Residency Is the New Citizenship: Why the Portugal D7 Visa Is Closing for Americans

Let’s talk about why Portugal’s D7 Visa is quietly becoming one of the smartest residency options for Americans, and why timing matters more than most people realize.

I recently read a CNN article about the global rush for second passports and how George Clooney and his wife acquired French citizenship. Politics aside, I’m not interested in the noise this article is likely to generate.

What I read between the lines was something much simpler: having a backup plan is no longer extreme, it’s practical. Especially when you look at a few undeniable trends unfolding in the United States today.

Why Americans Are Looking Beyond U.S. Citizenship

Political Chaos

Political instability has been steadily increasing, and it’s one of the main reasons I began exploring alternatives. Like many Americans, I managed to get through one turbulent presidential term without too much disruption. But when the possibility of a second term became real, I shifted into full research mode.

I wasn’t looking to “escape” anything, I was looking to reduce uncertainty and stress in my daily life.

Housing Costs

Housing costs in the U.S. have reached a point where homeownership feels unattainable for many, myself included. At my age, my income was trending downward, not upward. Add AI’s growing impact on the job market, and the future started to feel increasingly constrained.

I explored places I wanted to live, places that made sense for retirement, quality of life, and proximity to family, but none of them felt financially sustainable.

Healthcare Costs

Healthcare was another major concern. Premiums continue to rise, and even routine medical care has become shockingly expensive. I’ve been fortunate with my health so far, but I’m realistic enough to know that won’t last forever.

I have no interest in paying more for a doctor’s visit than I once paid for a mortgage.

Grocery Prices

Grocery costs were the final tipping point. Years ago, a bag of groceries ran $25–$30. Recently, that same trip cost over $200 for three bags, roughly $66 per bag. What shocked me most wasn’t the price, but how normal it felt.

The Moment I Knew I Needed a Course Correction

I think most Americans can relate to at least one of these pressures, if not all of them. A year ago, as I looked honestly at my future, it became clear that what I was seeing was unsustainable.

That’s when I started researching international residency options. What I discovered surprised me: there are countries that solve most of these problems simultaneously. Even better, they were places I already loved and could imagine living in long-term.

Why Portugal?

Although I hadn’t spent significant time in Portugal before, several people I trusted encouraged me to look closely. The more I researched, the more it checked every box:

• Political stability

• Affordable housing

• High-quality, accessible healthcare

• Excellent food and lifestyle

That’s when I discovered Portugal’s D7 Visa, often called the Portugal passive income visa. It offers legal residency to financially independent individuals and provides a clear pathway toward permanent residency, and eventually citizenship, if you want it.

The D7 visa also allows unrestricted travel throughout the Schengen Zone, eliminating the frustrating 90-days-in, 90-days-out limitations that kept Europe off my radar for years.

What Is the Portugal D7 Visa?

At its core, the Portugal D7 Visa is a residency program for people with passive or stable income. It’s particularly popular with retirees, remote earners, and Americans seeking long-term residency in Portugal.

Here’s how it works in simple terms:

You first apply for a residency visa. Once approved, you receive a residency permit and later a residency ID card. This grants you temporary residency in Portugal.

After five years (though proposed changes may extend this to ten), you can apply for permanent residency. From there, you may apply for Portuguese citizenship, or simply remain a permanent resident.

And here’s the part most people misunderstand:

Citizenship adds voting rights, a Portuguese passport, and a sense of permanence, but residency already gives you nearly everything you need.

Residency First, Citizenship Later (If You Even Want It)

Personally, I don’t see citizenship as essential. I’m perfectly content holding a Portuguese residency card alongside my U.S. passport, which I do not have to give up.

Residency provides:

• Legal right to live in Portugal

• Access to healthcare

• Freedom of movement in Europe

• Long-term stability

For many Americans, that’s more than enough.

Why the Portugal D7 Visa Window Is Narrowing

I’m not writing this to scare anyone. Immigration programs rarely end overnight. Instead, they tighten slowly, through higher income thresholds, longer timelines, and stricter requirements.

In just the past year:

• Portugal D7 visa income requirements increased from €870 to €920 per month

• Citizenship timelines are being discussed for extension from five to ten years

The people who succeed aren’t the ones who panic, they’re the ones who research early and act deliberately. Once everyone agrees it’s time to move, the best opportunities are usually gone.

My Cost Breakdown for Moving to Portugal

I feel incredibly fortunate to have made this move when I did. I’m currently living in Portugal with a two-year residency card, and my next renewal will bring me closer to permanent residency.

Here’s what it cost:

• Under $5,000 total to make the move (excluding relocation expenses)

• €12,000 deposited into a Portuguese bank account to qualify

• That money remains mine and fully accessible, I think of it as a savings account that buys peace of mind

Today, I travel freely throughout Europe without visa concerns and live with far less financial pressure than I did in the U.S.

Is the Portugal D7 Visa Worth It in 2026?

That depends on one question: Do you want a backup plan?

It’s not permanent.

It’s not irreversible.

It’s simply an option.

That’s why I built this website and continue to write articles like this, to share what I learned while searching for a calmer, more sustainable way to live. I found it, and I truly believe others can too.

If this is something you’d like to explore further, I recommend starting with my complete Portugal D7 Visa step-by-step guide, The Portuguese D7 Visa Guide: Mastering the Maze, which explains the entire process clearly and practically.

I hope this post sparks new ideas and encourages creative thinking about your own course correction, and helps you find your own way on an amazing Drift, just like I did.

This article reflects my personal experience applying for and living in Portugal under the D7 visa program.