Portugal is one of the best countries to move to for retirement, only second to Costa Rica per a study by International Living. It's easy to see why — sun-drenched almost year-round with peaceful neighbours, a laidback lifestyle and an affordable cost of living.
Non-EU retirees looking to retire in Portugal can obtain a residence permit with a minimum contribution of €250,000 through the Golden Visa programme. Alternatively, they can apply for the D7 Visa, which requires minimum passive income of €9,840 annuals. Which route is more suitable depends on your individual circumstances.
First up - Why Retire in Portugal?
If year-round Iberian sun isn’t convincing enough, there are plenty of other reasons to retire in Portugal.
Dedicated Residency Permits: Portugal offers special residency programmes that can suit retirees, including the D7 Visa and Golden Visa.
Low Cost of Living: Daily expenses in Portugal are 30-50% lower compared to the US and UK.
Excellent Healthcare: International Living ranks Portugal's healthcare system first globally. English proficiency among medical staff is widespread.
Inheritance Laws and Wills: Favourable inheritance laws and ease of drafting wills. Portugal's forced heirship system reserves estate shares for spouses and children.
Safety and Peacefulness: The 2023 Global Peace Index placed Portugal 7th among the world's safest nations.
Portugal Residency Permit Options for Retirees
The Golden Visa and D7 Visa offer straightforward routes to residency for retirees in Portugal.
Portugal Golden Visa
The Portugal golden visa is an investment-based residency programme. It requires a minimum €250,000 contribution towards preservation of the national art or cultural heritage. Other investment options include:
Buying €500,000+ worth of investment fund units
Investing at least €500,000 in scientific research
Business investments that create 5+ full-time jobs
Starting a company that creates 10+ full-time jobs
The golden visa allows holders to reunite with their spouses and children. That means they can live, work, and study in the country. It is also a path to permanent residency or citizenship, with visa-free Schengen area travel.
Portugal D7 Retirement Visa
The D7 visa is also called the Passive Income Visa or Retirement Visa. It is ideal for retirees earning passive income outside of the country. This can come in the form of royalties, interest, dividends, rentals, or pension. The applicant must show proof of 12 times the Portugal monthly minimum wage (currently stands at €820).
Purchase or rental of property in Portugal necessary. Unlike the Golden Visa, the D7 is subject to income requirements. However, it is more affordable, with a straightforward process for retirees with steady income. D7 holders can also apply for permanent residency or citizenship after five years on the visa.
Choosing the Right Option
The Golden Visa suits high-net-worth retirees looking for an eventual second (EU) passport. The D7 Visa is ideal for those with steady passive income streams looking for an affordable retirement option without complex investments.