Portugal Has Become a Magnet for Millionaires: How the Country Became a New Hub for Investment in Europe

Over the past five years, Portugal has welcomed 725 new ultra-high-net-worth residents, and the number of people with a net worth of over €25 million has grown by nearly 50%. Experts attribute this trend not only to the pleasant climate and high quality of life, but also to the active development of the real estate market, the influx of international capital, and the sale of local companies to major investors. Find out why Portugal has become one of the most attractive destinations for the world’s wealthiest individuals

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Portugal has long been among the most popular European countries for relocation, but recent data shows that today it is increasingly attracting not only tourists and digital nomads, but also the world’s wealthiest individuals. In the last five years alone, the number of ultra-high-net-worth residents in the country has increased by 725, and experts predict further growth in this figure.

According to analysts, the decisive factors include not only the pleasant climate, safety, and high quality of life, but also the active development of the luxury real estate market, the inflow of international capital, and new investment opportunities. At the same time, Portuguese entrepreneurs themselves are generating increasing wealth by successfully selling their own businesses to international investors and investment funds.

We explain why Portugal has become one of the main centers of attraction for global capital and what factors make the country so attractive to wealthy investors.

In the previous article, we provided a ranking of the richest countries in the world in 2026 by GDP.

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Portugal Welcomed 725 New Ultra-High-Net-Worth Residents: What Do the Numbers Show?

Portugal continues to solidify its position as one of the most attractive places to live and invest in Europe. According to data from the international consulting firm Knight Frank, between 2021 and 2026, the number of people with a net worth of over €25 million (Ultra-High-Net-Worth Individuals, UHNWI) in the country increased by nearly 50%.

Over the course of five years, the number of such residents rose from 1,462 to approximately 2,187. Thus, Portugal gained 725 new ultra-high-net-worth residents, marking one of the highest growth rates among European countries.

Experts at Knight Frank also predict that this trend will continue. By 2031, the number of people with assets exceeding €25 million could rise further to 2,452, confirming the country’s long-term appeal to international capital.

At the same time, analysts emphasize that this trend is not limited to foreign millionaires moving to Portugal. Local entrepreneurs have also played a significant role in this growth; in recent years, they have substantially increased their net worth through business sales, the entry of investment funds into the Portuguese market, and the development of companies in traditional and technology sectors.

It is precisely this combination of domestic economic development and a steady influx of international investors that has made Portugal one of the most dynamic markets for wealthy individuals in Europe.

In our previous article, we reported that Portugal retains its status as the best EU Golden Visa destination in 2026.

Why Do Wealthy Foreigners Choose Portugal?

The growth in the number of ultra-high-net-worth residents in Portugal is driven not by a single factor, but by a combination of economic, political, and social advantages. Despite the gradual phasing out of some government programs for investors, the country remains one of the most attractive places in Europe for preserving capital and relocating.

Experts highlight the following main reasons:

1. High quality of life. Portugal consistently ranks among the safest countries in the world, offering a pleasant climate, modern infrastructure, a well-developed healthcare system, and a high standard of service.

2. Political and economic stability. Membership in the EU and the Eurozone ensures a predictable regulatory environment and access to the single European market.

3. A well-developed luxury real estate market. Demand for premium properties remains high even after changes to immigration laws, while supply in prestigious neighborhoods remains limited.

4. An international lifestyle. Wealthy individuals are increasingly less likely to tie themselves to a single country. Portugal is becoming a second home or a place to live for part of the year for many, thanks to good transportation links and a high standard of living.

At the same time, experts note that the country’s popularity can no longer be explained solely by the Golden Visa program or the Non-Habitual Resident (NHR) tax regime. Conditions have changed significantly in recent years: investments in residential real estate no longer qualify for a Golden Visa, and tax incentives have become less favorable than before.

Despite this, interest in Portugal has not waned. Today, investors are relocating primarily because of the country’s long-term stability, safe living environment, favorable investment climate, and the opportunity to diversify their assets within the European Union. It is precisely these factors that are increasingly becoming decisive when choosing a new place of residence.

We previously reported that Portugal revised its citizenship rules for 2026.

Not Just Foreigners: Who Actually Belongs to the Club of New Millionaires

Despite the widespread belief that foreigners make up the majority of ultra-high-net-worth residents in Portugal, the real picture is much more interesting. According to experts, the significant growth has been driven by Portuguese entrepreneurs, who have substantially increased their net worth in recent years.

Most of them are owners of family-run companies from the northern and central regions of the country. They operate in sectors where Portugal has traditionally been strong:

- Footwear manufacturing

- Textile industry

- Woodworking

- Glass and plastics manufacturing

- Technology companies

- Services

In recent years, international investment funds and large corporations have been actively acquiring successful Portuguese companies. For many owners, this has provided an opportunity to monetize the businesses they have built over decades and join the ranks of those with a net worth exceeding €25 million.

Experts note that entrepreneurs aged 50–60 are particularly active in selling their companies. Some of them are exiting the business entirely, while others remain minority shareholders or executives after the deal is closed.

After selling their companies, these new millionaires face a different set of challenges: effectively managing large amounts of capital, protecting it, investing, tax planning, and transferring assets to the next generation. This is precisely why the services of family offices, investment advisors, and estate planning specialists are becoming increasingly important.

According to market participants, the emergence of a new generation of wealthy Portuguese entrepreneurs has been one of the key factors behind the rapid growth in the number of ultra-high-net-worth individuals in the country. This indicates that Portugal’s economic growth today is driven not only by an influx of foreign capital but also by the development of local businesses.

In our previous article, we reported that Portugal continues to attract new residents to the country’s sparsely populated regions under the Emprego Interior MAIS program.

Private Equity, Business Sales, and New Wealth

One of the main drivers of rising prosperity in Portugal has been the active entry of international private equity funds into the market. Investment firms are increasingly acquiring successful Portuguese companies or stakes in them, helping businesses scale up and enter new markets.

As Euronews notes, company owners are increasingly viewing the sale of a business not as a forced move, but as an opportunity to lock in its value after years of development. Some entrepreneurs sell only a stake in the company to raise capital for further growth, while others exit the business entirely.

A prime example is the owner of a bakery company in central Portugal, who received approximately €100 million after selling the business to a French group. Such deals are increasingly common not only in the manufacturing sector but also in the service sector.

The consolidation process is currently underway in various sectors of the economy:

- Manufacturing

- The technology sector

- Funeral service networks

- The legal sector

It is precisely these deals that are creating a new generation of wealthy entrepreneurs who, after selling their companies, invest their funds in real estate, financial assets, or international projects. This process has become one of the key factors driving the increase in the number of people with a net worth exceeding €25 million in Portugal, alongside the influx of foreign investors.

Real estate remains the main magnet for capital

Luxury real estate continues to play a key role in Portugal’s appeal to wealthy investors. Despite changes to the Golden Visa program, demand for premium housing shows no signs of slowing down. According to market participants, buyers are increasingly viewing the country not only as an investment destination but also as a primary or secondary residence.

The greatest interest is traditionally concentrated in several regions:

- Lisbon – for permanent residence and investment;

- Cascais – one of the country’s most prestigious resorts;

- Algarve – popular among international buyers thanks to its climate and coastline;

- Comporta – a destination that has been rapidly gaining popularity among affluent clients in recent years.

Prices for premium real estate in Portugal start at approximately €6,500 per square meter, while prices in the luxury segment can reach €11,000 per square meter or more, depending on the property’s location and features.

The buyer base also remains international. In the luxury and ultra-luxury segments, about 65% of transactions are concluded by foreigners, while approximately 35% of buyers are Portuguese citizens. Among new clients, real estate agents note growing interest from investors in Israel and Turkey, who are increasingly seeking stable markets in which to invest their capital.

The main challenge today is not a lack of demand, but limited supply. The number of truly unique properties in the country’s most prestigious neighborhoods remains small, so high-quality real estate continues to find buyers quickly even as prices rise.

Learn more about real estate prices in Portugal in 2026 by following the link.

Branded Residences: Why Portugal Has Become One of Europe’s Leaders

Branded residences—residential complexes developed in collaboration with renowned international hotel brands—have emerged as a key driver of the luxury real estate market. These properties combine private living with five-star hotel-level services, including concierge services, security, housekeeping, property management, and access to amenities.

According to Savills, Portugal is currently the largest market for branded residences in Europe. The country has approximately 1,200 such properties, which account for 30–50% of the entire luxury residential real estate market.

The popularity of this format stems from changing lifestyles among affluent individuals. Many investors are no longer tied to a single country and live in several jurisdictions throughout the year. Branded residences allow owners to use the property during their stays in Portugal and, at other times, entrust it to professional management.

This is precisely why such projects are in high demand among international buyers, who value not only a prestigious address but also the opportunity to receive full-service management without having to manage the property themselves. The growth of this segment has been yet another factor that has strengthened Portugal’s position as one of the most attractive destinations for wealthy investors in Europe.

In our previous article, we discussed how to legally diversify your finances within jurisdictions not included in the CRS in 2026.

Lisbon and Cascais Compete with Europe’s Most Expensive Markets

The growing interest in Portugal is particularly evident in the luxury real estate market in Lisbon and Cascais. These locations are currently considered among the most prestigious for purchasing residential properties in the country and are increasingly competing with traditional European hubs for luxury real estate.

According to data from the international network Christie’s International Real Estate, Lisbon and Cascais account for over 26% of all premium properties featured in the company’s European portfolio. Cascais ranked second among European markets in terms of the number of luxury properties listed, ahead of cities such as London and Madrid.

Experts attribute this popularity to a combination of several factors:

- Proximity to the Atlantic Ocean

- Well-developed infrastructure

- High level of security

- International schools and medical facilities

- Convenient transportation links to other European countries

Prices for the most exclusive properties also reflect the scale of demand. For example, one of the nine-bedroom villas in the Guia district near Cascais is listed for sale at approximately €20.4 million.

At the same time, consultants note that it is precisely the shortage of high-quality supply that is driving prices up. Due to the limited number of plots of land in the most prestigious neighborhoods, new projects are emerging relatively slowly, while international demand continues to grow. That is why Lisbon and Cascais remain among Europe’s most attractive locations for affluent buyers seeking real estate both for personal residence and for long-term capital preservation.

In our previous article, we discussed which countries have the highest corporate tax rates and where it is more advantageous to set up a company.

Will Portugal remain a magnet for wealthy investors?

Despite the gradual phasing out of certain tax incentives and changes to the Golden Visa program, experts do not expect interest in Portugal to wane. On the contrary, Knight Frank’s forecast indicates that by 2031, the number of people with a net worth exceeding €25 million in the country will rise to 2,452.

Analysts explain that today, the decision to relocate is increasingly rarely based solely on tax advantages. For wealthy individuals, political stability, security, a high quality of life, access to the European market, and the opportunity to invest in liquid assets have become far more important.

At the same time, Portugal continues to benefit from a combination of several factors:

- A stable economy and EU membership

- The active development of the luxury real estate market

- An influx of international capital

- The emergence of a new generation of wealthy Portuguese entrepreneurs

- High demand for premium residential projects

It is precisely this combination of advantages that has enabled the country to become one of the most dynamic hubs for private capital in Europe. If current trends continue, Portugal will remain one of the most attractive destinations for international investors, entrepreneurs, and individuals seeking a safe place to live and preserve their assets over the long term.

Investments, opening a company in another country, remote launch of a representative office or team relocation require a clear legal strategy. A personal business lawyer accompanies the entire process: from choosing a jurisdiction and tax model to visa processing and asset protection.

Engage a personal business lawyer and ensure safe relocation and development of your company abroad!

We remind you! Are you planning to invest in real estate under the Golden Visa program? We have already told you which programs in 2025 have become the most profitable for investors. The article compares the UAE, Greece, Turkey, Latvia and Asian countries, the real return on real estate and key risks that should be considered before investing.