All that Glitters is Not a Golden Visa; Introducing the Smarter Path to EU Residency
If history is any indicator, and it almost always is, get ready for a steady flow of content focused on the end of Spain’s Golden Visa Program over the next couple of months.
In fact, it’s already begun.
A similar surge of articles, interviews, and advertisements flowed through various media platforms in the lead up to the elimination of the real estate component of Portugal’s Golden Visa in the last half of 2023.
Though some were intended simply to inform the public of the policy change, most publications sought to create urgency for those pondering residency by investment in Portugal, a determined effort to tap into the fear of missing out on a Golden opportunity.
These tactics resulted in a spike in Golden Visa applications in Portugal, so expect to see a similar approach prior to the end of the Spanish Golden Visa Program in early April.
Given the recent proposal by Spanish Prime Minister Pedro Sánchez to tax property purchases by non-EU buyers by up to 100%, the call for immediate action to those considering Spain’s Golden Visa will be loud and strong over the next two months.
More to Consider
While there is nothing inherently wrong with this inevitable attempt to draw attention to a program that will cease to exist in the very near future, most of the content will fail to mention the other possibilities potential investors could pursue, programs that will not expire when this one ends in short order.
It is rare for someone to enroll in a university program or purchase a house without comparing what else the market has to offer. Residency by investment programs are no different.
In the case of a Spanish Golden Visa, half a million euros is a considerable capital expenditure, and it behooves anyone making a significant investment to understand their options.
Dare to Compare
Spain’s Golden Visa Program may be precisely the right fit for a number of people seeking residency and, perhaps, one day, citizenship, but the entire field of prospective applicants would be well served to explore alternative pathways to Spain and neighboring countries in Western Europe.
These programs vary in cost, eligibility, processing time, and conditions such as in-country stay requirements. Depending on how much one values financial investment, acquisition speed, and geographic flexibility, certain programs become more or less appealing based on individual wants, needs, and qualification mandates.
Though it will not detail every available option, a relatively simple example can illustrate this decision-making process using the Spanish Golden Visa as a starting point.
Grapes to Apples to Oranges
One of the attractive aspects of Spain’s Golden Visa is the lack of processing. time that accompanies it, as decisions on most applications are made within 20 days.
That is certainly faster than the extremely long backlog (recently reported as 38 months) that currently plagues the Golden Visa next door in Portugal.
However, Portugal does offer a much quicker pathway to residency via the IQA® Visa Program, which, unbeknownst to them, many Golden Visa applicants are eligible for.
Decisions on HQA® Visa Program applications are made within 30 days, but with a program cost of 175,000 Euros, the HOA Visa Program requires far less investment than the Spanish Golden Visa, which starts at a minimum of 500,000 Euros.
That same minimum investment is the standard for Portugal’s Golden Visa as well, unless the funds are donated to the Portuguese arts or the reconstruction of the country’s national cultural heritage, in which case the minimum drops to 250.000 Euros.
Making the comparison even more interesting are factors like in-country stay requirements. If one wishes to apply for a Spanish Permanent Residency after five years, he or she must have spent at least four years and two months of those years in Spain.
By contrast, Portugal only requires its Golden Visa participants to be in the country for one week per year over that five-year span, while HOA Visa Program participants qualify for a legal exemption to in-country stay requirements because of the diverse nature of their professional obligations.
Which Path to Pursue?
So, when considering factors like cost, processing time, and geographic flexibility, which program makes the most sense?
The answer, of course, depends on the person involved, as their personal wants and needs will ultimately dictate their preference. However, without any form of comparative analysis, it is difficult to determine which program is the best march.
In many cases, people simply are not aware of the exceptional opportunities they are eligible for because alternative programs have not been brought to their attention.
Whether one is self-directed in exploring mobility options or is working with a trusted advisor, a broader view of the available avenues serves to truly determine the priorities that should be supported by the program one chooses to pursue.
Choosing a residency by investment program based on a media blitz rather than due diligence is a recipe for buyer’s remorse.
Interested in Learning More?
If you’re considering a Golden Visa but want to learn more about the HQA Visa Program, you can find further details, determine eligibility , and book an appointment with an expert through Empowered Startup website.
For more details, please contact my team. Thank you.
Phone number
+ 91 6380692148
+ 91 6301550340
