D7 Portugal Visa: Conditions and Benefits

How to apply for a European residence card without large investments, EU citizens or residents kinship confirmation, getting a job, or refugee status in the European Union? You can obtain a D7 Portugal visa just by confirming regular receipt of moderate passive income. This guide and InternationalWealth experts’ tips will help you do this.

Today, obtaining a residence permit or a second citizenship abroad is extremely popular. People with sufficient financial resources can obtain a foreign economic citizenship or a golden visa without any problems. However, the cost of such pleasure is quite high.

For example, foreign citizenship by investment requires at least $100,000. An affordable Caribbean passport will cost you about the same amount. The European ‘golden passport’ (the so-called passport issued for investment in the country) is many times more expensive. For example, the citizenship by investment cost in Montenegro starts from €350,000. European golden visas (residence permit or permanent residence through investment) are also quite expensive.

Many InternationalWealth readers are reluctant to invest a large sum of money, looking for an alternative route to obtain permanent residence in the desired country.

Potential expats who are not interested in either temporary tourist visas or expensive solutions like investment migration also have a good solution. They should pay attention to countries that grant residency based on financial self-sufficiency or passive income. In fact, this migration method is optimal for people with such passive income sources:

• Rental property
• Bank deposit with interest payments
• Securities with regular issuer payments
• Pensions

Portugal is one of the countries offering such an opportunity.

Portugal D7 visa – European residency without investment, kinship proof, or employment

Portugal is one of the most popular destinations for migrants due to its favorable living conditions, temperate climate, affordable prices for goods and services, and location in the EU and the Schengen area.

There are many ways to settle in this country as a legal resident. Portugal Golden Visa (residence permit for investment in real property) is the method that specialized media, including InternationalWealth, offer most often.

The relevant program requires at least €280,000 real estate investment, excluding administration fees. Beneficial owners receive the right to reside in the host country without the obligation to stay there all year round.

But there is a much more affordable route – a D7 Portugal visa for passive income holders. This option is suitable for expats who want to actually move to this country for a long stay, and not visit the country only occasionally and for short periods.

A D7 visa is an excellent option for foreigners able to support themselves financially during their stay in Portugal. It saves expats from the need to invest in property (although successful applicants will have to buy or rent a Portuguese property to get a local address). The only pitfall is the obligation to spend at least six months annually in the host country.

Target audience and visual comparison of D7 visa with residence permit through investment

Who will benefit from a D7 Portugal visa? This migration product is available only to non-EU/EEA citizens and non-Swiss citizens. The target audience is representatives of the following groups:

• Retirees: this program is a first-class option for foreign retirees who want to spend their golden years in a resort country, receiving a reasonable and regular passive income from abroad.
•  Digital Nomads: with sufficient and stable income, remote workers and freelancers are also welcome in this country.
• Other passive income owners and financially independent persons: for example, rentiers with investments in securities or property owners renting it out. Evidence of stable income or adequate savings is sufficient. It is enough to confirm a stable income or adequate savings.

Let’s compare a D7 visa with a residence permit for real estate investors – another popular migration route leading to this jurisdiction:

Portugal D7 visa process key requirements

Savings and/or income

To obtain a D7 visa, you will need to prove that you have sufficient funds to live in Portugal for at least a 24-month period. The requirement covers such a period since the initial residence permit is valid for exactly two years.

Official financial requirements are quite low. They are linked to the Portuguese minimum wage (in 2021, it was €665/mo).

Option A – a D7 Portugal visa based on savings:

• Main applicant: current minimum wage (€665) x 24 months = €15,960
• Spouse: 50% of the current minimum wage (€332.5) x 24 months = €7,980
• Dependent children under 18: 30% of the current minimum wage (€119.5) x 24 months = €4,788

In other words, a family of four will have to prove €33,516 in savings to qualify for a D7 visa.

We have set a minimum amount. In practice, we recommend showing at least several thousand euros more. You can check the acceptable amount at the nearest Portuguese diplomatic mission (consulate or embassy) in which you plan to apply for such a visa.

Option B: a D7 Portugal visa based on recurrent income:

You can declare the following financial sources when applying for a D7 visa:

• Long-term stable income received as payment for the work
• Income from non-payroll sources, including:

• own property rental
• deposits with a fixed interest rate
• royalties
• pensions
• dividends

If you have such an income source or several of them at once, you will also need to prove its stability. The minimum income amount is:

• Main applicant: €665/mo
• Spouse: €332.5/mo
• Dependent children under 18:  €119.5 /mo

Proof of a place to stay

When applying for a Portugal D7 visa, you have to confirm the presence of a residence place in this country (address is required). There are such ways of following this requirement:

• Signing a contract for the lease of Portuguese residential property
•  Providing a letter from a local friend or sponsor that confirms the willingness to accommodate the applicant 
• Purchasing residential real estate

Some Portuguese embassies and consulates accept long-term bookings on Airbnb as sufficient proof of a place to stay.

Minimum requirements for the period of stay

Unlike holders of Portuguese investor residence permit, D7 visa holders have to spend significant periods in the host country:

• They must stay in Portuguese territory for at least four months each year.
• It is forbidden to stay outside the country for more than six months in a row.

If you plan to apply for a Portugal D7 visa and visit this country once a year, get ready for at least a six-month stay.

If you are willing to visit Portugal twice a year (or more often), you will be able to spend less time inside the country. For example, you stay there from January to March (3 months) and then revisit Portugal in September (1 month). Such a scenario would fulfill both of the above requirements.

In other words, a D7 visa is NOT the best basis for a contingency plan (in most cases) since its holder will actually have to spend a significant part of the year in the host state to maintain residency. However, if your goal is to move to this country, the option is suitable.

Benefits of applying for Portugal D7 visa

A D7 visa for passive income holders or pensioners compares favorably with a Portuguese investment residence permit. This option is faster and cheaper. But profit is not just in price. The key benefits of this migration product are below:

• Freedom to travel within the 26 Schengen countries.
• Unhindered access to Portuguese infrastructure on an equal basis with local citizens, including access to public institutions, free education, social insurance, trade unions protection, and quality medical care.
• Possibility of professional activity.
• Possibility of minimizing or complete exemption from income tax after obtaining non-habitual tax residence.
•  No need to invest in the host state economy, wasting time to find suitable investment assets.
• You can include dependent children and parents in the visa application.
• The right for permanent residence or citizenship after a 5-year period from the D7 visa issuance date.
• Access to the rights of other residents of Portugal, such as education, recognition of diplomas and qualifications, health care, and social security.
•  Equal rights to all aspects of life that Portugal residents have.

The above facts show that a Portugal D7 visa is a unique option for pensioners and financially independent people who want to move to the European Union, spending a minimum of time and money. Moreover, intending to live in the host state territory, they receive a complete rights list of local citizens.

Expert support for D7 Portugal visa applicants

Portugal is a fantastic country that offers many benefits and opportunities for obtaining residency, including a D7 visa. For more information about applicants requirements, please get in touch with consultants. We can accompany you and your family in the process of obtaining Portuguese residency.

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If you decide to apply for a long-term visa or residence (residence permit / permanent residence) in another European country, we recommend contacting our consultants to discuss suitable options.

Subsequently, the website team connects the client with a legal consultant in the selected region. This consultant helps determine which solutions meet the client’s requirements and capabilities and provides a comprehensive offer.