that allows foreign investors to obtain residency by making a qualifying investment in residential properties. This visa option has been desirable to those seeking to invest in the Portuguese real estate market while getting residency status there. The minimum investment amount is €350.000 ($377.300) for urban rehabilitation projects and €500.000 ($538.990) for designated real estate areas.
Commercial Real Estate
Purchasing commercial real estate anywhere across Portugal is permitted if you meet the minimum value of €500.000 ($538.990). An investment of €350.000 ($377.300) is also feasible, provided the property is in an urban rehabilitation project. Additionally, if the commercial property is in an area designated as “low density,” investors may qualify for a 20% reduction in the minimum investment threshold. So if you are considering setting up a rental house, apartment, or office space, this is your option.
How to obtain the Golden Visa to own property in Portugal?
Step 1: Obtain a tax identification number and open a bank account
Obtaining a Portuguese tax number, known as a NIF (Número de Identificação Fiscal), is a crucial initial step for foreigners looking to buy property in Portugal. This unique identification number is required for various financial and legal transactions, including property purchases, and ensures compliance with Portuguese tax regulations. After obtaining a NIF, you need to open a bank account.
Step 2: Buy the property
Before obtaining the visa, you need to have already purchased a property. Ensure the property deed or Escritura Publica de Compra e Venda is duly notarized.
Step 3: Submit your application for the Golden Visa
Submit your application for the Golden Visa to the Portuguese authorities. It involves providing the necessary documentation, such as proof of investment, a valid passport, and the NIF mentioned earlier. Accomplishing the application and providing all the required information is crucial to ensure timely and smooth sailing.
How much does a golden visa cost?
The initial application process may cost an average of around €5.000 ($5.400). Portugal has friendly foreign policies for opportunities for real estate investment. Check this definitive guide for everything you need to know about how to purchase property in Portugal.
Conclusion
Its Golden Visa program reflects Portugal’s welcoming approach to foreign property buyers. Foreigners have various pathways to explore when investing in Portuguese real estate. These visa programs not only facilitate property acquisition but also offer opportunities for residency and potential citizenship. With its picturesque landscapes, Portugal continues to invite investors from around the world. Whether one seeks a vacation home, a long-term investment, or a peaceful retirement destination, Portugal’s visa option for property buyers creates a gateway to a fulfilling and prosperous life in this sunny European gem.
Frequently Asked Questions (FAQs)
What is the golden visa for Portugal?
The Golden Visa for Portugal program grants non-EU citizens the opportunity to obtain a residence permit by making a qualifying investment in Portugal.
Where is the best place in Portugal to invest in real estate?
Lisbon and Porto are Portugal’s best places to invest in real estate. However, some businesses are ‘low density’ areas, such as Viseu and Santarem, which requires a lower investment amount.
Is Portugal a good property investment?
Yes, Portugal is considered a favorable property investment destination. With its growing real estate market, affordable prices compared to other European countries, stable economy, attractive tax incentives, and a high quality of life, Portugal offers promising opportunities for property investors seeking long-term returns and diversification.
