Portugal’s Golden Visa scheme, which grants Portuguese citizenship to non-EU nationals, will soon be offered to British investors once the transition period of Brexit ends in January 2021.

Until now, it hasn’t been clear whether UK residents have been eligible for the Portuguese Golden Visa, officially called the Residence Permit Programme, during the 11-month transition period of Brexit.

While the UK officially left the EU at the beginning of the year, the country has remained bound to the EU’s rules, meaning it has still technically been ‘part of the club’.

However, this grey area will cease to exist from January 1, 2021, meaning that British nationals should start considering ways to reside in the EU and benefit from border-free travel within the Schengen area.

Popularity of the Golden Visa  
While there are several Golden Visa programmes offered by EU countries, Portugal’s incentives scheme remains one of the most popular, with investors attracted to its benefits and its flexibility.

With the news that demand for Portuguese citizenship has soared (read more here), 108 Golden Visas were granted in July alone, according to the national Immigration and Borders Service (SEF).

Of these, 98 were through the acquisition of real estate and 10 through capital transfer, mainly from China, the US and Brazil. Although this brought in a total of €56 million, it actually represents a 43% drop compared to July last year, and a 37% decrease compared to June.

Portugal’s Golden Visa scheme requires an investment of €500,000 in real estate, and in return provides a residency permit for a family including dependent children. The rules were recently reviewed (see here), but due to the pandemic, all new plans have been put on hold.

For advice on investing in a property in Portugal, feel free to contact the real estate specialists at Algarve Home Sales here.