Portugal has now closed its golden visa scheme for real estate investors, which helped many foreigners move to the Western European country.

Portugal terminates golden visas. Image: Lorne Philpot

Portugal has put an end to its sought-after residence permit for real estate investment activities (also known as golden visas). The new law governing this comes into effect today, Saturday 7 October 2023.

INVESTMENT SCHEMES        

Portugal attracted large numbers of expat residents to its shores by offering investment visas (golden visas) to foreign nationals who purchased real estate.       

Portugal became home to scores of Americans, Chinese, Israelis and other nationals who found La Dolce vita (the sweet life) in that country.

The golden visa programme was an easy way for foreigners to buy into the Portuguese lifestyle through property ownership.

NEW LAW 

Portugal News reports that new residence permits for investment activities, known as golden visas, will no longer be accepted. 

The law states that this takes effect from Saturday 7 October.    

“New applications for residence permits for investment activities are not accepted”, the law states, per Portugal News.

EXISTING PERMIT HOLDERS

Foreign nationals who are already in possession of Portugal’s golden visas are periodically required to renew their authorisations, to retain their right to legally remain in Portugal. However, the new ruling will not affect these individuals.  

“These authorisations have been granted under the legal regime applicable until the date of entry into force of this law”, the document states.

This also applies to the granting or renewal of residence permits for family reunification.

BANNING INVESTMENT VISA SCHEMES

Last year the European Union raised concerns about golden visa programmes offered by several member states.   

The European Commission called on EU governments to end national programmes that sell citizenship to investors (also known as golden passports schemes) and urged them to suspend the sale of visas to Russians and Belarusians.

The move was a push from the European Parliament. It was an attempt to regulate the multi-billion-euro citizenship and visa industry, which the EU considered a security risk.

ALLURE OF PORTUGAL

For several years the European country was the talk of the town, attracting surprising numbers of South Africans.

The Western European country was not only popular for South African expats seeking a peaceful life but for large numbers of foreigners from several countries.

STANDARD OF LIVING

Migrants to Portugal often speak of safety, good health care and education, reliable water and electricity supplies and excellent road networks.

Not to mention the mobility to travel in Europe due to the fact that Portugal is a member of the European Union.