Portugal D7 Visa for Americans: an ultimate guide for US citizens

The Portugal D7 Visa, also known as the "Passive Income Visa," is designed for non-EU, non-EEA, and non-Swiss citizens who have passive stable income and wish to reside in Portugal. This visa is particularly suitable for retirees, investors, and individuals who can sustain themselves financially without needing employment in Portugal.

The D7 Visa grants temporary residency in Portugal, which can be renewed and potentially lead to permanent residency or citizenship if the applicant meets the necessary requirements.

Unlike investment-based residency programs, such as the Golden Visa, the D7 Visa does not require applicants to make significant financial investments in Portugal. Instead, eligibility is based on demonstrating sufficient passive income from sources like pensions, rental properties, or financial assets.

Alina Mishurenko,

Editor-in-chief, content creator

While the D7 Visa is primarily for individuals with passive income, it does not prohibit you from working or starting a business in Portugal after you’ve got your residence.

Besides, holders of the D7 Visa can include family members in their application, making it a great option for those looking to relocate with a spouse, children, and parents.

In recent years, Portugal has experienced a significant increase in popularity among US citizens. Between January and April 2024, American visitors spent approximately €692 million in Portugal, marking an 18.2% rise compared to the same period in 2023.

This surge in American interest is attributed to Portugal’s cultural heritage, favorable climate, and relatively low cost of living.

Portugal’s appeal is further enhanced by its safety, high-quality healthcare system, and the widespread use of English:

1. Portugal is ranked 7th in the Global Peace Index, reflecting its high levels of political stability and very low levels of violent crime.

2. Portugal’s healthcare system is recognized for its quality, ranking 23rd in the 2024 World Index of Healthcare Innovation for patient-centered care.

3. Portugal ranks 6th globally in the EF English Proficiency Index, indicating a high level of English proficiency among its population.

Many Americans who initially visit Portugal as tourists find themselves captivated by its charm, affordability, and high quality of life. As a result, a growing number are considering relocating permanently, exploring options like the D7 Visa to establish long-term residency in Portugal.

1. No investment required. Unlike Portugal’s Golden Visa, which requires significant financial investment, the D7 Visa is based on passive income rather than capital investment. This makes it a more accessible option for retirees and financially independent people who want to relocate without making large financial commitments.

2. Affordable cost of living. Portugal is known for its lower cost of living compared to the US. Housing, healthcare, and daily expenses are significantly cheaper than in major American cities, allowing US citizens to maintain a comfortable lifestyle on a modest budget.

A cost of living comparison between the US and Portugal shows significant differences in key categories:

• property prices per square meter are 21.4% lower in Portugal than in the US;

• rent for a one-bedroom apartment in city center are 44.6% lower in Portugal;

• international school tuition per year are 50% lower in Portugal;

• lunch at McDonald’s are 5.6% lower in Portugal;

• gasoline per liter is 80% higher in Portugal.

3. Pathway to permanent residency and citizenship. The D7 Visa grants temporary residency for two years, which can be renewed for another three years. After five years, residents can apply for permanent residency or Portuguese citizenship, gaining the right to live, work, and travel freely within the EU.

Importantly, the five-year period is counted from the date of the initial residence permit application, not from the date of approval. This means that by the time the renewal period is completed, applicants are already well on their way to meeting the residency requirement for citizenship or permanent residency.

4. Ability to work remotely or start a business. Although the D7 Visa is primarily for individuals with passive income, it does not prevent holders from working remotely for a foreign company or starting a business in Portugal. This flexibility makes it an attractive option for digital nomads and entrepreneurs.

5. Family reunification benefits. D7 Visa holders can bring their immediate family members, including spouses, parents, and dependent children, through Portugal’s family reunification process. This makes it a great choice for Americans who want to relocate with loved ones.

6. Citizenship for newborn children. Portugal grants citizenship to children born in the country if at least one parent has held a residence permit for at least a year before birth. This makes the D7 Visa an attractive option for families planning long-term relocation.

7. Safe and welcoming environment. According to the Global Peace Index, Portugal is ranked as the 7th most peaceful country in the world and the fifth most peaceful in Europe. The GPI evaluates nations based on factors such as societal safety and security, ongoing domestic and international conflict, and the degree of militarization.

To qualify for the Portugal D7 Visa, US citizens must meet specific financial, legal, and residency requirements.

Proof of sufficient passive income. Applicants must demonstrate they have a stable and regular passive income that meets or exceeds the Portuguese minimum wage. This income can come from pensions, rental properties, dividends, royalties, or financial investments.

The minimum required annual income depends on the number of family members included in the application:

• €10,440, or $10,700, per year for the primary applicant — 100% of Portugal’s minimum wage;

• €5,220, or $5,350, per year for a spouse — 50% of the minimum wage;

• €3,132, or $3,210, per year per minor child — 30% of the minimum wage.

Total required for a family of three is €18,792, or $19,260, per year.

These amounts ensure that the applicant and their family can support themselves without needing employment in Portugal.

Family reunification with visa D6. If the applicant wishes to bring family members, they can do so through the D6 Visa.

Proof of accommodation in Portugal. Applicants must provide evidence of where they will reside in Portugal. This can include:

• a rental agreement;

• a property deed if purchasing a home;

• a letter of invitation from a Portuguese resident offering accommodation.

Valid health insurance. Before receiving a residence permit, applicants must have comprehensive health insurance that covers medical expenses in Portugal. The policy should include coverage for emergency medical treatment and hospitalization.

Once residency is granted, D7 Visa holders can access Portugal’s public healthcare system.

Clean criminal record. Applicants must provide an FBI background check or a criminal record certificate from the US and any other country where they have lived for more than one year in the past five years. Portugal’s immigration authorities review this to ensure the applicant poses no security risk.

Visa application fee. A non-refundable application of €90, or $92, must be paid when submitting the D7 Visa application.

Increase in D7 Visa Applications. The number of D7 visa applications has surged in recent years, with a significant rise of over 40% since 2020 due to growing interest from US citizens.

US expats in Portugal. Since 2022, Portugal experienced a significant increase in foreign residents and citizenship applications. Among these foreign residents, North Americans numbered 14,559, marking a remarkable 34.4% increase — the highest relative growth among all continents.

According to government data, the American expat community in Portugal grew by nearly 239% from 2018 to 2025, reflecting the increasing demand for residency programs like the D7 Visa.

Approval rate. The D7 Visa has a high approval rate, with over 80% of applications being accepted when all necessary documentation is correctly submitted.

How to move to Portugal and how fast you can do it via the D7 visa

The Portugal D7 Visa provides a pathway to permanent residency and citizenship, allowing US citizens to establish long-term roots in the country. After receiving a temporary residence permit through the D7 Visa, applicants must meet certain requirements to transition to permanent residency or citizenship.

Timeline for permanent residency and citizenship:

1. Year 1—2: initial temporary residence permit.

2. Year 3—5: renewal of the residence permit.

3. After 5 years: eligibility to apply for permanent residency or Portuguese citizenship.

Alina Mishurenko,

Editor-in-chief, content creator

The five-year residency period is counted from the date of the initial residence permit application, not from the date of approval. It helps applicants reach eligibility sooner.

Requirements for permanent residency. After five years of legal residence in Portugal, D7 Visa holders can apply for permanent residency. To qualify, they must:

• have maintained continuous residence in Portugal;

• have basic proficiency in Portuguese at A2 level;

• provide proof of financial stability;

• have no serious criminal record.

Permanent residency grants the ability to live and work in Portugal indefinitely, but without an EU passport.

Requirements for Portuguese citizenship. D7 Visa holders can apply for citizenship after five years of residence, provided they meet the following conditions:

• pass a basic Portuguese language test at A2 level;

• show integration into Portuguese society;

• have no serious criminal conviction;

• provide proof of legal residence for the required period.

Portuguese citizenship also allows individuals to retain dual citizenship, meaning US citizens do not have to renounce their American nationality.

For Americans considering residency in Portugal, several visa options are available beyond the D7 Visa. Golden Visa and the Digital Nomad Visa offer distinct pathways, each with unique requirements and benefits.

The Portugal Golden Visa is a residency-by-investment program designed for individuals willing to make a significant financial contribution to the country. It requires a minimum investment of €250,000, or $270,000, in one of several qualifying categories, such as investment funds, scientific research, or cultural heritage preservation.

Golden Visa holders must meet the stay requirement of only 7 days per year in Portugal.

The Portugal Digital Nomad Visa is designed for remote workers and freelancers who earn an income from outside Portugal. Applicants must prove a monthly income of at least €3,480, or $3,750, and provide evidence of remote work or self-employment.

Unlike the D7 Visa, which is aimed at passive income earners, the Digital Nomad Visa caters to professionals who actively work online while living in Portugal.

Historical background. The formal diplomatic relationship between the two nations dates back to 1791, when Portugal became one of the first countries to recognize the newly independent United States. Over the years, both countries have collaborated on economic, military, and cultural initiatives, strengthening their transatlantic ties.

Current political cooperation. Both nations work closely within international organizations such as the United Nations, the European Union, and NATO to address global challenges, including climate change, cybersecurity, and economic stability.

Portugal’s location as a gateway between the US, Europe, and Africa makes it an important diplomatic partner in international affairs.

Cultural and people-to-people ties. The US is home to a large Portuguese diaspora, particularly in states like Massachusetts, Rhode Island, and California. Educational and scientific exchange programs further strengthen diplomatic ties, with many Portuguese students studying in American universities and vice versa.

1. The Portugal D7 Visa is a residency visa for US citizens seeking a cost-effective, flexible, and straightforward pathway to Europe.

2. The D7 Visa does not require significant financial investments, making it accessible to retirees and individuals with passive income.

3. The cost of living in Portugal is significantly lower than in the US, allowing for a comfortable lifestyle on a modest budget.

4. After 5 years of residence, applicants can apply for Portuguese citizenship, gaining unlimited access to the EU for travel, work, and study.

5. Portugal’s safety, high-quality healthcare, and welcoming culture make it an attractive destination for long-term relocation.