Is it a reality to obtain a residence permit for participation in an investment program in 2-3 months in a European country? Yes, if we talk about the investment program in Hungary. More and more often we are approached by clients with a request to obtain a residence permit in Europe for investment. Our specialists have studied this issue in detail, and are ready to talk about this program as an alternative to popular investment destinations in the European Union.
The main feature - you can get a residence permit in Hungary based on the current law, and this is not just a program. How does it work? In Hungary, there is Act II on the right of residence in the territory of the state of residents of third countries. Such persons are granted the right to apply for residence permit status based on "circumstances of special importance". Acquisition of ready-made expensive real estate in the country - one of these special circumstances.
Hungarian residence permit - privileges for the resident
The new status allows residents to:
- Without issuing a special permit/visa to move around the countries belonging to the Schengen zone, stay on the territory of any of them for a total of up to 90 days out of 180.
- Reside in Hungary legally, stay in the country for an unlimited amount of time, and enter the territory of the state as a resident even if the borders are closed.
- Optimize taxation. The income tax rate is 15%, the corporate tax rate is 9%.
- Open accounts in foreign banking institutions with minimum requirements - place personal savings, make international transfers, and settle accounts with counterparties.
- Use medical services and study. Residents can receive medical assistance and treatment in private and public structures. Make a referral for treatment in balneological clinics or thermal springs. Students are available to study in local schools, lyceums, and universities.
- Sell the purchased property after 3 years, retaining the privileges and status.
The processing time takes 1-2 months. This is one of the fastest ways to date to obtain residency in Europe
The investment program of the Hungarian residence permit - who can participate
To apply for the new status, it is necessary to:
- Be an adult applicant over the age of 18.
- To apply for a residence permit together with the main applicant is allowed to members of his family - spouse, children under 18 years of age, adult dependent children of the investor, parents. To prove matrimony, if husband and wife are not legally married, it is necessary to show a joint bank account, joint ownership of movable/immovable property, or a lease agreement where both spouses are listed.
- Present a bank statement. The minimum account balance must start at 155,000 € - an amount sufficient to buy a home and participate in the residence permit program.
- Participating in the program through this type of residence permit, the investor is deprived of the right to be employed in the country. He can live on personal savings, and passive income (dividends, interest from investments, from renting out property, rent, pension). The income must come from abroad. The applicant must prove financial stability by showing a minimum of 27,000 € in an account for personal needs and 16,000 € to provide for each participant he/she has indicated in the application.
Real estate for participation in the residence permit for investment program - basic requirements
The peculiarity of the Hungarian program is that the applicant initially receives a residence permit, and only then buys real estate - this is opposed to programs in other countries.
To participate in the program and confirmation of residency status is allowed to buy a residential property (primary or secondary housing), ready for living. Properties under construction or in the development/approval/boilerplate stage are not suitable for participation in the program. The minimum price of a property starts at 155,000 €. The living area (bedrooms, living room) is calculated from 6m² per family member. Ideally, the selected object will be located in the capital of the state.
Purchased housing can be used only for personal use - to live for the main applicant and his/her family members. The property is not allowed to be rented out and receive additional income from it. All program participants must be registered at the address of residence. The registration address is a mandatory condition that meets the requirements of the investment program. Lack of address is a good reason to legally revoke the resident status.
The real estate must be paid for entirely with the applicant's funds, by bank transfer without making a mortgage. If necessary, the investor must prove that the funds for payment were obtained legally.
How to get a residence permit for the purchase of real estate - the main stages
To obtain a residence permit for the purchase of an object, you need to go through several important procedures.
Verification of trustworthiness
The first procedure that the client faces before starting to work with our agency. This is a mandatory stage that allows you to find the smallest risks at the start and quickly develop another working strategy. For example, to collect and prepare additional documents/references or to select another investment program suitable for the applicant. Our agency employs a certified Anti Money Laundering Officer. For verification, he will need the client's passport and 1 day. Based on the results of the check, a contract is signed with the client for further cooperation.
Preparation of documents, visa, and residence permit card issuance
Based on the received data and the customer's situation, the agency's lawyers prepare a list of necessary documents and certificates to be submitted to the Consulate. In advance, it is necessary to apply for and obtain a long-term visa, allowing you to enter Hungary to submit biometric data and obtain a residence permit card. Also, specialists will help you to draw up documents, professionally translate, notarize, and fill in the necessary forms. It is important to initially issue a power of attorney for our specialists and save yourself from unnecessary hassle.
Having received the visa, the investor needs to travel to Hungary in person. On a pre-agreed day and time, he comes to the office to submit biometric data and a photo.
To apply for a residence permit through the purchase of real estate, the following basic list of documents is required:
- Copies of passports of all applicants - resident passport and foreign passport.
- Certificate of marriage/divorce.
- Birth certificates of all applicants.
- Document from the bank, confirming the availability of a minimum of 155 000 € for the purchase of real estate + 27 000 € for the main applicant and 16 000 € for each additional participant.
- Bank statement showing all account transactions for the last six months.
- A detailed CV for each applicant.
- Two photographs for each applicant.
- Photos must be taken a maximum of one month ago, no longer.
- Health insurance policy.
Purchase of real estate to obtain a residence permit
From the moment the residence permit card is issued, the investor has 90 days to buy real estate - you can choose the property in advance. The specialists of the migration agency GARANT.IN will provide maximum assistance - we will help you to choose a property, check it and the seller for trustworthiness, and draw up a sale and purchase agreement. At the same time, we will take care of the issue of registration of permission to buy housing in the city hall.
To book a favorite object, the buyer transfers 10% of the preliminary contract. The main contract will be executed after receiving permission from the City Hall. After that, the applicant pays the remaining amount and remits taxes on the purchase. After 14 days, the buyer receives a passport of the owner of the object from the land committee. The lawyers forward the document to the country's migration service to confirm that the conditions of the investment residence permit have been met.
Investor's expenses
Depending on the situation, the applicant's expenses may vary. Below is a list of minimum costs:
- Purchase of real estate - from 155,000 €.
- Administrative fees - 30 000 €.
- Duties and fees for the purchase of the object - up to 500 €.
- Taxation on the transfer of ownership of real estate - 2-4% of the value of the object.
- The fee for applying for a residence permit - is 110 € for each participant.
- Fee for legalization at the Consulate - 30 € for each participant.
Renewal of residence permit status
By purchasing real estate, the investor receives a "residence permit for other purposes". The residence permit is valid for 5 years for the main applicant and for 3 years for other participants. To extend the status it is necessary to:
confirm ownership of the real estate;
reside in the purchased property at the place of registration;
reside in the country for 183 days or more per year;
prove financial stability;
pay the renewal fee of 110 € for the main applicant and 60 € for each participant.
The application for an extension of residence permit status can be submitted electronically on the website of the Migration Service - Enter Hungary.
Advantages of cooperation with a licensed agency GARANT.IN
If you need assistance in obtaining or extending a new status, we recommend contacting professionals. It is difficult for an unprepared person to understand the requirements and laws of another country on their own. It is not always possible to fill in the forms correctly the first time, and this is time, effort, and money.
Cooperation with us is:
- Prompt preparation and organization of the collection of documents at the applicant's place of residence and not only.
- Assistance in obtaining a visa, residence permit, residence permit, and second passport.
- Selection of real estate, checking the reliability of the object and the seller, and the conclusion of the contract of sale.
- Solving related issues in a new country - obtaining TIN, opening a bank account, searching for an educational institution, registration of driver's license.
With us, moving and adapting to a new place will be as comfortable as possible!
