A. Introduction
Due to the economic volatility, inflationary environment, and financial conjuncture in Turkey in recent years, Turkish investors are seeking safer harbors for their investments. In this context, they are looking for countries that grant residence permits or citizenship through investment. Among these countries, Greece stands out as the most popular European destination for Golden Visa programs. There are several reasons for this preference. Greece is a neighboring country to Turkey, offers favorable financial conditions, is a member of the European Union, and shares similar cultural and social climates with Turkey.
The Golden Visa program provides an opportunity to obtain a residence permit and citizenship in Greece through investment. This program not only allows for free movement within European Union countries but also offers the advantage of earning rental income in foreign currency. In this information bulletin, we will explore how to obtain a residence permit and citizenship in Greece through the Golden Visa program.
B. Application Requirements
In order to qualify for a Golden Visa in Greece, the applicant must
- be a citizen of a non-EU country,
- have purchased a real estate property worth 250,000 Euros (For some regions, the minimum investment is EUR 500,000),
- be at least 12 years old as the main investor,
- have a health insurance,
- have a tax identification number with the Greek State as the main investor,
- have entered into a prepayment agreement and paid the deposit by 31.08.2024 at the latest,
- have paid the full amount of the house price by 31.12.2024 through notary procedures.
This program allows you to obtain a Golden Visa without needing to visit Greece to apply. You can then receive a ‘Blue Paper,' a temporary residence card that permits you to stay in Greece as long as you wish until you receive your residence permit.
C. Investment Requirements
- The applicant must be the owner of the real estate property.
- If the property was acquired through a legal entity, the applicant must hold 100% ownership of the company shares.
- Investors are entitled to rent out their property to others.
The Golden Visa residence permit is renewable every five years. To renew it at the end of each five-year period, the applicant must fulfill the aforementioned requirements.
D. Beneficiaries of the Golden Visa
Along with the main investor, the Golden Visa program is available to the main investor's parents, spouse, children under the age of 21 and the parents of the main investor's spouse.
E. Benefits of Golden Visa
- Right of Residence in Greece: With the Golden Visa, you and your dependents can reside in Greece and access public healthcare and education services.
- Remote Application: Remote application to the program eliminates the need to enter Greece before or during the application process.
- Visa-Free Travel: The Golden Visa allows for visa-free travel for up to 3 months within the Schengen area, facilitating easy movement across participating countries.
- Family Inclusion: You can include your spouse and children under 21 in the Golden Visa program without undergoing an extensive family reunification process.
- Double Taxation Treaty: Double taxation occurs when the same income is taxed twice, once in the country where it's earned and again in the taxpayer's country of residence. However, under the double taxation agreement between Turkey and Greece, your income is only taxed in Greece, relieving you from paying additional taxes on your investments in Turkey.
- Rental Income: Owning a property through the Golden Visa program enables you to generate rental income in foreign currency by leasing out your purchased property.
F. Conditions for Acquiring Citizenship
Upon obtaining the residence permit, after 7 years, you will be eligible to apply for citizenship by living approximately 3.5 years (6 months each year) and maintaining your investment, and you will qualify for citizenship by passing the language and general knowledge test conducted by the Greek government.
G. New Golden Visa Program dated April 3, 2024
Article 82 of Greek Immigration Law No. 5038/2023 and Article 64 of the law concerning residence permits tied to real estate investments came into effect on 03.04.2024, outlining the following regulations:
- Starting from 01.09.2024, the minimum investment value for new real estate acquisitions in Attica (including Piraeus), Thessaloniki, Central Macedonia, Santorini, Mykonos, and islands with over 3,100 inhabitants must be at least 800,000 euros, while in rural areas, the minimum value is set at 400,000 euros.
- The purchased real estate must encompass a minimum of 120 square meters.
- Immovable properties cannot be rented out for short-term stays.
H. Conclusion
The economic downturn in Turkey has prompted Turkish investors to explore alternative options. Among these, the most lucrative option for foreign exchange earnings lies within EU countries. Among EU nations offering citizenship or residence permits through investment, known as the “Golden Visa” program, Greece stands out for its favorable conditions.
Greece boasts some of the most appealing conditions among countries currently implementing the Golden Visa program. Beyond its allure, including low investment costs and EU membership, Greece offers additional benefits such as visa-free travel for up to 3 months within the Schengen region, proximity to Turkey via a neighboring highway connection, and a socio-cultural structure similar to that of Turkish culture. These factors contribute to Greece's attractiveness for investors.
The process of Greece's Golden Visa program involves initially obtaining a residence permit, followed by eligibility for citizenship after a specified period. With its highly advantageous conditions for becoming a citizen of an EU member state, Greece's Golden Visa applications attract significant investor interest.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.