Pela Terra
Sponsor
Recent news coverage of the Golden Visa program in Portugal has not been kind. Bloomberg is the latest of the mainstream media to highlight processing delays of applications, grabbing clicks with a dramatic headline about legal action by Golden Visa investors who are still awaiting their passports.
But does this reflect the reality for potential Golden Visa seekers who are considering an investment today? In short, the answer is a clear no. In fact, the accessibility of the Portuguese Golden Visa is better than it has been in years.
A Covid Hangover: Portugal’s Golden Visa Backlog
It is important to state that the stories of Golden Visa investors who have experienced significant delays, both in receiving their resident’s permit and their Portuguese passports, are accurate and legitimate.
For those who applied for their second passport between 2020 and 2023, there was, unfortunately, a perfect storm awaiting their application. At the same time as interest surged in the wake of Covid restrictions, SEF (the old immigration department of the Portuguese government) was struggling to adapt. Legacy systems made working from home difficult, meaning that SEF’s capacity dropped at exactly the time its workload skyrocketed.
The result has been a well-documented backlog of up to 400,000 cases, with processing delays of between 12-18 months being common.
AIMA – A New Dawn?
Given this backlog still exists, then why is it fair to say that accessing the Golden Visa program has never been easier than in 2024?
Most important is AIMA (Agência para a Imigração e Mobilidade), which is the new Portuguese Immigration Department. It replaced the SEF (Serviço de Estrangeiros e Fronteiras) in October 2023.
The change was aimed at improving the management of immigration, focusing more on integration and mobility services while separating law enforcement duties from immigration processing. More importantly, it signaled that the Portuguese government was prioritising processing delays as a major issue and taking steps to resolve the problem.
What progress has been made?
After a quiet start to life, recent updates indicate that these changes are starting to have a substantial impact.
In July 2024, it was announced that AIMA was recruiting 100 specialists, 150 technical assistants, and 50 operational assistants, specifically to clear the backlog of visa applications.
Two months later, António Leitão Amaro, the Minister of the Presidency, announced that the “response capacity” at AIMA had been increased by 25% following a visit to their headquarters.
Most encouragingly, a report published on the 21st of October suggested that the opening of regional offices for AIMA had again improved capacity by 50%, with the objective set for resolving all pending cases by July 2025.
What does this mean for new investors?
The recent news from AIMA should be very helpful to those who are concerned about these delays. “We are witnessing a shift in how the government is handling Golden Visa applications,” says Nathan Hadlock, of the Pela Terra Advisory Committee.
“With new resources and offices, the AIMA’s capacity to process visas should increase, making it an opportune time for investors to apply. The Portuguese Golden Visa remains one of the most attractive residency programs in Europe, and the current reforms are only making it stronger.”
The most important delay – that of issuing the Portuguese passport – would be encountered in October 2029 for those applying today. Given the progress made in the last 6 months, the existence of an application backlog at AIMA by that date seems unlikely (though not impossible).
Why is it easier than ever to apply for a Portuguese Golden Visa in 2024?
This might sound like a surprising statement to anyone who has read the recent press coverage. But looking beyond those headlines, 2024 represents the best opportunity for Golden Visa investors to date.
In addition to the improvements in AIMA’s operating capacity, which are likely to deliver the best processing timelines since 2019, there are a number of other factors at play.
Investment Fund Can Provide A Lower-Risk Alternative To Real Estate
Firstly – while many Golden Visa investors were disappointed by the end of the Real Estate program in 2023, the fund investment route provides a lower-friction, lower-risk alternative.
Instead of needing to find “good deals” in a potentially overheated housing market, investors can simply pick the fund that best matches their returns & risk appetite.
And then, instead of having to manage their real estate asset through the potential boom & bust of the next 5 years, investors who pick their funds wisely can rest easy.
Pela Terra, for example, invests in the agri-business sector. As institutional investment into farmlands has been rising by 120% since 2021, investors who value capital preservation & inflation-beating returns can expect a calmer & more rewarding journey toward their passport.
Complementary Support Services Are On The Rise In 2024
Historically, immigration agencies have provided the best support for Golden Visa investors in navigating the application & investment process, but at a hefty fee.
However, having observed the frustration of investors who are led astray, funds have started providing the same support for free in recent years.
Pela Terra has a dedicated Concierge Team to help move investors through the application process as smoothly as possible.
“Funds have a unique birds-eye view of the market,” says Alex Lawry-White, also of the Pela Terra Advisory Committee. “We have seen all the unnecessary delays & frustrations caused by poor guidance, which is often given to investors by 3rd parties. In the end, we decided to provide our own service”.
Investors in Pela Terra can expect 24/7 support in the form of a WhatsApp group with the Concierge Team. They are guided through every step, from choosing the best lawyers & banks to work with to setting up their NIF and gathering the right documentation.
“You’ll have one dedicated person who will help shepherd you through the system with the minimum possible friction,” continues Alex Lawry-White. “As a result, we move people through in anything from three to six weeks, which is unheard of in a marketplace that traditionally takes 15 weeks.”
Through an increasing capacity at AIMA and funds like Pela Terra now offering in-house services to smooth your path to investment, it has never been easier to invest in Portugal’s Golden Visa program.
If you’d like to learn more and speak to one of the experts at Pela Terra, you can learn more & book a call via their website.
Alternatively, you can email them at nick@pelaterra.com or drop them a message on WhatsApp using +44 7768 929321.
