Picture this: a tropical paradise with stunning beaches, vibrant cities, and endless investment opportunities. Sounds too good to be true? Welcome to Colombia.
After nearly three years of researching and comparing the average cost of living and real estate prices across countries in South America, I can confidently say that Colombia stands out as a top contender for foreign investors. Additionally, I can attest to the warmth and hospitality of the Colombian people, and I believe that this country has immense potential for growth and success.
I have been intrigued by the opportunities that Colombia has to offer, especially in our current city Cali.
Cali is a lively city situated in the southwest region of Colombia, celebrated for its passionate salsa music and dance scene. As the third largest city in the country, Cali has a diverse population and a rich cultural heritage. With its warm climate, welcoming locals, and a unique blend of tradition and modernity, Cali is a must-visit destination for anyone traveling to Colombia. Moreover, Cali’s expanding real estate market and low cost of living make it an attractive destination.
Whether you’re looking to invest in real estate or start your own business, Colombia has different investment visas available to foreign nationals who are willing to take the plunge.
To start off, there are various visas out there to obtain a residence permit in Colombia.
Visas for Colombia
|Investment Visa||Available to foreign nationals who invest in real estate or businesses in Colombia.|
|Retirement Visa||Available to foreign nationals who are retired and have a stable pension or retirement income.|
|Marriage Visa||Available to foreign nationals who are married to a Colombian citizen or permanent resident.|
(Parent of a Colombian national)
|Available to foreign nationals who are the parent of a Colombian national and can demonstrate financial support for themselves and their child.|
|Student Visa||Available to foreign nationals who are enrolled in an academic program at a recognized Colombian institution.|
|Work Visa||Available to foreign nationals who have a job offer from a Colombian employer.|
|Special Stay Visa for Peace Process||Available to foreign nationals who are participating in Colombia’s peace process.|
|Refugee Visa||Available to foreign nationals who have fled their home country due to persecution, war, or other dangers.|
|Beneficiary Visa||Available to foreign nationals who are the spouse or dependent of a Colombian citizen.|
|Remote Worker Visa
(Digital Nomad Visa)
|Available to foreign nationals who work remotely for foreign companies or as freelancers for clients outside of Colombia.|
While there are various ways to acquire permanent residency in Colombia, let’s take a closer look at the real estate investment visas.
Colombia’s Real Estate Investment Visas
If you’re interested in investing in real estate, the Real Estate Property Investment Visa may be the perfect choice for you. Some people might refer to it as the Real Estate Visa or the Property Investment Visa.
To be eligible for this visa, you must purchase a property in Colombia with a minimum value of 350 times the monthly minimum wage in the country, which is currently around 450 million Colombian pesos (approximately $85,000 USD*). With this minimum investment of around $85,000 USD, you can purchase a property in Colombia and live and work there for up to three years.
Alternatively, if you’re looking to make a larger investment in a Colombian business or real estate, the Residency Visa for Large Investments in Businesses or Real Estate may be a better fit. People also call it the Investor Visa or the Business Investment Visa.
Hence, this Investor Visa is a type of visa that is granted to foreign nationals who make a significant investment in a Colombian business or real estate. It requires a minimum investment of 650 times the monthly minimum wage, which is currently around 845 million Colombian pesos (approximately $180,000 USD*). Thus, with a minimum investment of around $180,000 USD, you can invest in any sector of the economy and live and work in Colombia for up to five years.
What is the difference between Real Estate Visa and Investor Visa?
|Visa Type||Purpose||Min. Investment||Validity||Max. Absence Allowed||Pathway to Residency|
|Real Estate Property Investment Visa
(Real Estate Visa)
|Invest in Colombian real estate||350 x monthly minimum wage (approx. $85,000 USD*)
*subject to change
|Up to 3 years, renewable||180 days per year||Apply for permanent residency after 2 years, meeting property ownership requirements|
|Residency Visa for Large Investments in Businesses or Real Estate
|Invest in Colombian business / real estate||650 x monthly minimum wage (approx. $180,000 USD*)
*subject to change
|Up to 5 years, renewable||2 years out of 5 years||Apply for permanent residency after 5 years, meeting investment and economic impact requirements|
Prices are subject to change. Information provided without guarantee.
*While I was researching these two visas, I came across multiple websites stating contradicting information. Mostly the information differed regarding the amount required to invest. So be aware that the amount you need to invest will differ due to inflation and currency fluctuations.
If you’re unsure about the equivalent USD amount of the minimum monthly wages for a visa or residency program in Colombia, I recommend to conduct a Google search for the 350 and 650 minimum monthly wage rates, respectively.
In conclusion, the Real Estate Property Investment Visa is specifically for those who invest in real estate property, while the Residency Visa for Large Investments in Businesses or Real Estate is for those who invest in a business or real estate and make a larger investment amount. Both visas allow foreign nationals to live and work in Colombia, but they have different investment requirements and purposes.
How long do I need to stay in Colombia to keep my Residence Status?
As far as I could find out, for the Real Estate Visa (up to three years), you must not be absent from Colombia for more than 180 days in a year to maintain your status as a legal permanent resident. On the other hand, for the Investor Visa (up to five years), you should not be absent from the country for a period of over 2 years to maintain your status as a legal permanent resident.
Of course, the investment visa process can be complex and overwhelming, which is why it’s important to seek professional guidance.
The 180-Day Rule
Once you are a permanent resident, be aware that in order to maintain permanent residency in Colombia, you must spend at least 180 days in the country each year. This requirement ensures that those who hold permanent residency are actively living and contributing to the country.
In contrast, Paraguay (where I acquired an additional permanent residency) doesn’t follow that rule. Therefore, you may leave the country for several years without losing your resident status. If you want to know more about Paraguay, check out this video.)
So in Colombia, if you are unable to meet the 180-day requirement in a given year, it may result in the loss of permanent residency status.
How to make Passive Income with your Real Estate Investment
If you’re looking for ways to invest your money and earn passive income, investing in real estate can be a great option. I recently spoke with the real estate agent Daniel Zambrano who shared valuable insights about the Colombian market. He revealed the incredibly low prices of buying and renting in Colombia and how to earn passive income through real estate investments.
During the interview, we discussed the current trends in Cali, a growing city with a booming real estate market. Even though its prices are increasing, the prices for buying and renting are still affordable compared to other major cities in the region.
Learn how to make passive income with three three simple steps:
Daniel Zambrano also shared some tips on how to make the most out of your real estate investments, including how to find the right properties and manage them effectively. Last but not least, we discussed the potential risks involved in investing in real estate and how to mitigate them. Overall, the interview provided valuable information for anyone interested in investing in real estate in Colombia, either for passive income or to obtain a visa.
Find out more about the benefits, risks, and opportunities of investing in Colombian real estate:
(Find contact details of Daniel Zambrano below.)
Best Place to buy Property in Colombia?
For those seeking a high quality of living at an affordable cost, Cali offers great value. With its pleasant climate, vibrant culture, and relatively low cost of living, Cali is becoming an increasingly popular destination for expats and retirees seeking a comfortable lifestyle without breaking the bank.
In Cali, you can enjoy a variety of amenities such as excellent healthcare, a lively nightlife, and delicious local cuisine, all while paying a fraction of the cost of comparable cities in North America or Europe. Whether you’re looking to retire, start a business, or simply enjoy a change of scenery, Cali’s value proposition is hard to beat.
In conclusion, Colombia is a country that offers a wealth of opportunities for foreign investors. With its welcoming culture and stunning landscapes, it’s no wonder that so many people are drawn to this vibrant country. Whether you’re interested in real estate, business, or simply exploring a new culture, Colombia has something to offer everyone. So why not take the plunge and start your investment journey today?
If you want to know more about life as a perpetual traveler, feel free to contact me!
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