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Investment in Golden Visas Rises by 34.6% in June but Falls 18.8% in the First Semester

5 July 2018

The investment attracted by golden visas rose by 34.6% in June, compared to the same month last year, to 52.8 million euros. It declined, however, 18.8% year-on-year in the first half of 2018.

According to the Lusa news agency, which relies on data from the Foreigners and Borders Service (SEF), in June, the investment resulting from the concession of Residence Permits for Investment Activity (ARI), also known as golden visas, reached 52,849,429.34 euros, up 34.6% compared to the same month last year (39,250,091.91 euros). In monthly terms, compared to May, investment fell 28%.

It is worth noting that of the total amount raised in June, the majority came from the purchase of real estate (€49,751,115.83) – visas which are granted after the applicant purchases a home costing at least €500,000 – while capital transfers amounted to 3,098,313.51 euros.

In all, 90 golden visas were granted, 87 of which were based on the property acquisition criteria. Of those, four were granted through real estate for urban rehabilitation.

By the end of June, 164 golden visas had been granted for the purchase of real estate for rehabilitation, the first of which was awarded almost two years ago (July 2016).

In the first six months of the year, the investment raised through the program amounted to 484,029,198.98 euros, representing a year-on-year decrease of 18.8%.

6,369 visas granted since 2012

In accumulated terms, since the golden visas began to be granted on October 8, 2012, and up through last June, the total investment raised reached 3,895,295,041.37 euros, of which 366,144,760.19 euros were due to capital transfers and 3,529,150,281.18 euros for the purchase of real estate.

During this period, 6,369 golden visas were awarded: two in 2012, 494 in 2013, 1,526 in 2014, 766 in 2015, 1,414 in 2016, 1,351 in 2017 and 816 in 2018.

The vast majority of these visas stem from the acquisition of real estate: 6,017 of the 6,369. A further 341 “golden visas” were granted for the transfer of capital and 11 for the creation of at least ten jobs.

The Chinese lead

Chinese citizens continue to be the most significant participants in the program (3,890 up to June), followed by the Brazilians (561), South Africans (254), Turks (224) and Russians (222).

New rules for the concession of golden visas, which extended the investment criteria for citizens outside the European Union to areas such as urban rehabilitation and science, among others, came into force on September 3, 2015.

Since 2013, 10,793 residence permits have been allocated to regrouped family members: 576 in 2013, 2,395 in 2014, 1,322 in 2015, 2,344 in 2016, 2,678 in 2017 and 1,478 in 2018.

Original Story: Idealista

Translation: Richard Turner