With all parties represented in the parliament voting against the initiative, the weight of the Socialist Party (PS) allowed it to approve the bill and send it now for the final approval of President Marcelo Rebelo de Sousa. This vote marks the beginning of the end of a long legislative journey that began early in the year with the PS’s announcement indicating the absolute end of the program, even retroactively for those who had applied for the visa before the bill’s presentation.
The approval of the bill known as “Mais Habitação” (More Housing) by the Portuguese Parliament implies the birth of a new era of the Golden Visa Portugal program. Among the main changes established by the new regulations, the proposal is to eliminate the options of property purchase and capital transfers, two of the most attractive options so far for obtaining European citizenship through investment.
Shortly afterward, they had to backtrack on those statements due to a deluge of criticism received from various real estate sector organizations, in addition to the threat of legal action against what many considered a “constitutional violation.” Even the Golden Visa Portugal as a whole began to take shape, avoiding being eliminated and managing to remain standing, albeit with changes.
The most appealing segment of the Golden Visa Portugal
Since the beginning of the Golden Visa program in Portugal in October 2012, around 12,000 people have received the visa, while according to data collected by the IMI Daily portal from a “source close to SEF (Immigration and Borders Service),” there are still “7,802 Golden Visa applications pending approval.”
This data only adds to the opposition’s arguments, indicating that eliminating the purchase of properties and capital transfers from the Golden Visa Portugal is a serious mistake, at the very least. According to statistics from visa beneficiaries, the vast majority are related to the purchase of properties for €500,000 or more, or purchasing and refurbishing properties for €280,000 euros or more.
For many investors, this is a great opportunity, especially considering that it allows access to the Portuguese passport, opening the doors to the 27 nations of the Schengen Area. It is an impressive opportunity that, according to our Portugal specialist, lawyer Adriano Vieira, “could extend until the end of September when the new law is expected to be enacted, although no one knows for certain if these changes will be applicable,” giving a glimmer of hope that the possibility of investing in real estate will continue.
The last opportunity for the Golden Visa Portugal
These months are crucial for anyone considering this type of investment, particularly due to the attractive requirements for maintaining and renewing the Golden Visa Portugal. For example, those interested in obtaining European citizenship through residency are not required to spend even a day in Portugal, and they can even go through the application process remotely with the help of our lawyers.
On the other hand, for those thinking of obtaining Portuguese citizenship, they only need to spend 7 days a year in the country, significantly less time than in other countries in the region. It is also essential to consider that the minimum investment in real estate in Spain to obtain the Golden Visa is €500,000, almost double the minimum in Portugal.
A significant advantage when accessing the Golden Visa in its current format is having a property ready for purchase. At AIM Global, we have a significant number of properties available for this investment to obtain the European passport, in addition to the support of the Apparcel Uriarte law firm to streamline the process.
What changes will come with the enactment?
If implemented as it came out of Parliament, the strongest changes driven by this law are the elimination of the possibility of capital transfers for €1,000,000 or more, as well as the possibility of buying a property for refurbishment for €280,000 or a new one for habitation for €500,000. Considering that out of the 7 billion euros that the program attracted to the country, 5.7 billion correspond to real estate, many experts believe that the Socialist Party is making a mistake with this measure, and others say it will be unenforceable.
A very important piece of information for all those who are applying for the Golden Visa Portugal is that it is guaranteed that those who started the process before the law’s application will be able to maintain their application until the process is completed. This is the reason why there is still a very interesting window to obtain the visa under the current conditions.
Once the new law is promulgated, these will be the available options to obtain European citizenship through the Golden Visa:
Capital transfer for scientific research: Requires a minimum investment of €500,000 and is aimed at public or private organizations integrated into the Portuguese technological and scientific system.
Capital transfer for cultural options: This involves allocating €250,000 or more to artistic production, recovery, or maintenance of Portuguese cultural heritage, public institutes, and other municipal entities.
Capital transfer for collective investment entities: Requires an investment of €500,000 or more in some types of funds incorporated under Portuguese law, which must have been in existence for at least 5 years, and 60% of the investment value must be made in commercial companies based in Portugal.
Capital transfer for the establishment of a commercial company: Requires an amount equal to or greater than €500,000, with the registered office in national territory, combined with the creation of five fixed jobs, or the reinforcement of the share capital of a commercial company headquartered in national territory, already constituted, with the creation of at least five permanent jobs or maintenance of at least ten jobs, with a minimum of five fixed jobs, and for a minimum period of three years.
Creation of 10 jobs (8 in “low-density” areas).
If you are thinking about obtaining a European passport through real estate investment, do not hesitate to contact us; perhaps it may be the last opportunity to do so.
