New residency for real estate programme in Brazil responds to expanding economic sectors19 March
Operating since November 2018, the new Brazilian visa programme allows foreigners who buy real estate in Brazil to apply for a residency permit.
With around 2.5 million foreigners living in Brazil this new programme aims to make it easier for foreigners to live and invest in the country whilst boosting Brazil’s economy, which was floundering under the previous government. The idea now is to synchronise the expansion of certain sectors like oil and gas with a convenient residency scheme, thereby increasing foreign direct investment.
The minimum investment, either for resale or new build, is of R$700,000 (for the northern and north-eastern states) and R$1m for the other regions. This applies to both residential and commercial real estate, excluding rural properties.
The investment must be validated by a Brazilian bank and the immigration authorities. Once it’s been approved, the investor receives a temporary 2-year residency permit. After two years, and being that the investor remains the owner of the property, a permanent residency is available. Additionally, the investor must live for at least 30 days in Brazil in order to apply for residency. After four years of residency, the investor and his family can apply for naturalisation.
Differences between the Portuguese Golden Visa and the Brazilian Golden Visa
There are technical differences in relation to the Portuguese Golden Visa, but the Brazilian version is also an attempt to make immigration attractive and thus bring further private investments to Brazil.
The vice-president of Secovi-Rio (real estate syndicate), Leonardo Schneider, said “Until the 2016 Olympics, several foreigners bought properties in Rio. The crisis hindered this, but their interest in Brazil is visible, and property here, to a European or American, is very cheap. We just need to ‘sell’ Brazil better abroad and improve our security ratings.”
That said, this programme is set to attract mainly investors from Europe, the United States and China, but the alternative has no restrictions, it applies to immigrants from any origin.