Greek residency by investing in property in Greece. Here is how:
The Greek Golden Investment Scheme stands out as one of the remaining opportunities in Europe, particularly appealing to those seeking low or flat tax options. Many individuals find it to be among the best choices on the continent, attracting a growing number of participants drawn to its tax advantages, quality of life benefits, and the prospect of obtaining an EU passport. At IFE, we are thrilled to announce our collaboration with several partners who can facilitate access to this scheme. If you are interested in learning more, please don’t hesitate to contact us using the button below or via the contact page.
Why might you choose a Greek residency, well there are a few reasons such as ease of travel, tax efficiency, weather, and finally political or economic reasons. It depends on your situation, however, I was talking to family and they mentioned it would be something that would interest them because they could move freely within the EU.
Introduction
In today’s uncertain world, leaving things to chance is not a wise choice.
Have you always desired access to Europe for its lifestyle and investment opportunities, but the cost of obtaining a second passport through investment seemed too steep? We have the solution.
For high-net-worth individuals and families, the Greek Residence by Investment (RBI) program presents a golden opportunity. With a modest €250,000 investment, the lowest in Europe, the Greek Golden Visa grants you residency in the Schengen area. Once issued, you and your family can travel visa-free to any of the 27 European countries.
Greece, with its mainland and numerous picturesque islands, is among the world’s top holiday destinations. The Mediterranean climate, fresh food, turquoise waters, and exceptional hospitality attract high-net-worth individuals worldwide.
Greece offers safety, accessibility, a dependable rule of law, and a relatively low cost of living. You can renew your residence in Greece as long as you maintain your investment, with no requirement to physically reside in the country, providing the best of both worlds.
The Greek Golden Visa is highly sought after, making Greece the world’s leading issuer of investor visas. Residence by investment empowers you to shape your future on your terms.
Let’s explore what the Greek Golden Visa entails and how you can become a permanent resident of Europe in just a few months.
However, not all residence by investment (RBI) programs are equal. If you aspire to reside in Europe, Golden Visa programs are the ideal choice, allowing you to leverage your investment.
The Economy of Greece
Despite being a developed country with a high standard of living, Greece faced challenges during the 2008 Greek Debt Crisis. The standoff between EU leaders and Greece resulted in the world’s longest recession and a humanitarian crisis.
Since then, Greece has diligently worked on economic recovery, implementing sweeping reforms, cutting taxes, reducing red tape, and introducing a lump-sum tax program. Investor confidence has been fully restored, evident in the growing interest in the Greece Golden Visa program. Athens now sees extensive real estate projects, highlighting the positive turnaround.
Remember, an RBI program is not just about residency benefits for you and your family; it’s also an investment opportunity. Now is an opportune time to invest in real estate in Greece at highly attractive prices.
What is Residency by Investment?
Before delving into the intricacies of obtaining your Greece investor permanent residence permit, let’s establish a common understanding of what a Residence by Investment program entails.
Several countries, including various European nations, offer legal residency to individuals making investments within their borders. In Europe, these initiatives are commonly known as “Golden Visas.”
Residency under such programs comes with a host of advantages, granting individuals the right to travel and conduct business within the region, such as Europe’s Schengen Area. Typically, these benefits extend to the families of the primary investor as well.
In many countries with Residence by Investment (RBI) programs, permanent residents are often eligible to apply for citizenship after a specified number of years. In essence, maintaining residence through investment and meeting other citizenship criteria could lead to naturalization.
While the focus is often on the residency and its associated benefits in discussions about RBI programs, it’s crucial not to overlook the investment component. For avid investors, a Residence by Investment program can serve as a gateway to numerous opportunities, offering avenues to expand and enhance one’s net worth.
Obtaining the Greece Golden Visa: Diverse Investment Options
Traditionally, becoming a resident of Greece involved purchasing Greek property. However, recognizing the preference of foreign investors for financial instruments, Greece expanded its options in 2019. These seven investment pathways offer flexibility, particularly appealing to those seeking a hands-off approach, as Greece imposes no physical residence requirement.
Here are the seven alternative investment options for obtaining Greek residency:
- Invest €400,000 in a real estate investment company exclusively dealing in Greek properties or buy its shares through a share-capital scheme.
- Invest €400,000 in a capital equity company or an equity mutual fund based in Greece.
- Purchase €400,000 worth of Greek state bonds with a maturity of three years.
- Hold a deposit of €400,000 at a credit institution for a minimum of 12 months.
- Acquire shares, corporate, or state bonds worth €800,000.
- Invest €400,000 in shares of an Alternative Investment Organization in Greece or another EU member-state focusing on Greek real estate.
While these options are relatively new, their popularity is expected to grow as financial organizations adapt their offerings to foreign investors in the coming years.
Invest in Greek Real Estate: A Time-Tested Option
The most traditional and popular method remains direct real estate investment, requiring a minimum of €250,000. This investment can encompass residential or commercial properties, and you have the flexibility to mix and match.
One of the unique benefits of Greece residency is the ability to co-invest with others, making it feasible to collectively purchase qualifying properties. Timeshare agreements, hotel accommodations, furnished tourist residences, or plots of land worth at least €250,000 are also eligible options.
The versatility of the Greek Golden Visa extends to allowing rental income from your real estate investments, with average yields around 4-5%.
The Step-by-Step Golden Visa Application Guide
Before embarking on the application process, ensure eligibility by meeting the basic requirements:
- Non-EU citizen
- At least 18 years old
- Clean criminal record
- Medical insurance for yourself and your family
- Good character
The application processing time is approximately two months, making the overall timeframe for obtaining Greek residency around three months. Dependents, including children up to the age of 18 (or older if studying and dependent on the main applicant), as well as parents and parents-in-law, can be included.
Considering additional fees, budgeting at least €25,000 on top of the €250,000 minimum investment is prudent. This accounts for lawyer fees, paperwork, real estate registration fees, and potential VAT, which is 24% for new property purchases. The Greek Golden Visa provides unparalleled flexibility in choosing qualifying properties for its RBI program.
The Step-by-Step Guide to Applying for the Greece Golden Visa
Before commencing the application process, it is prudent to verify your eligibility. The requirements are straightforward. To qualify, you must:
- Be a non-EU citizen
- Be at least 18 years old
- Have a clean criminal record
- Possess medical insurance for yourself and your family
- Demonstrate good character
The application processing period is approximately two months, resulting in a total timeframe of about three months from the initiation to the acquisition of Greek residency.
Don’t overlook the option to include dependent children (up to the age of 18; those 18+ can be added if they are studying and dependent on the main applicant), as well as parents and parents-in-law in the residence application.
Regarding fees, although the minimum investment is €250,000, additional costs of 3-4% for legal fees and paperwork, and approximately 6% for real estate registration fees and related expenses should be considered. If acquiring a new property, a VAT of 24% applies. Budgeting at least €25,000 beyond the main investment is recommended when applying for your Greek residency.
The Pros of the Greece Golden Visa Program
The Greece Golden Visa program offers numerous advantages:
Visa-Free Travel: Enjoy visa-free travel to 27 European Union countries, including the Schengen area, Switzerland, Liechtenstein, Norway, and Iceland.
Affordability: Greece’s Golden Visa program is the most economical in Europe.
Family Inclusion: Your entire family, including spouse, children under 21, and parents, can become Greek residents under the investment requirements.
Permanent Residency: Receive a Greece residency permit valid for five years, renewable as long as the minimum investment is maintained.
No Residency Obligations: No requirement to live in Greece before, during, or after the residence application.
Investment Control: Unlike a donation, your investment retains all associated rights, allowing full control.
High Standard of Living: Enjoy a high standard of living with a solid education system, dependable medical facilities, and low crime rates.
Tax Flexibility: Non-residents living less than 183 days a year in Greece are not liable for Greek tax. Income derived in Greece may be subject to tax, with a rate of 11%-33% for rental income.
Fast Processing: Despite bureaucratic complexities, obtaining a residence permit takes a maximum of three months.
Naturalization Option: Living in Greece for seven years as a tax resident qualifies you to apply for Greek citizenship, providing access to live and work anywhere in the European Union.
Open to All: There are no nationality restrictions; every non-EU national can apply under the same terms.
The Cons of the Greece Golden Visa Program
Despite its benefits, the Greece Golden Visa program has some drawbacks to consider:
High Property Tax: Greece has relatively high property taxes compared to other Residence by Investment (RBI) programs, with a history of significant increases during economic crises.
No Work Permission: Newly approved residents cannot work in Greece, although they can register and establish businesses.
Complex Greek Tax System: While theoretically not liable if not residing in Greece, tax planning is crucial. Citizenship applicants must pay Greek taxes for seven years.
EU Work Restrictions: The residence permit allows living but not working in Greece. However, permit holders can set up businesses.
Naturalization Challenges: Greece may not readily naturalize Golden Visa residents, especially if not of Greek origin.
Understanding these aspects will help you make an informed decision when considering the Greece Golden Visa program.
Summary
Residency by Investment isn’t a new scheme across the world however, the price can vary between locations. The price can change year on year for the location and expats can take advantage of the ups and downs and the offerings of locations and their laws.
Residency for Investment in Greece is a straightforward process and if you want an EU passport this is a great way to achieve one without going through the naturalisation process. Not to mention you can get a return on property.
This is not personal financial advice – if you need advice please contact me so I can assess your needs.
Further reading:
- 3 Residency Programs – High Net Worths
- Best Bank Accounts for British Expats in 2024
- Thailand Residency – Full Guide for Expats 2024
FAQs
What is the Greek Golden Visa program, and how does it work?
Answer: The Greek Golden Visa program offers residency to individuals and their families in exchange for investments in Greece. With a minimum investment of €250,000, investors gain residency in the Schengen area, allowing visa-free travel to 27 European countries.
What are the benefits of obtaining Greek residency through investment?
Answer: Greek residency offers numerous advantages, including visa-free travel within the EU, affordability compared to other European Golden Visa programs, inclusion of family members in the residency application, no residency obligations in Greece, investment control, and the option for naturalization after seven years of tax residency.
What are the investment options available for obtaining Greek residency?
Answer: Investors have several options to qualify for the Greek Golden Visa, including investing €250,000 in Greek real estate, purchasing Greek state bonds, holding a deposit at a credit institution, acquiring shares or corporate bonds, or investing in an Alternative Investment Organization. These options provide flexibility to investors based on their preferences and investment goals.
