Portugal truly has it all – miles upon miles of sandy beaches, a warm and welcoming people, and a buzzing business and tech scene combined with an affordable lifestyle and great healthcare. It also has a thriving culinary scene, sprawling vineyards, cities full of culture, and numerous charming villages for those wanting a taste of small-town Portuguese living.
In addition to its natural beauty and lifestyle, Portugal also boasts a stable socio-political climate, clear and transparent tax rules and reliable infrastructure. No wonder Portugal is the most preferred destination for individuals and families seeking to relocate to the European Union and hundreds of them are taking advantage of the D7 visa to make the move.
So what is the D7 Visa?
The Portugal Passive Income Visa also known as the D7 visa is a long-term Portuguese residency visa that permits non-EU/ EEA / Swiss citizens Citizens to obtain Portuguese residency as long as they have the financial resources to sustain themselves throughout their stay in Portugal.
This visa is suitable for retirees, business owners and remote employees who want to live in Portugal without making a large financial investment.
The D7 visa can be extended for two consecutive two-year periods after the initial year, and can be converted into a permanent residence permit after five years. Furthermore you will also be eligible to petition for Portuguese Citizenship after five years, assuming you satisfy the other requirements mentioned in the Portuguese Nationality legislation.
Benefits of the D7 Visa:
- Entrance and circulation in The Schengen Area, which includes 26 European nations.
- Freedom to reside in Portugal and, if desired, to engage in professional activities there.
- Option to become a “Non-Habitual Resident” of Portugal for Tax purposes.
- Access to other Portugal Citizens’ rights, such as schooling, certificate and qualification recognition, medical care, the rule of law, and the judicial system.
Procedure to apply for a D7 Visa:
To obtain a D7 Residency Visa, you must fulfill a number of Portugal residence visa requirements.
In your home nation, apply for a temporary D7 – Submit all D7 application paperwork to a Portuguese embassy in your country. If your application is approved, the embassy will provide you with a temporary visa allowing you to fly to Portugal, as well as a meeting date with the Portuguese Immigration and Borders Service (SEF). This provisional visa is valid for four months from the date of approval.
Arrange an appointment with the Portuguese Immigration and Borders Service also known as SEF, in Portugal to obtain approval for your D7 Residency Visa.
Requirements to obtain a D7 Visa:
Proof of Financial Means:
The Portuguese Government is primarily concerned with the applicant’s ability to sustain themselves in Portugal without needing to seek employment in Portugal hence there is a big focus on recurring passive income for the D7 visa.
You will need to be able to provide proof of passive retirement income or access to assets equal to the Portuguese yearly minimum salary.
The minimum amounts for 2021 are as follows:
- First adult applicant: 100% of the current minimum pay (665€) = 7980 €/year;
- Second or more adult(s): 50% of the current minimum pay (332,50€) = 3990 €/year;
- Children and young people under the age of 18 and 18+ dependent children: 30% of the average wage (199,50€) = 2394 €/year.
These assets are calculated on a per calendar year basis so you will need to be able to show annual income exceeding these amounts or access to larger non-recurring assets. Passive income can include income derived from fixed deposit investments, annuities, pension plans, rental income and also income from stock dividends.
People who are self-employed (digital nomads) and remote workers (employed / working remotely for a company outside of Portugal) can also take advantage of the D7 visa given that they can show adequate stable recurring income outside of Portugal.
There is no fixed rule for the amount of assets that need to be shown if you do not have non-recurring income and this can vary based on the discretion of the person reviewing your case. The funds must be accessible to you from Portugal and can come from any mix of assets, income, and savings.
Proof of Private Health Insurance:
Applicants must have medical insurance that fulfills the requirements for the Schengen Area to apply for the D7 visa. Regulations for the Schengen Area Visa state:
“… applicants shall prove that they are in possession of adequate and valid travel (or other) medical insurance to cover any expenses which might arise in connection with repatriation for medical reasons, urgent medical attention and/or emergency hospital treatment or death, during their stay(s) on the territory of the Member States. The insurance shall be valid throughout the territory of the Member States and cover the entire period of the person’s intended stay or transit. The minimum coverage shall be €30000” (per applicant).”
Your insurance coverage must meet the following requirements:
- Be valid for 120 days, which is the duration of your initial stay under this visa;
- Have no deductible
- Have a minimum coverage of €30,000 per person
- List Portugal as one of the covered countries
Proof of Accommodation:
One of the difficulties in obtaining a D7 visa is the requirement to already have accommodation secured in Portugal before applying for the D7 visa. It is common practice for people to make a preliminary scouting trip to Portugal before applying for the D7 visa to secure accommodation and tour the country to find an area of their liking.
Proof of accommodation can be met via a few different routes. If you’ve already bought a house, you can just show the title deed to the house though most people prefer to rent or lease a place initially. You can either travel to Portugal, find a place to rent, or search for a place virtually.
A letter of invitation or term of responsibility form from a Portuguese resident inviting you to come and stay with them is another option. This letter is typically required to be notarized before it can be accepted.
Other Requirements for the D7 visa:
- You have to be a non-EU citizen
- Have a clean criminal record
- Be willing to dwell in Portugal for more than 183 consecutive days in a year.
- Be prepared to become a fiscal resident in Portugal.
What is the cost of a D7 visa?
The government fees for the D7 visa are extremely low. They typically range from €50 to €300 per applicant. The primary costs will be resettlement, property rent or purchase, professional fees, and so on.
If you would like to receive more information regarding the D7 Visa, please complete the form below: