Recently, more and more people are considering obtaining eu citizenship through investment programs. The motives are varied, from better visa-free travel, employment opportunities, lifestyle, education, and healthcare, to a plan B exit strategy. Among all the european countries that offer these schemes, some are much more affordable than others. In this article, we will explore the most cost-effective options to gain eu citizenship through investment based on insights from Reddit discussions.
Bulgaria and Montenegro offer the cheapest eu citizenship programs
According to many Reddit users, Bulgaria and Montenegro currently have the most affordable citizenship by investment programs in europe. Bulgaria requires around €511,000 of real estate investment with no residency requirement. Montenegro’s program can cost as low as €250,000 for a non-refundable donation to the government. Both countries are members of the EU, so their passports convey full EU citizenship rights.
Real estate investment options in low cost cities
Within the eligible investment options in Bulgaria and Montenegro, savvy investors recommend looking for undervalued real estate opportunities in lower cost cities, instead of only focusing on the expensive capital cities. Smaller cities like Burgas, Plovdiv, Varna in Bulgaria or Budva, Bar, Herceg Novi in Montenegro can help drive down the total investment amount substantially while still qualifying for the passport.
Additional costs like application fees and due diligence
While the base investment threshold may seem low, investors should also budget for government processing fees, due diligence fees, and professional service fees. These items can add €50,000 or more to the total outlay. Stamp duties and taxes on property purchase also apply. Investors should crunch the numbers carefully with professional advisors.
Look into co-investment options to split costs
Some programs allow co-investment with family members so you can essentially share the investment and fees. Up to 5 or 6 family members can apply together in Bulgaria for instance. This co-application strategy can help reduce the overall cash outflow per person. But you need to trust your co-investors completely when entering into these long-term obligations.
Leverage loans to finance part of the investment amount
Investors who lack sufficient cash on hand could potentially leverage bank financing to fund parts of the investment, such as the real estate purchase. This allows you to minimize the upfront equity needed. However banks will conduct strict background checks, so leverage options are more accessible to high net worth individuals with solid credit profiles.
In conclusion, Bulgaria and Montenegro currently offer the most affordable routes to EU citizenship through investment, with minimum thresholds around €250,000-€500,000. Savvy investors can further reduce costs by choosing lower cost real estate in smaller cities, co-investing with family, and utilizing bank leverage. But one should budget for additional fees and professional advice.