The growing attractiveness of real estate investments in Portugal

Portugal is not only a country known for its history and cultural heritage. Portugal is also famous for its hospitality, gastronomy and beauty.

It is a country with 3,000 hours of sunshine a year, 850 km of spectacular beaches on the Atlantic Ocean and a mild climate that every year ranks Portugal as one of the best holiday destinations in Europe.

The Portuguese are proud of their traditions as well as their ability to add modernity in perfect harmony to tradition.

This unique combination of old and new is especially noticeable when it comes to the excellent cuisine, the new restaurants and chefs, the fine wines and the unparalleled hospitality services.

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– The growing attractiveness of real estate investments in Portugal

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However, not only these things mark Portugal as an elite destination. As one of the most developed countries in the world, Portugal boasts excellent higher education institutions and one of the best public health systems in the world. Portugal is ranked as one of the safest countries, it is politically and economically stable and is also open for business.

Events like Web Summit, and several others related to IT companies and start-ups, make Portugal one of the best IT centers in all of Europe.

In a world where uncertainty has become the norm, high-net-worth individuals seek more and more security and freedom of movement. Against the background of the consequences of the pandemic and the conflict in Ukraine, high-profile non-European investors are securing a better future for themselves and their families in the EU by taking advantage of Portugal’s residence permit program by investment.

The Portuguese residence permit program, also known as the Golden Visa, is a program that gives investors access to Portuguese residency through investment, starting at 280,000 euros. Investors are required to stay in Portugal only seven days a year, on average. In addition, investors who are approved for a Gold Visa immediately gain free use of Portugal’s public hospitals, as well as access to European universities and job markets. The program not only allows investors and their family members to travel freely, work, live and study in all Schengen countries, but it is also the only program in Europe that allows investors access to European citizenship in just five years.

There are several options of Real estate investments in Portugal in order to get the residence permits. However, investors are mainly interested in Portuguese real estate, due to the tremendous returns that the market provides, both on rental income and capital growth.

Since January 1, 2022, the rules of the program have been changed and geographic restrictions have been applied to the areas eligible for investments Real estate in Portugal. Residential properties are now only available to investors in the hinterland of Portugal and the islands. Therefore investing in popular cities like Lisbon or Porto is only possible if the investment is in commercial/non-residential properties, such as offices or shops.

The new rules actually extend geographic availability to Portugal’s hinterland and popular islands such as Madeira and the Azores. These places are now attracting local and international developers, to build residential projects, in order to offer solutions to the international community. Portugal’s stunning and historic villas, full of culture and traditions, are now being discovered by foreign investors.

Portugal is definitely a destination where it is recommended to invest. It is no longer just another option but without a doubt one of the most competitive investment migration destinations in the EU.

First published: 08:11, 12.09.22