The Golden Visa program in Portugal, which grants residency to non-European Union citizens in exchange for investing in real estate or creating jobs, may be coming to an end.
The program, which was introduced in 2012, has been a popular way for wealthy individuals from outside the EU to gain access to the bloc’s open borders and gain a foothold in Europe. However, there have been growing concerns about the potential for money laundering and abuse of the program, as well as the impact of the influx of wealthy foreigners on the local housing market.
The Portuguese government is currently conducting a review of the program, with a view to making changes or even ending it altogether. This is in line with the EU’s push to reform the current system of golden visa and citizenship by investment programs across the bloc, which have been criticized for being too lenient and vulnerable to abuse.
One of the key criticisms of the Golden Visa program in Portugal is that it has led to a surge in property prices in popular tourist areas, making it difficult for locals to afford to buy or rent homes. This has led to calls for stricter regulations on who can apply for a golden visa, and for a higher investment threshold for those who do.
Another concern is the potential for money laundering and other financial crimes, as the program does not require applicants to disclose the source of their funds or to undergo a thorough background check.
Despite these criticisms, the Golden Visa program has been a major source of revenue for the Portuguese government, with over 7,000 visas issued since its launch, bringing in over €4 billion in investments. Ending the program would likely have a significant impact on the country’s economy, which is still recovering from the effects of the pandemic.
It is worth noting that Portugal is not alone in considering changes to its golden visa program. Many other countries in the EU and around the world have similar programs and are also facing calls to reform or abolish them.
The Golden Visa program in Portugal, which has been a popular way for wealthy non-EU citizens to gain residency in the bloc, may be ending due to growing concerns about the potential for money laundering, abuse and impact on the local housing market. The Portuguese government is currently reviewing the program and may make changes or end it altogether, in line with the EU’s push to reform similar programs across the bloc.
For now, the Golden Visa opportunity is still open to applicants and those who have started the process are still be eligible. Any cancellation of the program would not apply retroactively.
Currently, the program is still open for those who invest a minimum of €280,000 euros in a hotel fund, where you can get a full refund once you’ve applied for your citizenship. Alternatively, for €500,000 you purchase a property in a low density area in the interior of Portugal or on a tropical island paradise such as Madeira. Unfortunately, the option to purchase a property of €500,000 or more near the coast on the mainland is no longer an option. Some applicants are taking advantage of the refundable €280,000 investment to get their citizenship, and are then free to purchase the property of their dreams anywhere in Portugal.
If you wish to still take advantage of the Golden Visa program, while it is available, contact us via email or call us at +351 918 410 171 to learn more about your opportunities.
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Scott Kirk is the founder of BuyProperty.com, the most advanced property portal in Europe providing insights and analysis into all property for sale in Portugal. He offers a free concierge service to help find the right property, submit your visa applications, and more. Contact him via at scottk@buyproperty.com or call +351 918 410 171 for more information.
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