Introduction: Why Second Residence in Paraguay Is One of the Smartest Global Moves Today
Are you looking for a legal, affordable, and flexible way to obtain a second residence in South America?
Paraguay has quietly emerged as one of the most strategic residency destinations in the world — especially for global citizens, entrepreneurs, digital nomads, investors, and individuals seeking a reliable Plan B.
In this ultimate expert guide, you will learn everything you need to know about obtaining a second residence in Paraguay, including:
- The legal framework and residency options
- Step-by-step application processes
- Temporary vs permanent residency explained
- Tax residency advantages and territorial taxation
- Investment-based fast-track residency
- The path from residency to Paraguayan citizenship
With no minimum stay requirements, low bureaucracy, territorial taxation, and a realistic route to a second passport, Paraguay offers a rare combination of freedom, simplicity, and long-term security.
Why Choose Paraguay for a Second Residence in Paraguay?
Paraguay, located in the geographical heart of South America, is increasingly recognized as one of the most underrated yet powerful second residency jurisdictions globally.
With a population of over 7 million, political stability, a pro-business government, and investor-friendly laws, Paraguay offers far more than lifestyle appeal — it offers structural advantages.
1. High Quality of Life at a Very Low Cost
One of the strongest arguments for obtaining second residency in Paraguay is the exceptionally low cost of livingcombined with a comfortable standard of life.
Residents benefit from:
- Affordable real estate (both rentals and purchases)
- Low private healthcare costs with modern clinics
- Inexpensive transportation and utilities
- High food quality at minimal prices
- A calm, family-oriented social environment
For retirees, digital nomads, and long-term investors, Paraguay allows you to reduce living expenses dramatically without sacrificing comfort.
2. Extremely Flexible Residency Requirements
Paraguay offers some of the most flexible immigration laws in Latin America.
Key advantages include:
- No mandatory full-time residence requirement
- No minimum number of days per year to maintain residency
- Simple renewals and clear legal framework
After obtaining permanent residency, you are only required to enter Paraguay once every three years to maintain your status.
After three years of permanent residency, you may become eligible to apply for Paraguayan citizenship.
3. Paraguay’s Territorial Tax System Explained
One of the most attractive reasons to secure residence in Paraguay is its territorial taxation model.
This means:
- Foreign-sourced income is NOT taxed
- Only income generated inside Paraguay is taxable
- No worldwide income reporting obligations
For globally mobile individuals, this creates legal tax efficiency without aggressive structures.
4. Strong Investment and Growth Potential
Paraguay is among the fastest-growing and most stable economies in South America.
Key investment sectors include:
- Residential and commercial real estate
- Agriculture and agribusiness
- Manufacturing and logistics
- Export-oriented businesses
With low operating costs and minimal red tape, Paraguay offers real, tangible upside for long-term investors.
How to Acquire Temporary Residency in Paraguay
If you intend to stay in Paraguay beyond the tourist visa period, temporary residency is the logical first step.
Overview of Temporary Residency
- Initially granted for 1 year
- Renewable up to 5 additional years
- Total of up to 6 years before permanent residency
- Allows legal residence, work, and business activity
Temporary residency is often used as a strategic stepping stone toward permanent residence or citizenship.
Who Should Apply for Temporary Residency?
Temporary residency in Paraguay is ideal for:
- Digital nomads and remote workers
- Entrepreneurs and startup founders
- Investors exploring local opportunities
- Expats planning long-term relocation
- Individuals preparing for permanent residency
Required Documents for Temporary Residence in Paraguay
Core Documentation (Applies to All Applicants)
- Valid passport with Paraguayan entry stamp
- Criminal background check from country of origin (apostilled/legalized)
- Birth certificate (apostilled/legalized)
- Marriage certificate / divorce decree (if applicable)
- Medical certificate issued in Paraguay
- Certificate of Life and Residence from local police
- Proof of address in Paraguay
All foreign documents must be properly legalized and translated into Spanish where required.
Residence by Investment in Paraguay (Fast-Track Option)
For applicants seeking speed and simplicity, Paraguay offers a residency-by-investment pathway that leads directly to permanent residency.
Investment Options
- Establishing a Paraguayan company
- Capital investment starting from USD 70,000
- Investment may be contributed over up to 10 years
The investment becomes registered share capital, not a donation or sunk cost.
SUACE Fast-Track Residency Explained
Through Paraguay’s SUACE system (Unified System for Opening and Closing Companies):
- Permanent residency approval can take as little as 20 business days
- One of the fastest legal residency approvals in South America
- Ideal for entrepreneurs and investors
Relocating Your Tax Residence to Paraguay
Obtaining tax residency in Paraguay is straightforward and transparent.
Key Tax Advantages
- No CFC rules
- No wealth tax
- No inheritance or gift tax
- No tax on foreign income
- Flat 10% tax on local personal and corporate income
- Real estate tax approx. 1% of cadastral value
In practice, many residents with foreign income legally pay zero income tax.
Tax Compliance Made Simple
To become tax resident:
- Obtain a RUC (Registro Único del Contribuyente)
- Use Paraguay’s online tax platform Marangatu
- File monthly declarations (zero if no local income)
No foreign income reporting = no complexity.
Permanent Residency in Paraguay and Citizenship Path
One of Paraguay’s most unique advantages is the realistic path from residency to citizenship.
Timeline Overview
- Temporary residency → Permanent residency
- After 3 years of permanent residency, you may apply for citizenship
Does Paraguay Allow Dual Citizenship?
Yes. Paraguay allows dual citizenship, meaning you can retain your original nationality.
However, your home country’s laws should always be reviewed individually.
Benefits of a Paraguayan Passport
A Paraguayan passport offers:
- Visa-free or visa-on-arrival access to 140+ countries
- Freedom of movement within Mercosur
- Political neutrality and financial stability
- Long-term global mobility advantages
Citizenship Requirements
- Physical presence approx. 183 days per year
- Basic Spanish language proficiency
- Basic knowledge of Paraguayan history and culture
Compared to other countries, these requirements are highly reasonable.
Strategic Global Planning with Get Residency Paraguay
We have helped 100+ entrepreneurs, investors, and high-net-worth individuals:
- Secure second residences
- Optimize tax structures legally
- Obtain second passports
- Protect assets across jurisdictions
Our approach is multi-jurisdictional, legal, and long-term focused.
Paraguay Second Residence – Frequently Asked Questions (FAQ)
What are the requirements for a second residence in Paraguay?
Applicants must provide standard documentation, including a valid passport, a clean criminal record, proof of address, a medical certificate, and evidence of financial solvency or qualifying investment.
How long does the process take?
The standard residency route typically takes 3–6 months.
The investment route via SUACE can be completed in approximately 20 business days.
Can I work or run a business with Paraguayan residency?
Yes. Legal residency in Paraguay allows full economic activity, including employment, self-employment, and business ownership.
Can my family apply together with me?
Yes. Paraguay supports family reunification. Spouses and dependent children can apply under the main applicant.
Is Paraguay suitable for tax residency?
Yes. Paraguay operates a territorial tax system, meaning foreign-sourced income is not taxed locally. This makes it one of the most tax-efficient jurisdictions for international residents.
Is Second Residence in Paraguay the Right Choice for You?
If you value legal tax efficiency, global mobility, and long-term financial and personal security, a second residence in Paraguay deserves serious consideration.
This is not a speculative or lifestyle-driven decision. Paraguay offers a structurally sound residency framework built on territorial taxation, low living costs, minimal bureaucracy, and a clear legal path toward permanent residency and citizenship.
For entrepreneurs, investors, and internationally mobile individuals seeking a reliable Plan B — without excessive compliance, forced relocation, or global income taxation — second residence in Paraguay represents not merely an alternative, but a strategic upgrade aligned with long-term freedom and stability.
Work With Get Residency Paraguay
Are you looking for the easiest and most affordable way to secure a second residence in South America?
Paraguay is rapidly becoming one of the top jurisdictions for global citizens, offering one of the most accessible, flexible, and tax-efficient residency programs in the world — and Get Residency Paraguay is your trusted partner throughout the entire process.
In this guide, you’ve learned how a second residence in Paraguay can unlock powerful advantages, from territorial taxation and low cost of living, to long-term investment potential and a realistic path to permanent residency and citizenship.
Whether you are a digital nomad, entrepreneur, international investor, or simply planning a secure Plan B, we provide end-to-end legal and strategic support, including:
- Residency and immigration strategy
- Tax residency planning and compliance
- Investment-based fast-track options
- Family applications and long-term structuring
- Citizenship planning and global mobility strategy
With no minimum stay requirements, clear legal pathways, and one of the most favorable tax environments in the region, Paraguay offers a rare combination of freedom, privacy, and opportunity.
📩 Ready to take the next step?
Contact Get Residency Paraguay today and let us design a personalized residency and tax strategy tailored to your goals.
Legally go where you’re treated best — starting with Paraguay.
Leave a Reply