What is Hungary Residency by Investment
Hungary’s residency by investment program is one of the simpler options in the EU. It allows investors to obtain a residence permit by real estate investments, fund units purchase or donation. Hungary’s government ensures that the process is clear, with minimum investment thresholds of €250,000.
Hungary stands out for its lower cost of living and competitive tax rates. This appeals to high-net-worth individuals who seek a cost-effective base in the EU without compromising on access to the Schengen Area. Hungary’s personal income tax rate is a flat 15%, significantly lower than in other parts of the EU, making it a strong option for those looking for long-term tax benefits.
Advantages of Hungary residence permit include visa-free travel across the Schengen Area and access to quality healthcare and education systems. The Hungarian economy is stable, making it an attractive destination for investors who also wish to enjoy a secure European lifestyle.
EU Residence Permit by Investment in Other Countries
Portugal. The country is known for its Golden Visa program, allowing investors to gain residency by investing in fund units, culture, capital transfers, or creating jobs. Portugal’s program offers a path to citizenship after five years without the obligation of residing in the country permanently.
Malta. The country offers two investment pathways to residence permit with advantages of visa-free travel within Schengen Area:
- Malta Global Residence Programme is a popular choice for non-EU nationals looking to reside in Malta. This program grants a special tax status to those who purchase or rent property in Malta and meet certain income requirements.
- The Malta Permanent Residence Programme (MPRP) offers non-EU nationals the opportunity to obtain permanent residency in Malta. The Malta PR program requires an investment in real estate, a charitable donation and paying government fees.
Greece. Greece offers one of the most affordable Golden Visa programs in the EU, with a minimum real estate investment requirement of €250,000. This makes it a direct competitor to Hungary in terms of cost. Greece’s lifestyle and access to the Mediterranean attract many investors seeking a more laid-back environment.
Cyprus. The Cyprus Permanent Residency program is generally considered one of the most expensive in the EU. The minimum investment is high, often requiring a substantial real estate purchase or contributions to the Cypriot economy from €300,000. While Cyprus offers an attractive tax regime and access to a Mediterranean lifestyle, the high cost of entry may deter some investors.
How to Get Residence Permit in Hungary by Investment
Investment options. A residence permit in Hungary through direct investment offers several ways to obtain a residence permit. Investors have three options to choose from. The minimum investment required is €250,000. This investment must be made within 93 calendar days of the investor’s first entry into Hungary using the Guest Investor Visa.
Alternatively, Hungary also offers investment through government-approved funds, which come with clear guidelines and a streamlined process.
Application process involves:
- Investing in eligible assets.
- Submitting the Golden Visa application with required documents.
- Awaiting approval, which typically takes several months.
- Receiving the residence permit upon approval.
Hungary’s system is designed to be investor-friendly, with clear steps that make the process manageable for foreign applicants.
Residency benefits. After obtaining residency, investors can enjoy visa-free travel within the Schengen zone and benefit from Hungary’s affordable healthcare and education system. The program also allows family members to gain residency, making it suitable for those planning to relocate with dependents.
Other Ways to Obtain Hungary Residence Permit
Business registration option. Entrepreneurs can also obtain a Hungarian residence permit by registering a business in the country. This option appeals to individuals who are looking to expand their business into the EU.
Hungary’s corporate tax rate is low, and the government offers incentives for certain types of businesses, particularly those involved in technology and innovation.
Digital nomad visa. Hungary introduced the White Card for digital nomads. This visa allows remote workers to live in Hungary for up to two years while working for foreign companies. It’s an attractive option for individuals who do not want to make a significant financial commitment but still wish to enjoy the benefits of living in an EU country.
Digital nomads appreciate Hungary’s low cost of living and stable internet infrastructure.
One of the advantages of Hungary’s residence programs is the possibility to include family members in your application. Whether you choose the investment route, business registration, or the digital nomad visa, spouses and children can also gain residence.
Over time, Hungary offers a pathway to permanent residency and eventual citizenship, should investors wish to stay long-term.
Conclusion
Hungary’s residency by investment program stands out for its cost-effectiveness, clear investment options, and favourable tax policies. Compared to other EU programs, Hungary offers a balance of affordability and long-term benefits. Whether you choose Hungary for its investment options or its business-friendly policies, this program provides an accessible route to EU residency.