Portugal today has 725 more ultra-wealthy residents than it did five years ago. But who are these people? Where does their wealth come from? And why do they keep choosing Portugal as a place to live and invest?
According to a recent study by British firm Knight Frank, the Prime International Residential Index (PIRI), the number of ultra-wealthy individuals — people with a net worth of at least €25mn (known as ultra-high-net-worth individuals, or UHNWIs) — has risen in Portugal by almost 50% over the past five years.
In 2021, Portugal had 1,462 ultra-wealthy individuals. By 2026, according to Knight Frank’s estimates, that figure is expected to reach 2,187.
It is widely acknowledged that a significant share of these ultra-wealthy individuals are foreigners who have chosen Portugal to live or invest in for a range of reasons.
Beyond its quality of life, climate, safety and lifestyle, Portugal initially became attractive thanks to tax incentives introduced in recent years, such as golden visas and the Non-Habitual Resident (NHR) regime.
Created in 2009, the NHR scheme granted tax benefits for 10 years to attract highly skilled professionals and foreign pensioners. It now applies only to certain scientific and highly qualified activities.
As for golden visas, buying property is no longer an eligible route to obtaining residency under the programme.
According to the Knight Frank study, these changes may dampen international demand, but are unlikely to eliminate it.
The ultra-wealthy are not all foreigners
Among those with assets worth more than €25mn ($30mn in Knight Frank’s report) are many Portuguese, especially business owners.
“Someone with this level of wealth is mainly concerned with protecting their assets, tax planning and succession,” Helena Seruca, co-ordinating director of private banking at Banco Carregosa, told Euronews.
Banco Carregosa is a Portuguese financial institution specialising in wealth management for high-net-worth clients. Its core client profile is the Portuguese entrepreneur from northern and central Portugal, linked to industrial sectors such as footwear, textiles, glass, plastics or wood, but also to new technologies and services.
The increase in UHNWIs over the last five years does not surprise Helena Seruca, who points to the post-pandemic period as a turning point in the creation of new wealth. “Especially since the post-COVID period, we have seen these clients’ assets grow following the sale of companies,” she explains.
In an interview with Euronews, Seruca said the massive inflow of private equity into companies has left many entrepreneurs with very substantial amounts of cash.
Private equity and foreign wealth drive new fortunes
Private equity funds, which invest in unlisted companies to increase their value over the medium to long term, have gained a strong foothold in Portugal in recent years, helping create a new generation of ultra-wealthy entrepreneurs.
Many business owners sell stakes in their companies to finance expansion or to enter new markets without using their own capital.
“A private equity deal essentially means taking a position in a company through a venture capital fund, which may or may not get involved in management. It all depends on the stake acquired and the investor’s ambitions,” explains Bruno Minoya Perez, head of Private Banking at Banco Carregosa.
The ageing of business owners has also accelerated outright company sales. “There are people in their 50s or 60s who no longer want to run the business themselves, or who receive very attractive offers and decide to sell. In the last five years, there have been many such deals,” he says.
Perez points to the sale of a bakery company in central Portugal to a major French group as one example. “That entrepreneur suddenly received €100mn,” he says, illustrating how a single deal can be enough to propel someone onto the ultra-wealthy list. He says similar consolidation has taken place in sectors including funeral services and law firms.
Bruno Perez also highlights similar processes in sectors such as funeral homes and law firms, where larger groups have been buying smaller operators to increase their market share.
Helena Seruca also points to the rise of digital nomads following the pandemic. “We saw many foreigners coming to Portugal to work remotely and, as they grew fond of the country, they ended up settling here. They also tend to be financially secure, entrepreneurial people who go on to create businesses,” she says.
She also highlights growing foreign investment, particularly in real estate and tourism.
Although overseas property investors are not Banco Carregosa’s typical clients, Perez says demand has grown. “Israeli and Turkish clients who invest in Portugal are mainly people involved in real estate in their home countries. They come to Portugal because they see good opportunities to buy and refurbish properties, especially in cities such as Lisbon and Porto,” he explains.
Some ultra-wealthy investors relocate to Portugal, while others buy second homes. According to Perez, the country’s lifestyle also plays a role. “Very wealthy people often come to Portugal just for the weekend, especially to play golf in areas such as Cascais, Comporta and the Algarve. Some arrive by private jet, spend a few days, enjoy the experience and end up buying homes.”
One example is the Terras da Comporta development, centred around a championship golf course that opened in 2023. The project has helped attract international buyers for luxury homes and development plots.
Luxury property cements Portugal’s appeal
A global study by Christie’s International Real Estate, one of the world’s largest luxury property networks, also highlights Portugal’s growing importance in the international luxury housing market.
João Cília, CEO of Porta da Frente Christie’s in Portugal, told Euronews that affluent buyers are increasingly seeking primary residences, second homes and portfolio diversification.
Entry-level high-end homes cost around €6,500 per sq m, while luxury properties typically command around €11,000 per sq m. The ultra-luxury market is concentrated in prime locations including Cascais, central Lisbon, Comporta and the Algarve’s Golden Triangle.
Ultra-luxury is also defined by prime locations, such as Cascais, central Lisbon, Comporta, and the so-called Golden Triangle of the Algarve (Vilamoura, Vale do Lobo and Quinta do Lago).
The broader high-end market is dominated by Portuguese buyers. “If we look at entry-level high-end properties, at the moment 95% of buyers are Portuguese, but if we focus solely on the luxury and ultra-luxury segment, around 65% of buyers are foreign,” Cília says, adding that most are North Americans and Brazilians.
Among ultra-luxury buyers, Portuguese purchasers account for around 35% and are typically entrepreneurs running successful medium-sized companies, although professional footballers also feature.
According to Cília, many foreign buyers now view Portugal as more than a place to live. “These people are increasingly putting down roots in Portugal and are starting to invest here beyond their main residence… they are building up substantial assets in the country, strengthening their ties to Portugal,” he says.
João Cília argues that the end of the Non-Habitual Resident (NHR) tax regime has had less impact than many expected. “Even though it is no longer as tax-competitive as it once was, compared with other European countries we are still managing to keep people here.”
Branded residences add to Portugal’s luxury appeal
Another fast-growing segment is branded residences — homes linked to luxury hotel brands.
According to the report, Portugal is Europe’s leading market for branded residences, with around 1,200 units representing between 30% and 50% of the country’s luxury residential market.
Cília says the model appeals to international buyers who spend long periods abroad. “This option allows them to arrive and enjoy all the amenities of a hotel attached to their flat and, when they leave, to place the property into hotel management, with no effort on their part and the potential to generate income.”
Lisbon and Cascais rival Europe’s top luxury markets
Lisbon and Cascais have become two of Europe’s leading luxury property markets for ultra-high-net-worth buyers.
According to Christie’s, the two locations account for more than 26% of the luxury housing supply it analysed across Europe, with Cascais ranking as the network’s second most represented market, ahead of London and Madrid.
Cília says prices are now competing with Europe’s most expensive markets. One example is a nine-bedroom villa in Guia, Cascais, listed for €20.4mn, above Madrid’s current price ceiling.
Conflict in the Middle East draws investors to Portugal
According to João Cília, the Middle East has become one of the fastest-growing sources of new buyers, particularly Qatar, where recent geopolitical tensions have prompted investors to look for safer destinations.
“Right now they are looking for safer investment alternatives and, the greater the global instability, the more important this market becomes, because it is a euro-denominated market, politically stable, within the European Union and an excellent alternative to more volatile markets,” he says.
However, Cília believes limited supply could constrain future growth. “These kinds of people want a completely different style of construction, in highly privileged areas, and Portugal is not exactly a huge country.”
Portugal’s wealthy population set to keep growing
Knight Frank’s 2025 Prime International Residential Index forecasts that Portugal’s ultra-high-net-worth population will continue to expand, reaching 2,452 people by 2031.
The report says increasingly mobile wealthy individuals — following a so-called “dip-in, dip-out” lifestyle across multiple countries — are helping drive that growth.
For Banco Carregosa’s executives, Portugal’s combination of political stability, quality of life and international appeal continues to attract wealthy residents and investors. Although tax incentives are no longer as generous as they once were, Portugal remains one of Europe’s leading destinations for international wealth and luxury property investment.