The D7 visa, a residency option for non-EU/EEA and Swiss nationals, is becoming increasingly popular among wealthy foreign nationals after Portugal removed the real estate investment option from its Golden Visa scheme. This change has opened up new paths for residency, especially for those with a steady passive income.
The removal of the real estate investment route from Portugal’s Golden Visa Programme has prompted many international investors to seek alternative residency options. The D7 visa, also known as the Retirement Visa, has emerged as a preferred choice, partly due to Portugal’s efforts to address its housing crisis, leading authorities to reassess the country’s Residency by Investment Programme.
Introduced by the Portuguese government in 2007, the D7 visa allows nationals from outside the EU/EEA and Switzerland to obtain residency in Portugal if they can show sufficient passive income. This visa is particularly attractive to retirees and those with a stable income from non-employment sources, such as investments, pensions, or rental properties.
Eligibility for Portugal’s D7 Visa
To qualify for the D7 visa, applicants need to meet specific criteria, including demonstrating a steady passive income, with a minimum requirement currently set at €820 per month. Acceptable sources of income include earnings from movable assets, real estate rentals, financial investments, or intellectual property. Applicants must also be over 18, have a clean criminal record, and have private health insurance.
The D7 visa is initially issued for two years and can be renewed for an additional three years. After holding residency for five years, visa holders may apply for Portuguese citizenship, provided all other conditions are met. The D7 visa process generally takes up to 60 days if all documents are correctly submitted.
Updated Investment Options for the Golden Visa Programme
In October 2023, after the approval of the ‘More Housing’ bill by President Marcelo Rebelo de Sousa, Portugal removed two key routes from the Golden Visa Programme: the real estate investment option and the €1.5 million bank transfer option. These changes, effective from 9 October 2023, aim to alleviate the housing crisis.
Despite these alterations, wealthy individuals can still obtain residency in Portugal under the Golden Visa Programme by investing at least €500,000 in an existing business, donating a minimum of €250,000 towards national heritage or art, or contributing at least €500,000 to scientific research institutes.
Golden Visa Programme’s Economic Impact
Since it began, the Golden Visa Programme has issued over 11,500 visas to wealthy foreign nationals, significantly boosting the Portuguese economy. More than 18,000 foreign families have benefited from the programme, underscoring its appeal. Other options, such as the Non-Habitual Residents (NHR) scheme and B visas, also continue to attract foreigners to Portugal.
In summary, the removal of the real estate investment option from the Golden Visa Programme has driven increased interest in the D7 visa, offering a compelling alternative for those seeking residency in Portugal through passive income. As Portugal adjusts its residency schemes to address domestic needs, it remains an attractive destination for those looking to settle in Europe.
