Are you seeking more mobility and freedom in a 21st-century world? The Portugal Golden Visa programme could be your perfect gateway to a new beginning in Europe. Offering residency in exchange for investment, this programme allows individuals and families to live, work, and travel freely across the Schengen Zone, opening doors to a life of opportunity and flexibility. Launched in Portugal in 2012, this residency by investment programme continues to captivate investors, especially those from South Africa, where the desire for safety, stability, and a "plan B" drives many to seek new horizons. Despite various changes in regulations over the past years, the Golden Visa in Portugal remains operational in 2024, with options starting from €250,000, offering a gateway to residency and potentially citizenship in one of Europe’s most picturesque countries.
Portugal is the Perfect Destination for South Africans; Here's Why
Portugal is a small European country on the westernmost edge of the continent, bordered by the Atlantic Ocean from north to south. Known for its pivotal role in the Age of Discoveries, when it connected different parts of the world, and more recently as the birthplace of football legend Cristiano Ronaldo, Portugal has much more to offer. Its coastline boasts stunning landscapes and some of the world's best beaches, while the country enjoys one of Europe's finest climates, with over 300 days of sunshine each year.
Portugal is equally renowned for its significant cultural and historical ties with South Africa, where a substantial Portuguese community has established enduring roots. These connections can be traced back to the 15th century, when explorers such as Bartolomeu Dias navigated around the Cape of Good Hope (known nowadays as Cape Town), facilitating future links between Europe, India, and other parts of Asia. Today, these historical bonds have evolved into a robust relationship between the Portuguese and South African peoples, fostering migration and a shared cultural heritage in both nations.
Additionally, many South Africans find a natural cultural fit with Portugal, thanks to its Mediterranean climate and relaxed lifestyle, which complement outdoor activities like surfing and hiking, popular pastimes in both countries. Despite soccer being the most important sport for Portugal, it is very common to find rugby clubs in several cities, including the CDUP located at the city of Porto, one of the best Portuguese union teams. Also, Portugal’s stunning beaches further enhance its appeal as a destination for leisure and recreation, something that South Africans are very fond of.
All this rich cultural heritage you can find in Portugal, together with its mild climate make it an appealing destination for South Africans, especially when compared to other European countries where adaptation might be more challenging. As economic uncertainty and safety concerns grow in South Africa, the Portuguese Golden Visa offers a promising opportunity for investors looking to secure a better life for themselves and their families abroad.
The programme's popularity has led to a steady rise in South African applicants since 2012, with official data showing that 574 high-net-worth South Africans applied for the Portugal Golden Visa between October 2012 and September 2023, excluding family members. Ranking as the fifth country with the most applications under Portugal's RBI programme, South Africa clearly shows strong interest in exploring this valuable opportunity. It is no wonder that, according to AIMA, the Portuguese Agency for Integration, Migration and Asylum, in its 2023 report, the South African community in Portugal is notable, with 3,325 individuals residing in the country.
Cost of Living Comparison Between Portugal and South Africa
When comparing the cost of living between Portugal and South Africa, Portugal tends to have a slightly higher cost of living, particularly in urban areas like Lisbon and Porto. However, South Africans are often surprised at how manageable daily expenses can be, especially in comparison to Johannesburg or Cape Town. For example, housing in Portugal, especially in rural or suburban areas, can be relatively affordable. On average, renting a one-bedroom apartment in Lisbon costs around €1,000 per month, while a similar apartment in Johannesburg might cost approximately €500 (R10,000).
Groceries and dining out are also typically more expensive in Portugal, particularly for imported products, but the quality and availability of local produce are excellent. Utilities, transportation, and healthcare services in Portugal are generally more affordable compared to South Africa, and public transportation is widely accessible. Portugal also offers better access to healthcare and public services, contributing to an overall higher quality of life that many South Africans appreciate despite the moderate increase in living costs.
It is also worth noting that the Golden Visa programme does not require investors to live in Portugal. The only requirement is for the investor to stay in the country for 14 days during the first two years, with an additional period of physical presence needed at the end of the second year for visa renewal.
Benefits of the Golden Visa for South African Citizens
The Portugal Golden Visa offers numerous benefits that strongly appeal to South African citizens. One of the key attractions is the stability Portugal provides, consistently ranking as one of the safest countries in Europe, including the 7th position in the 2024 Global Peace Index. For those seeking refuge from crime and political uncertainty, the secure environment is a major draw. English is also widely spoken, especially in urban areas and popular tourist spots, which makes the transition easier for South African expatriates, eliminating immediate language barriers. In parts of the Algarve, like the city centre of Albufeira, you will find entire streets lined with American and British bars, creating a lively atmosphere where multiculturalism is embraced and celebrated by the Portuguese and the expats.
As a Portuguese resident, you will be able to enjoy the Portuguese great universal healthcare, as well the public educational system. Another benefit the programme offers is the resident card holder the possibility to travel visa-free to all of the 28 other countries within the Schengen Area respecting the 90 days, in a 180-day period. The Golden Visa is the potential pathway to European citizenship. After 5 years, South Africans residents can apply to the EU citizenship or permanent residency, granting them the freedom to live and work anywhere they like within the European Union without limit of time.
Lastly, the programme offers flexibility in terms of investment options, helping investors find opportunities that suit their financial goals, making the Golden Visa an attractive avenue for securing both a better lifestyle and a solid investment.
How Can South Africans Be Eligible for the Golden Visa?
To qualify for the Portugal Golden Visa, South African citizens must meet specific eligibility criteria. These requirements are designed to ensure that applicants are committed to investing in the country. The fundamental conditions include:
The primary applicant can also bring their spouse, dependent children (including adopted children), adult children still in education, and dependent parents, whether they are from the applicant's side or the spouse's. Additionally, minor siblings under the main applicant's guardianship are eligible. This means you do not need to worry about leaving your family behind, as they can also be included in the Golden Visa application, no matter the number, and will share the same benefits and rights as you when joining you in Portugal.
Portugal Golden Visa Investment Options for South African Citizens
Investment Funds
One route for South Africans to obtaining the Portuguese Golden Visa is by investing in one or more selected funds, managed by a financial services or management company. Most of the Golden Visa-eligible funds focus on private equity or venture capital, particularly in the Portuguese manufacturing sector, mid-sized and premium hospitality properties, as well as sports and media assets. This option is regulated by the Bank of Portugal and is considered one of the most attractive*.
>>> Investment amount: €500,000
*This page is intended solely for professional investors for informational purposes only. It does not constitute an offer to buy or sell any security or investment, nor is it an invitation to subscribe to any fund's units.
Job Creation
Another path to Golden Visa eligibility is through establishing 10 jobs in Portugal's densely populated areas, or 8 jobs in less populated regions (with fewer than 100 inhabitants per sq.km. or where GDP per capita is below 75% of the national average). Employees must be formally registered, with individual employment contracts.
Company Creation with 5 Permanent Jobs
Another option for Golden Visa qualification is by starting a company in Portugal that creates at least 5 permanent jobs, with these positions being maintained for a minimum of 3 years.
>>> Investment amount: €500,000
Donation to Arts and Cultural Heritage
South Africans citizens can also apply for the Golden Visa by making a qualifying investment in a recognized cultural heritage institution or art project.
>>> Investment amount: €250,000
Donation to Scientific Research
A Golden Visa can be secured by making a capital transfer to public or private scientific research institutions in Portugal.
>>> Investment amount: €500,000
Other Portugal Residency by Investment Programmes
In addition to the Golden Visa, Portugal offers various other residency by investment programmes.
D2 Visa: The Portugal D2 Visa opens a route to Portuguese citizenship, designed to attract high-net-worth individuals by encouraging investment in the economy, either through launching a new business or expanding an existing one. Currently, the D2 Visa is one of the fastest and most efficient ways to gain residency within the European Union, providing benefits like family reunification and visa-free travel throughout the Schengen Zone. It is also recognized as one of the most affordable pathways to EU citizenship.
Portugal Golden Visa Requirements for South Africans
South Africans interested in the Portugal Golden Visa must meet several specific criteria. Applicants should be at least 18 years old and need to provide documentation that verifies their investment, such as property deeds or investment fund certificates. Additionally, evidence of financial capacity to support themselves and any dependents during their stay in Portugal is essential.
To ensure a smooth application process, it is advisable to engage a legal representative familiar with the Golden Visa requirements. This support can help navigate the complexities of the application and ensure compliance with all necessary regulations. Having professional guidance can make a significant difference in the overall experience, and Portugal Homes has the best team of professionals on Golden Visa applications, with thousands of clients and 100% success in residency submissions.
The application itself requires some documents, including a completed application form, a valid passport, passport-sized photographs, proof of health insurance, criminal record checks, and tax identification numbers. Gathering and submitting these documents accurately is crucial for a successful application.
Portugal Golden Visa - Step-by-Step Process for South African Citizens
The process of obtaining a Portugal Golden Visa involves several steps:
Step 1: Choose an Investment Option
South Africans must first determine which investment option suits their needs and financial situation.
Step 2: Gather Required Documents
Prepare all necessary documentation, including proof of investment, criminal record checks, and health insurance. Portugal Homes suggests for you to take the advice from a lawyer at this step, to avoid any delays.
Step 3: Make the Investment
Execute the investment, whether it be investing in a fund, or transferring capital (donation).
Step 4: Submit the Application
Submit the Golden Visa application to the Portuguese authorities, along with all required documentation.
Step 5: Wait for Approval
The processing time typically takes 2-3 months (but can take over 18 months considering the current long queues), after which applicants will receive their residency permit.
Step 6: Obtain Residency
Once your residency is approved, applicants can collect their Golden Visa and begin their new life in Portugal.
Step 7: Fulfil Residency Requirements
Golden Visa holders must meet the minimum stay requirements to maintain their residency status.
Step 8: Apply for Citizenship (optional)
After five years of maintaining the investment and fulfilling residency obligations, applicants can apply for Portuguese citizenship.
Applying for a Golden Visa with Portugal Homes
For South Africans looking to navigate the Golden Visa process, collaborating with a reputable residency by investment agency like Portugal Homes can be extremely beneficial. We provide comprehensive support throughout the whole application process, making it easier for applicants to understand their options.
Portugal Homes assists in identifying suitable investments, ensuring that clients make informed choices that align with their investment goals. Since we are located in Lisbon, Portugal, our professionals also facilitate communication with other advisors, which is crucial for addressing any complexities that may arise during the application process.
By partnering with us, applicants can ensure compliance with all necessary requirements and regulations. Portugal Homes team of professionals are trained to help clients with all the legal aspects, leaving the clients with time to concentrate on their transition to a new life in Portugal and making the journey smoother and more manageable.
FAQs for South African Citizens
Is the Portugal Golden Visa Over?
No, the Golden Visa programme in Portugal is fully operational. However, the real estate option for investment has been discontinued, meaning that purchasing property is no longer a valid route for obtaining a Golden Visa. Other avenues remain open, such as investing in funds, creating job opportunities, and making donations to the arts and sciences.
What Are the Investment Options Currently Available for South Africans Seeking to Get a Portugal Golden Visa?
South African investors looking to apply for a Golden Visa in Portugal have several investment options available:
An investment of €500,000 in selected private or public funds.
A donation to the arts and culture, with a minimum amount of €250,000.
A donation of €500,000 towards scientific research.
A capital transfer of €500,000 to establish a company that creates at least 5 job posts for a minimum of 3 years.
The creation of 10 job posts.
Do South African Citizens Have to Move to Portugal in Order to Get a Portugal Golden Visa?
No. With the assistance of a trusted local partner, the process can be largely completed online, requiring physical presence only once to collect biometric information. After the Golden Visa is issued, applicants must be physically present in Portugal for 7 days in the first year and 14 days every two years thereafter to maintain their residency permit.
How Long is the Golden Visa Valid for?
Holders of a Portuguese Golden Visa receive a temporary residency permit valid for 2 years, which can be renewed for another 2 years. It is essential to apply for renewal at least 30 days before the visa's expiration date.
How Long Does It Take for a South African Investor to Get a Golden Visa Permit in Portugal?
The complete process, from application submission to receiving the Golden Visa, typically takes around 18 months.
Can South African Citizens Include Family in the Golden Visa Application?
Yes, direct family members and dependents can be included in the application. Additional fees will apply for each person included.
Can South Africans Work in Portugal with a Golden Visa Permit?
Yes. South African citizens, along with family and dependents included in the application process, are allowed to live, work, and study in Portugal as long as their residency permit remains valid.
Is It Possible to Get a Permanent Residence Permit or Portuguese Citizenship with the Portugal Golden Visa?
Yes. After holding a Golden Visa for 5 years, South African citizens and their included family members can apply for permanent residency or Portuguese citizenship. If they opt for Portuguese citizenship, they must relinquish their South African citizenship, as South Africa does not allow dual citizenship.
As a South African, Do I Have to Give Up My Citizenship When Applying for the Portugal Golden Visa?
No. The Portugal Golden Visa provides a residency permit and does not require South African nationals to renounce their citizenship to apply or maintain their Golden Visa. This only becomes necessary if, after five years, they decide to apply for Portuguese citizenship instead of permanent residency.
Can South Africans Travel to Portugal Visa-free?
No. South African citizens must apply for a temporary visa to enter Portugal. However, once they have their Golden Visa, they can travel to Portugal and the entire Schengen Area without needing additional visas.
How Does the Portugal Golden Visa Differ from the UAE Golden Visa, and Which One is Easier to Obtain?
The key difference between the Portugal Golden Visa and the UAE Golden Visa is that the former requires updates every two years, while the latter can be valid for up to 10 years. However, in Portugal, applicants can apply for permanent residency or citizenship after maintaining their Golden Visa for 5 years, a route not available in the UAE, regardless of the duration of stay.
Furthermore, while applicants must be physically present in the UAE during its Golden Visa process, only one visit to collect biometrics is necessary for the Portugal Golden Visa, making it a more accessible option.
Is It Difficult for South African Citizens to Apply for a Golden Visa?
No, the application process is relatively straightforward. With assistance from local experts, South Africans can navigate the process smoothly. The community of South African investors has successfully utilized the Portugal Golden Visa programme for many years, consistently ranking among the top nationalities receiving residency permits through investment in Portugal.
