The idea is simple: governments trade citizenship or residence rights for investment. Arrangements differ from country to country, and requirements may include investment in a business, real estate or government bonds.
Over 20 countries or territories currently offer Golden Visa programmes worldwide, including 13 in Europe: Austria, Belgium, Bulgaria, Cyprus, Greece, Latvia, Lithuania, Malta, Monaco, Portugal, Spain, Switzerland, and the United Kingdom.
Launched in July 2013 the Greek golden visa programme grants a five-year residency visa in return for an investment in real estate. There is no minimum stay requirement and children up to the age of 21 are included in the family application. The visa is granted for five years and renewed every five years if the property investment is retained. It is not necessary to live in the country in order to retain and renew the investor visa. However, citizenship can only be granted after seven years of residency.
Investors in real estate in Greece must also budget for the additional taxes on real estate at 24%. However, at €250,000 + taxes and fees (just over €300,000 in total) this programme offers the lowest cost residency in Europe. The Greek residency programme is relatively fast, taking around 40 days until a residency card is issued. There are also favorable family rules for dependents.
The most accessible immigration programs in the EU are those offered by Latvia, Portugal, Spain, Greece, and Malta.
Greece offers the cheapest residence for investment. Applicants must buy one or several properties totaling at least €250,000. The same amount is specified in the Latvian program, but, under its conditions, investors must pay a 5% non-refundable fee, which increases the investment threshold to €262,500.
The programs of Greece, Spain, and Portugal allow the purchase of several properties to meet the minimum investment threshold. Latvia allows this only in small cities, with the exception of the popular Riga and Jūrmala, while Malta only allows investing in one property. The Greek and Portuguese programs also allow collective investments, provided that the applicants’ investments are not less than the established threshold values.
The price of real estate in the centers of large Greek cities, which average €1,300 per square meter, is the lowest among the five countries – almost twice as cheap than Spain and Malta, and 1.5 times cheaper than in Portugal.
The price difference between Greece and Latvia is not so significant (about 10%), but the price growth potential is higher in Greece. According to official data, real estate in Greece is 44% cheaper compared to its 2008 peak, while in Latvia it is 27% cheaper.
FIRST STEP FOR YOUR GOLDEN VISA
Golden Visa holders often do not need the purchased real estate and, instead, lease it to compensate for the investment.
In Greece, Latvia, Spain, and Portugal, investors are free to do so, while Malta prohibits the lease of such properties during the first 5 years of ownership. In this case, the most lucrative scenario for owners of property in touristy locations would be to rent out their properties for short-term contracts, as this type of lease returns higher yields compared to long-term rentals.
According to World Tourism Organization (UNWTO) statistics, Greece outnumbers Portugal twice and Latvia by 10 times in terms of international tourist arrivals. International tourists visit Spain approximately three times more often, but thanks to a difference in prices per square meter, Greece yields a higher investment profit: about 5% after tax and management company expenses. While rental rates for flats in Athens oscillate between €50 and €70 per night, and between €70 and €90 in Barcelona or Lisbon, real estate prices in these cities differ by almost three times: the average price per square meter is €1,265 in the center of Athens, €3,317 in Lisbon, and €4,399 in Barcelona.
Therefore, Tranio [Source: https://tranio.com/articles/the-passports-that-open-all-doors-and-how-to-get-yours/] believes that the most reasonable choice for investors wishing to obtain a Golden Visa would be to buy tourist apartments in central Athens for short-term leases. This allows investors to obtain the visa and secure a “safe haven” asset, but also a potential income of 5% in foreign currency.
Applying for the Golden Visa can be complicated and that is the reason we are here for you. Our innovative system will save your time and your money. You only need to click here to create your request and get full assistance to make the right choice!
Greece | Portugal | Spain | Malta | |
Minimum property value (€) | 250,000 | 350,000 | 500,000 | 300,000 (5-year lease + bond investments) |
Minimum transaction costs (€) | 17,600 | 32,700 | 31,000 | 400 |
Visa costs and fees (€) | 500 | 5,700 | 100 | 30,000 |
Property type | Any | Any | Any | Residential only |
Opportunity to buy several properties | Yes | Yes | Yes | No |
Opportunity to take out a mortgage | Yes (complicated in practice) | Yes | Yes | Only for the part of the value that exceeds the minimum threshold |
Need to apply personally | Yes (one visit to the country is enough) | |||
Need to reside in the country | No | Need to spend 1 week in the country during the first year, and 2 weeks during each of the next 2 years. | No | |
Tax residency | When living over 183 days per year in the country | |||
Visa validity | 5 years, renewable every 5 years | 1 year, renewable twice for 2 years | 1 year, renewable every 2 years | Indefinite |
Asset holding period | As long as the holder needs residence | 5 years | As long as the holder needs residence | 5 years |
Visa issuance period | 8 weeks | 1 to 6 weeks | 6 to 7 weeks | 12 to 16 weeks |
Family members´ eligibility for residence | Spouses, children under 21 years of age, parents | Spouses, children under 18 years of age, dependants | Spouses, partners, children under 18 years of age | Spouses, children, parents, grandparents |
Right to work | No (investment activity only) | Yes | ||
Permanent residence | After 5 years if the investor spends at least 183 days per year in the country | After 5 years | After 5 years if the investor spends at least 183 days per year in the country | The Golden Visa is already a permanent residence permit |
Citizenship | After 10 years of permanent residence (period of holding a Golden Visa is not taken into account) | After 6 years | After 10 years of permanent residence | Cannot be granted |
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