The 2020 State Budget provided some changes in the Golden Visa program: the Government was authorized to review the residence permits for investment provided for in Law No. 23/2007, of 4 July (Foreigners’ Law) until the end of the year 2020.
In this context, Decree-Law No. 14/2021, of February 12th, was approved, which changed the legal regime of residence permits for investment (“ARI” or “Gold Visa”), with effect from January 1st of 2022.
The main goal of changing the regime is to increase the minimum value of investments and promote investment in purchasing houses in the interior territories.
That doesn’t mean the end of the Golden Visa program in Portugal, it means only some changes that significantly affect the type of investment made in the country. The two main measures adopted are:
- Restriction of precise real estate investments for the granting of Golden Visas to territories in the interior of the country, Madeira and the Azores. Real estate investment in Porto, Lisbon and Algarve will not be allowed for the granting of the Golden Visa;
- Increase in the minimum amount of investments and in the number of employees necessary for the granting of Golden Visa.
These changes, now known, reflect a profound limitation of this program to attract foreign investment (since 8 October 2012) particularly in real estate investment activities.
Contrary to what was estimated in the legislative authorization contained in the 2020 State Budget – which preceded this diploma – it is not foreseen to favor investment in the interior of Portugal, since the investment conditions in these territories are equally aggravated.
The measures, now approved, only apply to applications for the granting of a Gold Visa that are filed after that date, while the Gold Visa renewal applications granted under the current regime are also safeguarded. As well as the possibility of granting or renewing residence permits for family reunification when the Gold Visa has been granted under the current regime.
The entry of this decree-law will not take place gradually and progressively, there will no longer be a transitional period that was believed, but will come into full force on the first day of next year (2022).
Therefore, we advise all investors who intend to acquire properties located in the Algarve to hurry to do so, so that their acquisition is covered by the wording still in force of Law no. 23/2007, and this may be considered valid for the purposes of granting residence permits through real estate investment.
For more information, please contact BUYME Prestige directly and live your dream!