In the heart of Europe, Spain, and Portugal offer more than just golden beaches, enticing food, and excellent weather; they offer safe and stable lifestyles that have made them popular destinations for investors seeking residency through the Golden Visa program.
These programs provide a pathway to residency for non-EEA, non-Swiss, and non-EU nationals who invest in these countries, with the potential for permanent residency and citizenship.
However, while both Spain and Portugal offer Golden Visa programs, their requirements, benefits, and processes differ. This article compares the two programs to help you decide which is better suited to your needs.
Overview of the Golden Visa Programs
Spain’s Golden Visa Program
Spain’s Golden Visa, launched in 2013, offers residency to non-EU nationals through significant investments in real estate, Spanish enterprises, job creation, or government bonds. Popular among investors from countries like China and Russia, approximately 13,000 visas were issued by 2021.
However, in April 2024, Spain announced the phasing out of the real estate investment option due to concerns over its impact on the housing market and issues like money laundering, reshaping the program for future investors.
Portugal’s Golden Visa Program
Portugal’s Golden Visa program, introduced in 2012, has attracted over 20,000 families and generated more than €4 billion in investments. Offering routes through real estate, business ventures, research, and cultural contributions, allows investors to apply for permanent residency or citizenship after five years.
In October 2023, Portugal removed the real estate investment option, but the program remains appealing due to its other available investment routes, maintaining its attractiveness for those seeking European residency.
Key Benefits of the Golden Visa Programs
Both Spain and Portugal’s Golden Visa programs offer several benefits to investors:
| Benefit | Spain Golden Visa | Portugal Golden Visa |
| Visa-free travel to 27 EU nations | Yes | Yes |
| Right to live, work, and study | Yes | Yes |
| Immediate family eligible for residency | Yes | Yes |
| Plan B for economic or political stability | Yes | Yes |
| Easy application renewal process | Yes | Yes |
Both programs grant visa-free travel within the Schengen Area, covering 27 EU nations. They also allow the right to live, work, and study in the respective countries. Immediate family members, including spouses and dependent children, are also eligible for residency under both programs. Furthermore, both Spain and Portugal offer the peace of mind of having a “Plan B” in times of economic instability or political unrest.
Application Processing Time
| Country | Processing Time |
| Portugal | 12 to 18 months |
| Spain | 3 months |
Spain’s Golden Visa application processing time is notably faster, typically taking about three months from submission to approval. Portugal‘s process is comparably slower, with processing times ranging from 12 to 18 months. This difference could be a deciding factor for those seeking quicker access to residency.
Timeline to Citizenship
| Country | Citizenship Eligibility |
| Portugal | After 5 years |
| Spain | After 10 years (2 years for nationals from Spain’s former colonies) |
Both the Spanish and Portuguese Golden Visa programs do not automatically grant citizenship. However, Portugal offers a faster route to citizenship. After maintaining residency for five years, you can apply for Portuguese citizenship.
On the other hand, Spain generally requires a ten-year residency period before you can apply for citizenship, though nationals from Spain’s former colonies can apply after just two years.
Portugal’s program is advantageous for those looking to gain European citizenship more quickly, whereas Spain’s longer timeline might be a drawback for some. However, for nationals of former Spanish colonies, Spain offers a unique advantage with its shorter timeline.
Residency Requirements
| Requirement | Portugal Golden Visa | Spain Golden Visa |
| Minimum Residency | 7 days in the first year, 14 days every two years | Visit once every year |
Portugal requires a minimum residency of seven days in the first year and 14 days every two years thereafter. Spain, however, has even more flexible requirements, requiring only one visit per year. This could make the Spanish program more attractive for those who do not plan to spend much time in Europe.
Investment Options and Costs
| Investment Type | Portugal | Spain |
| Minimum Investment | €250,000 for art donations | €500,000 for real estate |
| Investment Options | Business startups, scientific research, job creation, arts or national heritage funds | Real estate, business shares, government bonds, bank deposits |
| Investment Competitiveness | Lower thresholds and more diverse options | Higher investment thresholds, dynamic real estate market |
Portugal’s Golden Visa program offers a wider range of investment options with lower thresholds, making it more accessible for investors with varying budgets. Investment options in Portugal include business startups, scientific research, job creation, and contributions to arts or national heritage funds. The minimum investment starts at €250,000 for art donations.
Spain’s Golden Visa program, however, has fewer investment options and higher thresholds, with the most popular route being real estate investment at a minimum of €500,000. With the upcoming changes to Spain’s real estate investment route, this option may soon be eliminated, further limiting investment choices.
Tax Advantages
| Tax Regime | Portugal | Spain |
| Non-Habitual Residency (NHR) | Up to 10 years of tax exemptions | 24% tax on income derived in Spain |
| Income Tax | Exemptions on foreign income | Worldwide income is taxed if a resident for 183+ days |
Portugal offers significant tax benefits under its Non-Habitual Residency (NHR) regime, which provides up to ten years of tax exemptions on various types of income, including foreign income. This makes Portugal particularly attractive for retirees and high-net-worth individuals seeking to minimize their tax liabilities.
Spain, on the other hand, taxes worldwide income for residents who spend more than 183 days per year in the country. Non-residents are subject to a 24% tax on income derived within Spain, such as rental income from real estate investments.
Application Costs
| Fee Type | Portugal Golden Visa | Spain Golden Visa |
| Initial Government Fee | €773.74 per applicant | About €250 per applicant |
| Approval Fee | €7,730.10 per visa holder | €8,000 per visa holder |
| First Visa Renewal Fee | €3,865.79 per visa holder | €2,500 per visa holder |
| Second Visa Renewal Fee | €3,865.79 per visa holder | €2,500 per visa holder |
Portugal’s Golden Visa program generally has higher fees compared to Spain. The initial government fee in Portugal is €773.74 per applicant, with an approval fee of €7,730.10 per visa holder. Renewal fees for the first and second visa renewals are also higher than those in Spain.
Spain’s Golden Visa program, by contrast, has a lower initial government fee of about €250 per applicant, with an approval fee of €8,000 per visa holder. Renewal fees in Spain are also lower, making it a more cost-effective option for those concerned with upfront and ongoing costs.
Conclusion
Choosing between Spain’s and Portugal’s Golden Visa programs depends on your unique needs and priorities. Spain offers faster processing and flexible residency requirements, while Portugal provides a quicker path to citizenship and significant tax benefits. Both programs offer valuable pathways to European residency and citizenship, making expert consultation essential to selecting the best option for your future.
Ready to secure your European residency? Explore your options in Spain or Portugal’s Golden Visa programs—consult an expert today to get started!
Feel free to contact MICS Global and arrange an initial private consultation. During this session, we’ll explore your needs in-depth and offer personalized insights to guide your journey. We look forward to connecting with you.