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Andorra residency by investment requires placing EUR 1,000,000 in Andorran assets, or EUR 400,000 through the National Housing Fund, plus a non-refundable AFA payment of EUR 50,000. It grants passive residency with a 90-day annual stay and a 10% tax cap, not Schengen access or a fast passport.

What Is Andorra Residency by Investment?

It is the passive-residency route, sometimes called the Andorra Golden Visa, that grants residency to non-working investors who place significant capital in Andorran assets. It is aimed at high-net-worth individuals who want a low-tax European base and can live on income from outside Andorra.

The defining feature is that it is an investment decision as much as an immigration one. Unlike a fee-only golden visa, most of what you commit is recoverable capital held in assets you own, not money spent. That distinction, and the 2026 reforms that reshaped the numbers, is what this guide focuses on. For the wider picture of living in Andorra, its tax system, and the path to citizenship, see our Andorra residency guide; here we concentrate on the investment itself.

How Much Do You Need to Invest in 2026?

The qualifying investment is EUR 1,000,000 in Andorran assets under the standard route, or EUR 400,000 through the National Housing Fund. Both figures are set by the Omnibus 2 Law (Law 2/2026), in force February 13, 2026, which raised the standard threshold from the previous EUR 600,000.

On top of the investment sits a mandatory payment to the Autoritat Financera Andorrana (AFA) of EUR 50,000 for the main applicant plus EUR 12,000 per dependent. The single most important change in 2026: this payment used to be a refundable bond and is now non-refundable. Any guide still describing the deposit as returnable, or the threshold as EUR 400,000 or EUR 600,000 across the board, is out of date. The reduced EUR 400,000 figure applies only to the housing-fund route.

Which Assets Qualify for the Investment?

The EUR 1,000,000 can be met across several asset classes, and the mix you choose has real consequences for cost, liquidity, and risk. The table sets out the qualifying options before we weigh them.

Two points matter most when choosing. Real estate is tangible and usable but the most heavily taxed on entry, since each qualifying unit must exceed EUR 800,000 and now attracts both the transfer tax and the foreign-buyer tax. The housing fund is the only way to cut the threshold to EUR 400,000, which makes it the entry point of choice for many applicants who do not need to own property outright. Public debt and AFA deposits are the simplest but tie up capital at low return, while company shares link residency to a live business that carries its own due diligence.

What Is the EUR 400,000 Housing Fund Route?

It is the only reduced-threshold path into passive residency. By investing EUR 400,000 in the Fons d'Habitatge, Andorra's social housing fund structured as a SICAV, an applicant qualifies at well under half the standard million-euro requirement.

The route exists because Andorra wants investment channeled into housing supply, which is under pressure from exactly the kind of wealth migration this program attracts. For the investor, the appeal is obvious: a far lower capital commitment for the same residency outcome. The trade-off is that the money sits in a specific fund rather than an asset you directly control or use, and the AFA payment, income requirement, insurance, and all other conditions still apply on top. For many applicants who want the residency and the tax base rather than an Andorran property, it is the most efficient entry point.

What Does It Actually Cost?

The headline investment is only part of the budget, and the recoverable and non-recoverable parts should be counted separately. The table breaks down the full cost stack.

The distinction that trips people up is recoverability. The EUR 1,000,000 (or EUR 400,000) is your capital, held in assets you can eventually sell, so it is committed rather than consumed. The AFA payment, professional fees, insurance, and any property taxes are true costs that do not come back. Treating the whole figure as a sunk expense overstates the real cost, while treating the AFA payment as recoverable, as older guides did, understates it.

How Does Active Residency Compare as an Investment?

For entrepreneurs, active residency can be far cheaper than the passive investment route, but it is a different commitment. It carries no EUR 1,000,000 threshold; instead it requires running a genuine Andorran business, owning at least 10% of it, and living in Andorra at least 183 days a year.

The self-employed active route requires a refundable government bond of about EUR 15,000, a fraction of the passive investment. The upside is structural: an Andorran company pays a flat 10% corporate tax, and dividends to resident shareholders are exempt, so total tax on business profit is capped at around 10%. The cost is a real 183-day presence and the work of operating a live business. So the choice is not simply which is cheaper; it is whether you want a passive capital placement with a light 90-day stay, or an active business life in Andorra with a much lower entry cost. Our Andorra company registration guide covers the active-business path in detail.

How Do You Apply Step by Step?

The process is orderly and, for the passive investment route, mostly about assembling documents, opening banking, and completing the investment. Expect roughly 2 to 3 months from a complete file to approval.

• Prepare documents: passport, criminal record, proof of means, health insurance, and the source-of-funds file, translated into Catalan and apostilled.
• Open an Andorran bank account to hold the investment, passing the bank's due diligence and source-of-funds review.
• Submit the application in person to the Andorra Immigration Service, with an interview where required.
• Complete the medical examination required for residency.
• Complete the qualifying investment and the AFA payment within six months of approval.
• Receive the residence permit, then renew it on the staged ladder toward long-term residency.

Because passive residency is capped by an annual quota, set at 163 places for 2026 under Decree 74/2026, applying early in the year is wise. The banking and source-of-funds step is usually the critical path, so start it first.

What Are the Requirements and Documents?

Beyond the investment, every applicant must clear the same core requirements: a clean criminal record, proof of financial means, private health insurance, an Andorran address, and evidence of the qualifying investment. The source-of-funds file is the part that decides most applications.

• Valid passport for every applicant and dependent.
• Criminal-record certificate issued within the last three months, apostilled.
• Proof of accommodation in Andorra, owned or rented.
• Proof of financial means and the source of the investment funds.
• Private health insurance valid in Andorra.
• Evidence of the qualifying investment and the AFA payment.
• Marriage and birth certificates for dependents, translated into Catalan.

All foreign documents must be translated into Catalan, Andorra's official language, and legalized or apostilled. Because Andorra reports under the CRS and is not a secrecy jurisdiction, expect the source-of-funds review to be rigorous; a thin file is the most common cause of delay.

What Does the Investment Route Not Give You?

Being clear about the limits is as important as the benefits, because outdated guides oversell this program. Andorra residency by investment does not give Schengen access: Andorra is outside the EU and the Schengen Area, so residents move freely into France and Spain but not automatically across the wider zone.

It does not offer banking secrecy: Andorra exchanges account information under the CRS since 2018 and is not on any EU or OECD blacklist. It is not a fast passport: citizenship takes 20 years and generally requires renouncing your current nationality, and Andorra does not usually allow dual nationality. And the low tax is not automatic; capturing it requires becoming a genuine Andorran tax resident, which the 90-day passive stay alone does not achieve. What the route does deliver is a stable, safe, low-tax European base, which for the right investor is exactly the point. The tax mechanics are covered in our Andorra taxes guide.

What Are the Common Mistakes to Avoid?

Most problems come from relying on pre-2026 figures or from misreading what the program offers. These are the errors we see most often.

• Using the old EUR 600,000 or a flat EUR 400,000 threshold. It is EUR 1,000,000 standard, EUR 400,000 only via the housing fund.
• Assuming the AFA payment is refundable. It is now a non-refundable EUR 50,000 plus EUR 12,000 per dependent.
• Believing the permit gives Schengen access. It grants free movement only into France and Spain.
• Expecting banking secrecy. Andorra reports under the CRS to more than 100 jurisdictions.
• Treating a 90-day stay as automatic tax residency. It usually is not.
• Underestimating property taxes. Real-estate routes carry the transfer tax plus a 3% to 10% foreign-buyer tax.
• Leaving banking and source-of-funds to the last minute, when it is the slowest step.

Sergey Voinich, Founder and Managing Partner at Â鶹ԭ´´, notes: "The investors who do well with Andorra treat it as an asset allocation with a residency benefit, not a fee they pay to get a card. They plan the source-of-funds file first, pick the asset mix deliberately, and go in knowing the AFA payment is gone for good. The ones who struggle arrived with a number from a 2023 article."

Frequently Asked Questions

How Much Is the Andorra Investment in 2026?

The qualifying investment is EUR 1,000,000 in Andorran assets, or EUR 400,000 through the National Housing Fund, since the Omnibus 2 Law took effect on February 13, 2026. A separate non-refundable AFA payment of EUR 50,000 plus EUR 12,000 per dependent applies. Real-estate routes require each unit to exceed EUR 800,000.

Is the Investment Refundable?

The qualifying investment is recoverable when you sell the underlying asset, such as property, shares, or bonds. The separate AFA payment of EUR 50,000 plus EUR 12,000 per dependent is not refundable; the 2026 reform changed it from a returnable bond into a permanent cost. Budget the recoverable and non-recoverable parts differently.

Does It Lead to Citizenship?

Only over the long term. The investment route grants passive residency, not citizenship. Andorran citizenship generally requires 20 years of continuous residence, and Andorra does not permit dual nationality in most cases, so naturalizing usually means renouncing your current passport. Treat this as a residency and tax route, not a fast second-passport program.

Does It Give Schengen Access?

No. Andorra is outside the EU and the Schengen Area, so the permit does not grant Schengen-wide travel. Residents move freely into France and Spain under bilateral arrangements, but travel deeper into Schengen depends on your underlying nationality. If borderless European travel is the goal, an EU golden visa fits better than Andorra.

What Is the Cheapest Way In?

The EUR 400,000 National Housing Fund route is the lowest-capital path to passive residency, well under the standard EUR 1,000,000. For entrepreneurs, active residency through a self-employed business needs only a roughly EUR 15,000 bond, though it requires running a real Andorran company and staying 183 days a year rather than 90.

How Long Does Approval Take?

About 2 to 3 months from a complete submission to approval, with full relocation often running 3 to 6 months. The slowest steps are usually opening Andorran banking and clearing the source-of-funds review, plus translating and apostilling documents into Catalan. The qualifying investment must be completed within six months of approval.

How Â鶹ԭ´´ Helps

Â鶹ԭ´´ advisors focus on the investment side of the Andorra decision: confirming the current EUR 1,000,000 or EUR 400,000 thresholds against your goals, structuring the qualifying-asset mix, preparing the source-of-funds file to the standard Andorran banks expect, and sequencing banking, the AFA payment, and the application so nothing stalls. Where Andorra is one option among European golden visas, we compare it honestly against alternatives such as the Portugal Golden Visa, and we connect the investment to the wider picture in our Andorra residency guide so the decision is made on current facts.