Portugal’s revamped golden visa scheme may mean higher cash requirements for Hongkongers, mainland Chinese to invest

Name: Chinese students in Portugal start voluntarily quarantine amid coronavirus fears
Uploaded: 2021-12-26T02:00:30.000Z
Duration: 2 min 47 s
Description: Chinese students in Portugal start voluntarily quarantine amid coronavirus fears

Starting in the new year, investors seeking citizenship will have to buy commercial property rather than homes in Lisbon, Porto and the Algarve

Almost half of Portugal’s golden visas have been issued to applicants from China – 4,986 as of October this year

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A tram makes its way through a narrow street in Lisbon’s old Alfama neighbourhood. Photo: AP

Cheryl Arcibal

Published: 10:00am, 26 Dec 2021

Investors from Hong Kong and mainland China seeking permanent residency in Portugal may soon have to consider buying commercial property there rather than a residence, under new rules set to take effect in the new year.

Starting from January, house purchases in the capital city of Lisbon as well as Porto and parts of the Algarve region will no longer qualify under the fast-track residency programme, a move intended to cool down home prices and encourage investment in other Portuguese cities.

Investors seeking citizenship can still choose to invest in these popular cities, but they will have to put their money into commercial properties such as serviced apartments or hotel units that can serve as flats to rent out.

Another option is to invest in real estate funds. Both options would almost certainly mean having to shell out a bigger amount to secure Portuguese citizenship.

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Chinese students in Portugal start voluntarily quarantine amid coronavirus fears

Developers and property agents in the southern European country are already shifting their focus to offering commercial properties to foreigners wishing to take advantage of the golden visa scheme as Lisbon overhauls one of Europe’s most popular residency-by-investment programmes.

The scheme’s popularity owes much to its relaxed requirements. For example, an applicant only has to stay in the country for seven days in the first year and 14 every year thereafter to keep their residency and eventually obtain citizenship.