Low-Density Areas in Portugal: Where Do You Need to Invest

Portugal matches today’s definition of luxury: Authenticity, innovation, and creativity. This is especially true with regard to commercial properties and residential real estate investment opportunities in low-density areas of the country. Investors and the media never tire of “discovering” this part of Portugal that surprises visitors — the off-the-beaten part of the country that provides ample opportunities when it comes to buying property in Portugal. Indeed, there’s a broad range of opportunities on offer to invest in Portugal low density areas, with more and more investors scrambling to tap into the wealth of opportunity on offer.

Why invest in Portugal? And why in one of the country’s low-density areas? This guide will provide you with more information about low-density and interior areas of Portugal and what makes them stand out as highly desirable locations.

Golden Visa Changes 2023

Significant changes were made by the Portugeuse government concerning the Portugal Golden Visa in 2023. You can find the latest information on the Golden Visa in the sections below.

The end of the Portugal real estate pathway

It’s essential to understand that real estate investments no longer qualify as an option within the program, including investing in interior or low-density areas.

However, several other attractive investment routes remain eligible for the program to encourage investment in Portugal. For detailed information, please consult the Portugal Golden Visa Ultimate Guide provided by our residency and citizenship division, Global Citizen Solutions. In the section below, we also provide a quick rundown of the current investment options.

While real estate has traditionally been the most favored investment pathway, it’s no longer available and this extends to making a real estate investment in low density aresa. Investors seeking alternative options to qualify for the Golden Visa are increasingly turning to the investment fund route. More details on this pathway can be found in this Portugal Golden Visa Investment Fund guide.

Current Golden Visa Options: Updated

Investments in real estate are no longer an option. However, there remain several attractive options on the table, which you will find detailed below. 

• Fund subscription: Contribute a minimum investment amount of €500,000 to a certified investment fund.
• Arts or heritage reconstruction contribution: Minimum investment of €250,000 towards the arts or the restoration of national heritage. Note that if the project takes place in Portugal low density areas (see map below), then a 20 percent discount will apply.
• Scientific research: Mminimum investment requirement of €500,000 or more to research in the field of science or technology.
• Job creation: Generate and sustain ten positions over the specified period for economic development.
• Share capital and job creation: Establish a company or strengthen its share capital with a minimum investment of €500,000, combined with the creation of five jobs or the maintenance of ten (with at least five being permanent).

Top benefits of the Portugal Golden Visa

Although the real estate investment option is no longer available, there remain a multitude of benefits to Portugal’s Golden Visa program. These include:

• You can obtain European Union residency and enjoy visa-free travel across Europe and the Schengen Area. After five years of maintaining your investment and meeting all Portuguese nationality requirements, you can apply for Portugeuse citizenship.
• Your immediate family members can be included in your Golden Visa application and they can enjoy the same opportunity as you to live and work in Portugal.
• There remain several very attractive investment options, including job creation, investment funds, and investing in cultural production.
• The minimum residency requirement is seven days in the first year and 14 days in subsequent years.

Interior Areas of Portugal

This map highlights Portugal’s interior regions.

Low Density Areas

Low-density areas are defined as territorial units (NUTS III) that have less than 100 inhabitants per square km or a GDP per capita that is less than 75 percent of the national average. When the real estate investment pathway of the Golden Visa program was still available, l;ow-density areas determined whether a 20 percent discount rate was applicable to your investment or not.

Portugal low density areas are shown in light grey below (areas that fall outside the low-density zone are shown in dark grey).

Interior and Low-density Residential Real Estate

Althoug the low density areas Portugal Golden Visa pathway is longer part of the residency-by-investment program, interior and low density areas in Portugal still present an attractive investment opportunity – such as the Douro Valley, Aljezur, and Peneda Gerês.

Each of these offers excellent, spacious properties that are very good value for money. You will be able to find residential properties with a private swimming pool and large areas of land for roughly €400,000.

Advantages of Investing in Low-density Areas

• Affordable commercial and residential properties, with the opportunity to earn high rental returns
• In low-density areas, investors are likely to find much bigger and better properties with two to three units to rent.
• As the capital needed to invest is low for residential property and commercial real estate in low-density areas, investors have more freedom for other business investments.
• Away from the crowds, these low-density areas of Portugal are great for new beginnings and offer a high quality of life.
• Major cities and towns in the interior of Portugal are becoming popular with students and, as the young population grows in these cities, the need and opportunity to serve them intensifies.
• Increasing interest in residential and commercial properties in low density municipalities from both local and foreign investors
• High yearly growth potential and capital appreciation
• Low density areas in Portugal are promising locations to develop eco-tourism, wellness, innovation, and luxury projects.
• Given the small size of Portugal, even if you buy property in low density regions, you will usually still be quite close to major cities and more densely populated regions.
• You can find very affordable deals if you are seeking a residential rehabilitation project or a commercial rehabilitation project in low density regions.

Gerês is one of the favorite regions for investors due to its dense and wonderful Peneda Gerês National Park, the only official national park in Portugal (the rest are natural parks). It is an incredible place. The famous waterfalls are paradisiacal and a rarity in Europe.

Classified as a World Heritage Site by UNESCO, the Douro Region is one of the most acclaimed areas in the world due to its untouched natural landscapes. This is one of the best low density municipalities and areas in Portugal for those seeking unrivalled natural landscapes.

Goldcrest: How We Can Help You 

Goldcrest is a buyer’s agent that is based in Lisbon. We provide expert, impartial advice on real estate investments and how to buy property in Portugal. From scouting out the perfect property through to property acquisition, we have you covered throughout the process.

If you are looking to purchase property in Portugal, don’t hesitate to get in touch. Our team of skilled experts is available to solve all your real estate doubts, helping you with the property search and offering insightful expertise and strategic advice.

Why choose Goldcrest?

• Local knowledge: With offices located across Portugal, our presence nationwide allows us to assist you personally across the country.
• Independent service: As an independent buying agent, we do not represent any development or project. Our service is entirely tailored toward each individual client, providing you with everything you need to secure the perfect property at the best possible price. As an impartial advisor on the market, we work solely on behalf of our client and provide a service tailored to your needs and requirements.
• Streamlined process: Our real estate agents speak English and Portuguese, and our service is completely focused on providing you with a hassle-free buying experience, saving you time.
• Experienced team: Our expert real estate team has a vast local knowledge of the Portuguese property market. We have cutting-edge technology and metasearch tools at your disposal to provide full market coverage, ensuring the best investment choices and negotiated prices.
• Network of partners: We have a close network of partners, including lawyers, property management services, builders, architects, designers, and landscape gardeners, again saving you time and hassle by providing you with trusted experts in their field of work.