How to Qualify for Residency by Investment

Residency by investment can be a smart, pragmatic way to simplify mobility, diversify life options, and create a family “Plan B” without uprooting everything at once. I’ve helped founders, executives, and retirees qualify across multiple jurisdictions, and the same truth keeps showing up: success hinges less on “buying a visa” and more on making clear, well-documented choices that fit your goals, risk tolerance, and timeline. The money is only one part of the equation.

What “Residency by Investment” Actually Means

Residency by investment (RBI), often nicknamed a “golden visa,” grants a residence permit in exchange for meeting investment or economic contribution criteria. You typically get:

Legal right to live in the country (and often bring family).

Access to local services (healthcare, schooling), depending on the program.

Schengen travel flexibility if the residence is in an EU/Schengen country.

A potential pathway to permanent residence or citizenship after a qualifying period.

It’s not a one-size-fits-all purchase. Programs differ in investment type, minimums, physical presence requirements, tax implications, renewals, and how real the path to citizenship is. Many applicants expect instant EU citizenship or tax-free living; that’s rarely how it works.

Decide If RBI Fits Your Goals

Before you choose a country, get crystal clear on what you want, because the “best” program depends on your priorities.

Mobility: Do you need Schengen access for short stays, or a base to live in Europe long-term?

Lifestyle and services: Are schools and healthcare the priority? Coastal climate? English-speaking environment?

Tax planning: Will you actually move, or just hold a residence card for travel flexibility?

Business needs: Access to banking and capital? Hiring locally? Corporate setup?

Budget and liquidity: How much capital can you lock for 5–7 years? Do you want income-producing assets or a sunk contribution?

Timeline: Do you need a card in months, or can you wait 12–24 months for the best fit?

Professional insight: I see the best outcomes when clients treat RBI like a portfolio decision. They balance migration goals with investment quality, liquidity, and tax exposure. If the only plan is “buy any property and hope,” you’ll almost always overpay for the visa.

The Main Investment Categories

Programs vary, but the investment menu usually falls into these buckets:

Real Estate Purchases

What it is: Buy residential or commercial property above a minimum threshold.

Pros: Tangible asset; potential rental yield; a place to live or vacation.

Cons: Illiquidity, transaction costs, regional thresholds, property management headaches, and the risk of buying a “visa property” at inflated prices.

Where it appears: Spain (historically €500k), Greece (thresholds vary by region and are higher in prime areas), Cyprus PR (from €300k + VAT for new property), Mauritius (USD $375k+ in certain schemes), Cayman Islands (high-value thresholds).

Practical tip: Focus on real estate you’d buy without the visa. Use independent valuers, and avoid developer kickbacks folded into the price.

Government Bonds or Bank Deposits

What it is: Passive investment in government securities or fixed deposits.

Pros: Lower risk, straightforward.

Cons: Opportunity cost if yields are low, and some countries have phased these out.

Where it appears: Italy (government bonds option), UAE (public investment fund route), some programs historically.

Practical tip: Bond options can be clean from a compliance standpoint—source-of-funds is easier to document.

Private Funds and Capital Transfers

What it is: Invest in pre-approved venture, private equity, or other regulated funds.

Pros: You avoid property hassles; professional managers; potentially better diversification.

Cons: Fees, lockups, capital risk, and selecting a credible fund is critical.

Where it appears: Portugal (post-2023 focus on investment funds), New Zealand (Active Investor Plus emphasizes active, higher-risk investments), Singapore (GIP-approved funds).

Professional insight: Ask for the fund’s independent custody, audit history, and how they’ll report for immigration purposes. If a “fund” is mostly marketing slides, keep walking.

Business Creation and Job Creation

What it is: Start or invest in a company and create jobs.

Pros: Aligns with entrepreneurs; can build a base of operations.

Cons: Operational risk; genuine hiring requirements; compliance and reporting.

Where it appears: US EB-5 (10 jobs), Portugal (company formation and jobs), Italy (company investment routes), Singapore GIP (substantial investment with business milestones).

Practical tip: Factor in payroll, local employment law, and talent availability. Agencies don’t run your company.

Donations or Contributions

What it is: Non-recoverable contribution to state funds or cultural projects.

Pros: Fast processing in some cases; no management burden.

Cons: Money is gone; may still require other commitments (property lease/purchase).

Where it appears: Malta MPRP includes a contribution plus property obligations; Portugal has cultural heritage support options (donation levels apply).

Professional insight: If you value speed and simplicity over ROI, these can make sense. Otherwise, consider funds or property.

Core Eligibility Beyond the Money

Most denials I’ve seen aren’t about the investment—they’re about compliance.

Clean criminal record: Police certificates from each country of residence (often last 5–10 years). Any issues? Disclose upfront and obtain legal opinions if needed.

Source of funds: You’ll need to evidence how you earned the money—salaries, dividends, asset sales, loans. Expect bank statements, tax returns, contracts of sale, notarized documents, and sometimes affidavits. Crypto-origin funds are scrutinized; convert early and document carefully.

Health insurance: Valid coverage at the time of application and sometimes throughout residency.

Dependents: Spouses, minor children, and sometimes parents over a certain age. Adult children must usually be full-time students and financially dependent.

Sanctions/PEP screening: If you’re a politically exposed person or linked to higher-risk jurisdictions, due diligence deepens. Get pre-screened.

Professional insight: Organize a “SOF pack” (source-of-funds bundle) early—chronological narrative with exhibits: employment contracts, dividend statements, sale deeds, bank inflows, tax proofs. This saves months.

Step-by-Step: From Idea to Residence Card

Here’s the high-level roadmap I use with clients:

Strategy call and goal mapping

Clarify objectives, lifestyle needs, risk tolerance, timeline.

Shortlist 2–3 jurisdictions that match.

Pre-screening and feasibility

Sanctions and adverse media checks.

Discuss family composition and special circumstances (adoptions, prior name changes, military service).

Tax and legal alignment

Coordinate with tax counsel on pre-immigration planning, potential tax residency triggers, CFC rules, exit taxes, and reporting (CRS, FATCA for US persons).

Decide whether you’ll actually move or keep it as a “paper” residence.

Choose investment route

Compare total costs, lockup, exit prospects, and administrative burden.

If property: hire buyer’s counsel, not the developer’s lawyer. Get an independent valuation and rental projections.

If funds: review term sheets, custody, reporting obligations, and strategy fit.

Prepare documentation

Passports, birth/marriage certificates, police certificates, health insurance, proof of address, bank statements, tax returns, education letters for dependents.

Translation and apostille/legalization as required.

Open local accounts (if needed)

Some programs require local bank accounts. Expect KYC calls, source-of-wealth questions, and possibly video verifications.

Execute the investment

Escrow where possible, conditional on approval. Otherwise, ensure contracts have refund or resale provisions if your application is rejected.

File the application

Submit through the official portal or consulate; pay government fees.

Appointments for biometrics or in-country visits may be required.

Processing and follow-ups

Respond to requests for additional documents quickly.

Keep address and contact info up to date.

Approval and card issuance

Collect residence permits; register locally if needed (social security, tax number).

Calendar renewal dates and ongoing obligations (holding period, minimum stays).

Typical timelines range from 2–3 months (some UAE and Panama routes) to 9–18 months (EU funds routes, EB-5 initial approval). Always build in buffer time; delays happen.

Program Snapshots (What’s Available and How They Differ)

Rules change frequently. Verify current terms before committing.

Portugal (Golden Visa, post-2023 reforms)

Investment options: No more real estate or pure capital transfers. Common routes include €500k+ in approved investment funds; €500k into research; €250k into cultural heritage support; or company creation with job creation.

Physical presence: Typically 7 days per year average.

Pathway: 5 years to apply for permanent residence or citizenship (A2 Portuguese language exam, ties to the country).

Notes: Strong lifestyle appeal and Schengen access. Fund selection is critical. The former NHR tax regime ended for new applicants; targeted incentives may apply for certain profiles.

Spain (Investor Visa)

Investment options: Historically €500k in real estate, or €1m in shares/bank deposit, or €2m in government bonds.

Physical presence: Minimal for renewals, but to gain long-term residence or citizenship, substantial presence is required (citizenship usually after 10 years; 2 years for some Latin American nationals).

Status caution: The government announced plans in 2024 to phase out property-based visas; monitor legislative updates closely.

Greece (Golden Visa)

Investment options: Real estate with thresholds that vary by region and property type. The traditional €250k minimum has increased in high-demand areas; some zones now require significantly more (ranges have been raised in 2024).

Physical presence: No strict minimum for renewals; you must maintain the qualifying asset.

Pathway: Residence is renewable in 5-year increments. Citizenship typically requires 7 years of actual residence and integration exams.

Notes: Check restrictions on short-term rentals and minimum property sizes introduced in recent reforms.

Malta (Malta Permanent Residence Programme, MPRP)

Structure: A mix of property obligations (purchase or rent), a government contribution, and a small donation to a local NGO. Due diligence is stringent.

Benefit: Grants permanent residence rights from the outset (not citizenship). Schengen flexibility.

Considerations: Total non-recoverable costs can be substantial compared to some alternatives, but the permit is robust for EU access.

Cyprus (Permanent Residence by Investment — Category 6(2))

Investment: Typically €300k+ VAT in new real estate (residential or commercial) or other approved investments. Proof of a stable annual income is required.

Pathway: Permanent residence is granted; citizenship is a long-term route with strict residency requirements.

Appeal: Predictable process; English widely spoken; good schools.

Italy (Investor Visa for Italy)

Investments: €250k in innovative startups; €500k in an Italian company; €1m donation to cultural/scientific projects; or €2m in government bonds.

Pros: Broad EU lifestyle benefits if you actually live in Italy; thriving SME ecosystem.

Cons: If you don’t intend to reside, tax residency planning is essential. Language and bureaucracy can be challenging.

United Arab Emirates (UAE Golden Visa)

Options: Property purchase typically AED 2 million+; public investment options; entrepreneur routes.

Advantages: No personal income tax; fast processing; world-class infrastructure; English widely used.

Considerations: You’ll need local medical coverage and must maintain the qualifying asset/criteria. Banking is robust but compliance-heavy.

United States (EB-5)

Investment: $800,000 in a Targeted Employment Area or qualifying infrastructure project; otherwise $1,050,000. Must create 10 full-time US jobs.

Vehicles: Regional center projects (most common) or direct investments.

Timeline: I-526E adjudications vary; conditional green card issuance depends on visa availability and country-specific backlogs. Expect 2–4+ years for many applicants.

Caveats: Choose credible projects with third-party oversight. Source-of-funds scrutiny is rigorous.

Singapore (Global Investor Programme, GIP)

Investment: Significant—often S$10 million into a new or existing business, or into approved funds, with job creation or expenditure milestones.

Pros: Top-tier business environment, education, healthcare.

Cons: High bar, hands-on expectations.

New Zealand (Active Investor Plus)

Structure: Points system emphasizing higher-risk investments such as venture capital and private equity, with limited weighting for listed equities and bonds.

Suitability: Active investors comfortable with early-stage risk. Strong lifestyle but geographic distance matters.

Panama (Qualified Investor)

Investments: Real estate from approximately $300k–$500k (thresholds have adjusted over time), government securities, or bank deposits.

Pros: Potentially fast path to permanent residence; dollarized economy.

Cons: Real estate market requires careful due diligence; plan for Spanish language considerations.

Mauritius (Property-Linked Residence)

Investment: Purchase approved property (USD $375k+ in certain schemes) can grant residence for you and family.

Pros: Stable, bilingual (English/French), growing financial services sector.

Considerations: Citizenship route is not automatic; remote island lifestyle fits some, not others.

Cayman Islands (Persons of Independent Means / PR)

Options: Significant real estate purchases and proof of income; routes to permanent residence exist with high thresholds.

Pros: No direct taxation, common law system, strong financial sector.

Cons: High cost of living; limited schooling capacity; long-term PR has strict criteria.

Programs like Ireland’s IIP and Australia’s Significant Investor Visa have closed or been overhauled. Always confirm that a route is open before you start.

Physical Presence vs. Tax Residence

A common—and costly—mistake is confusing a residence permit with tax residency.

Residence permit: The right to live in a country.

Tax residency: Whether the country taxes you as a resident, often based on 183+ days present, but also center of vital interests, habitual abode, or specific rules.

If you don’t plan to spend meaningful time in the new country, you may remain tax resident where you live now. If you move, you may trigger tax residency quickly, along with reporting obligations (worldwide income, wealth taxes, CFC rules, exit taxes from your original country).

Professional insight: Get tax advice before you buy. For example:

Moving to Portugal might attract regular tax rules now that the old NHR is largely discontinued for new applicants, though targeted regimes exist for certain roles/sectors.

Spain and Greece have special tax regimes for inbounds with conditions.

UAE has no personal income tax, but corporate tax applies to certain business activities.

US citizens are taxed globally regardless of residence and must file FBAR/FATCA.

Family, Schooling, and Healthcare

Spouses and children: Most programs allow spouses and minor children. Adult children often need to be unmarried, under a specific age, enrolled full-time, and financially dependent. Parents/grandparents are sometimes included with extra requirements.

Work rights: Some residence permits allow dependents to work; others need additional permits.

Education: Check availability of international schools and language of instruction. Popular schools have waitlists.

Healthcare: Private insurance is often required initially. Consider whether you’ll rely on public systems after residence.

Pro tip: If your 17-year-old will turn 18 during processing, file early. Aging-out complications are common and avoidable.

Costs: Beyond the Headline Investment

Budget for more than the minimum:

Government fees: Application, issuance, biometrics, residence cards. From a few hundred to several thousand per person.

Legal and advisory: 1%–5% of investment amount depending on complexity; flat fees for some programs.

Taxes and duties: Property transfer taxes, VAT on new builds, stamp duty.

Due diligence and translations: Background checks, sworn translations, apostilles, courier costs.

Insurance and registration: Health insurance premiums; tax ID registration; local registrations.

Holding period: Opportunity cost if your capital is locked for 5–7 years.

Annual renewals: Some permits have annual or biennial fees and ongoing compliance.

Rule of thumb: Total transaction costs often add 7%–15% to the investment for property-based routes and 5%–10% for funds/contribution routes. For the US EB-5, add project admin fees ($50k–$80k+), immigration filing fees, and legal fees on top of the investment.

Common Mistakes—and How to Avoid Them

I keep a list of pitfalls I see repeatedly:

Chasing the lowest threshold: The cheapest program is rarely the best fit. You’ll pay later in exit costs, taxes, or lifestyle misalignment.

Buying the developer’s marketing, not the asset: Use independent counsel and valuations. Avoid guaranteed rent schemes without understanding who guarantees it.

Ignoring program changes: Spain’s property route is under review; Greece raised thresholds; Portugal shifted to funds and non-real-estate routes. Lock terms in writing and confirm refund mechanics if laws change midstream.

Sloppy source-of-funds: Incomplete bank trails, undocumented cash, or crypto without audit-quality records gets applications stuck.

Misunderstanding Schengen vs. residence rights: A Greek residence card lets you travel in Schengen, not live in Germany. EU residence rights are not portable across member states.

Underestimating physical presence for citizenship: Many countries require real residence and language/integration exams. If citizenship is the goal, plan your calendar early.

Banking last: Open accounts and set up payments before you sign. KYC delays can derail closing.

No exit plan: If you need to sell the property to exit, who buys it, and at what price? If a fund locks for 7 years, what’s your liquidity plan?

Risk Management and Exit Strategy

Think like an investor and a migrant, simultaneously.

Legal change risk: Programs evolve. Reduce risk by using escrow, interim approvals, or contracts with investor protections.

Asset risk: Property prices can fall; funds can underperform. Diversify if possible.

Currency risk: Buying euro assets with a weakening home currency can be painful—or beneficial—depending on timing.

Project risk (EB-5/funds): Prefer projects with third-party administration, independent audits, and transparent job creation methodologies.

Compliance risk: Keep records tidy. Renew permits on time. Maintain insurance and meet any minimum-stay rules.

Exit options: If you must hold for 5 years, diarize year 4 to prepare the sale or redemption. Avoid fire sales.

Three Real-World Scenarios

The EU Base Family

Profile: Two professionals with school-age kids, remote income, EU summers desired.

Fit: Portugal via a regulated fund. Minimal physical presence, strong lifestyle, path to citizenship at year 5 if they commit to language and occasional stays.

Watchouts: Fund selection, tax planning if they spend meaningful time in Portugal.

The Entrepreneur Needing US Access

Profile: Tech founder eyeing US expansion without waiting a decade.

Fit: EB-5 through a reputable regional center if green card is the endgame; or pair an E-2 (via a treaty-country citizenship like Grenada) to operate quickly while EB-5 runs in parallel.

Watchouts: EB-5 visa backlogs by nationality; selecting a real job-creating project; source-of-funds from exits or crypto.

The Low-Tax Hub Seeker

Profile: High-earning consultant, no desire to learn a new language, wants banking stability and flight connectivity.

Fit: UAE Golden Visa via property. Build a base, enjoy no personal income tax, manage global clients.

Watchouts: Corporate structure compliance; maintaining visa criteria; understanding new corporate tax rules for local businesses.

Practical Checklist You Can Start Today

Define your top 3 outcomes (mobility, education, tax, business).

Pick 2–3 candidate countries aligned with those outcomes.

Get pre-screened for sanctions/adverse media; flag any criminal or immigration issues.

Start building your source-of-funds file with a chronological narrative and supporting documents.

Decide investment type preference (property vs. fund vs. business) based on your risk and time budget.

Schedule tax counsel to map potential tax residency triggers and reporting.

Request written fee schedules and lock-in letters from licensed agents and law firms.

If property is likely: hire buyer’s counsel and an independent surveyor/valuer.

If funds are likely: request audited financials, term sheet, custody details, and independent administrator references.

Plan a 12–24 month calendar: biometrics, renewals, language study (if citizenship is a long-term goal).

How to Work with Advisors the Right Way

Use country-licensed immigration counsel for filings; use separate buyer’s counsel for property.

Compensation transparency: Know who pays whom. If an agent gets a developer commission, you need to know.

Ask for a draft document list and processing timeline before you wire funds.

Insist on escrow arrangements or clear refund contingencies tied to approvals when possible.

Record everything. Immigration is paperwork and timestamps.

Timelines You Can Reasonably Expect

Fast-track residencies: UAE (weeks to a few months), Panama (months).

EU funds/property routes: Commonly 4–9 months to initial permits, longer in busy cycles.

EB-5: Filing to conditional green card can span 2–4 years depending on category, nationality, and adjudication speed.

Path to citizenship: Often 5–10 years with real presence and integration (language, civics). If citizenship is essential, pick a program where you’ll genuinely live.

Frequently Asked Questions (Condensed)

Do I need to live in the country to keep the permit?

Often no for renewal, but yes for meaningful paths to permanent residence or citizenship. Always check program-specific presence rules.

Will this change my taxes?

Possibly. Residence permits don’t automatically make you a tax resident, but physical presence can. Get tax advice early.

Can I finance the investment?

Many programs require funds to be unencumbered (e.g., Spain’s first €500k property must be mortgage-free). Read the fine print.

What about my parents?

Some programs include dependent parents with extra income/insurance proofs. Start documentation early.

Can I work on a golden visa?

Usually yes in the country of residence, but check conditions. For dependents, confirm work authorization separately.

Will my company count for job creation?

If the program allows it and you meet payroll and reporting criteria. Plan for audits and compliance.

Final Thoughts

RBI works best when you treat it as both a legal process and an investment decision. That means choosing a jurisdiction for your life goals, an asset that stands on its own merits, and a structure that won’t trip your taxes or compliance months down the line. Programs evolve—Spain’s property route may recede, Greece has tightened thresholds, Portugal reoriented toward funds—but the core playbook doesn’t change: document meticulously, diversify risk, and plan your exit the day you enter.

If you start with your purpose, build a clean source-of-funds story, and pick professional allies who tell you “no” when necessary, you’ll navigate the process with fewer surprises and end up with a residence that actually serves your life—rather than the other way around.