Ahmedabad (Gujarat) [India], June 24 (ANI / BusinessWire India): Real estate is the most popular investment option for 90% of investors, but very few investors know that there are eight different investment options available to secure the European residency under the Portugal Golden Visa program.
After 10 years of great success, the Portuguese government is preparing to modify the amount of the investment for its Golden Visa program as of January 1, 2022.
This change is being implemented to attract more investment in science, technology, business and real estate in remote and less populated areas of Portugal.
Change in conditions for real estate investment in Portugal: Under the new rules, investors will not be allowed to invest in Lisbon, Porto and the coastal and seaside regions of Portugal. The current investment amounts of 350,000 euros (for buildings over 30 years old or located in urban renewal areas) and 500,000 euros (acquisition of real estate of any kind) will remain unchanged after the implementation of the new rules.
However, after January 1, 2022, investors can only make real estate investments in the Azores, Madeira and the interior regions of the country. This can lead to lower rental income, and also less cash flow for investors, especially when they decide to sell the property.
Besides the two real estate investment options above, there are six other investment options available to investors under the old rules. The amount of the investment will increase for some of these options as of January 1, 2022.
Six different types of investments in commercial and financial products: The amount of investment as transferred capital (bank deposit) will increase from 1 million euros to 1.5 million euros.
The amounts of investment in venture capital and other funds, scientific research and in a new and existing business with the creation of 5 jobs will also increase from 350,000 EUR to 500,000 EUR.
However, investments for the preservation and restoration of heritage and cultural buildings and investment in the company through the creation of ten jobs will remain unchanged.
The investor has until December 31, 2021 to take advantage of the advantages offered by the old rules and make an investment in Portugal. It is advisable to select the type of investment to be made and start the process of applying for this visa as soon as possible, advises Prashant Ajmera, founder and lawyer specializing in immigration law at Ajmera Law Group, a law firm. attorneys practicing immigration law exclusively in India since 1993.
Real estate investment against funds: In these times of COVID, investing in funds has become a more popular option than investing in real estate to obtain the Portuguese Golden Visa, as investors cannot physically travel to Portugal.
“The rules were implemented in 2017, but it was not until 2019 that the first funds became available to make an investment in compliance with immigration rules and obtain the Golden Visa from Portugal,” Ajmera informs. .
Investment funds are a safer option as these funds are regulated by the Portuguese Securities Market Commission, also known by its initials “CMVM”. These funds are diversified in real estate located in the Lisbon and Porto region.
“Investing funds is very safe and secure. It is also advantageous for investors as they do not have to worry about renting and maintaining the property purchased. In real estate investing, the costs of closing can be substantial, which is not the case with investing funds, ”Ajmera added.
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