You may have come across the Portugal Golden Visa while searching for European citizenship by investment. If you are wondering about the changes coming to the visa, you are not alone. However, you don’t have to worry – there’s good news for you if you are seeking to invest in Portugal.
The earlier state of changes
In February 2020, the Portuguese government proposed changes in the investor visa program to block investors from buying real estate in Porto and Lisbon from 2021. This news came as a surprise to several investors planning their move to these beautiful regions in the coming year.
The primary objective of these suggested changes was to promote local investment and encourage investment in low-density zones, along with inviting foreign investment in other areas of the country as well. The government inferred that they need more investment in other municipalities apart from Porto and Lisbon.
A downfall of this scheme would be that it would limit investors to certain areas where they may not find enough investment opportunities. Considering the pandemic, this could have been a bold move.
The current changes in Portugal Golden Visa
The good news is that the Portuguese government has put the changes on hold. It doesn’t plan to restrict investment in certain areas, owing to COVID-19, and wants to inject more investment into the economy. The purpose here is to leave the Portugal investment program undisturbed so that more many can come into the economy and lead to its revival.
This move is aimed to boost up the economic growth of Portugal. Every year, there is an investment of millions of Euros from foreign investors. In 2019, HNIs and UHNIs invested €742 million into the economy, giving it a massive improvement. Investors are betting big on the Portugal property market, and the government doesn’t yet intend to change that.
Portugal golden visa changes “not a priority”
So if you are wondering whether you will be able to invest in the Portugal residency by investment program for moving to Porto or Lisbon – then don’t worry. The government has said that these changes are “not a priority” at the moment. It means that you can invest freely in both the regions in 2021 and assure your place as a European resident.
The policy changes would have no effect until the end of the year. By starting the application process today, you can purchase property in the regions and move in 2021 without any hassle. Since the economy is witnessing a downfall, foreign investors can contribute significantly to its upliftment, says the Portugal government in regard to the Portugal investor visa program.
What’s the next step you should take as an investor?
If you have planned your move to Europe through the Portugal residency by investment program, you should continue with it. Since the changes have been put on a halt, you can invest in the place of your choice and attain your Portugal residency. It would give you all the rights of European except the right to vote.
You may still be confused about the next step and how to plan your move amidst all these changes. Even though they are not in effect yet, you may want to seek the assistance of a trusted residence and citizenship planner to carry out the process.
The pause of changes certainly means that the country, as well as the government, is welcoming foreign investment and are excited for you to be a part of their growing economy. You and your family must move to the country without worrying about the changes as they would not impact your move in any way till the end of the year.
It is likely that the government will initiate the changes once the economy is reviving and has attracted the money it needed. This could happen in the beginning or by the mid of 2021, depending on how much investment the government wants to inject into the economy. Till then, you can safely invest anywhere in the country and get your Portugal residency by investment.
How will you benefit from the changes in the Portugal Golden Visa?
The government has proposed multiple changes in the Portugal investment visa program from foreign investors. It includes a tax benefit scheme that would provide benefits to investors, along with the forest savings plan and environmental deductions (investors using the property for renewable energy projects and more).
Apart from that, a recent change that came into effect in September 2020 was related to the reduction of VAT on electricity to 13% for lower voltage consumption. The government would also offer more incentives for the internationalization of companies and exemption from stamp duty.
When the changes will come into effect, it would also open the doors to new opportunities for you as an investor. The government would invite investment in low-density regions, which might mean new programs with cheaper investment options. You and your family may be able to migrate with the Portugal investment visa at a lower rate than it is today.
On the other hand, the lower investment would also entail that you can invest in several different places and multiply your wealth in the country. Portugal golden visa is an amazing opportunity to become a European citizen and experience the vibrant lifestyle of the country.
Hire expert Portugal visa consultants for immigration
The changes in the Portugal residency by investment program might scare you. You may doubt whether it’s the right step for you or not. This could lead to making a poor investment decision that you will regret in the future.
Clear all your doubts and move hassle-free to Europe with the assistance of a leading Golden Visa consultant, My Global Citizenship. Our expert residence and citizenship planners will answer all your queries related to the Portugal golden visa and provide you step-by-step guidance to immigration. Contact us today for an online consultation.