Residence by Property Investment Program
Foreigners may enjoy the benefits of the hospitable Baltic country, which provides the investor and his family with the opportunity to immigrate upon the purchase of real estate. A Latvian residence permit opens visa-free access to Schengen, is issued almost instantly - from five working days, is valid for five years, can be extended or converted into citizenship. Among the advantages: a relatively low entry threshold and the ability to attract credit money.
Benefits of the program
- €250 thousand amount of minimum investment in real estate
- Credit transaction mortgage allowed
- Property income real estate can be rented out
- From 5 days applications are considered quickly
- For the whole family spouses and children under 18
- Visa-free travel across the EU countries
- Right to live in Latvia Residence permit for 5 years with the possibility of extension
- No restrictions for education, work and business
The official website of the program
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About the Program
A number of amendments were made in 2010 to the Latvian law "On Immigration", which secured the right of property owners to apply for a residence permit. The project turned out to be in demand among the Chinese, Vietnamese and other foreigners who are interested in moving to the European Union.
The conditions of the Latvian program "Residence by investment Program" have changed several times over the years . Basically the requirements have become more strict. The minimum price threshold was raised to € 250 thousand, there has appeared a non-refundable one-off sum of 5% of the price of the object, duties have been introduced for the renewal of the document after five years - € 5 thousand (an installment plan with the first payment of € 1000 is possible).
Despite this, Latvia still offers one of the most affordable ways to move to the European Union based on the purchase of real estate. Especially considering the fact that part of the funds can be borrowed, and the purchased object is allowed to be rented out. There is an important advantage for those who do not intend to spend most of the year in Latvia: the terms of the program do not oblige you to move and change your tax residency.
The first residence permit for purchasing real estate is issued for five years, it can be renewed an unlimited number of times if the property remains in the ownership. After 5 years of legal residence in Latvia, you can get a permanent residence permit, after another five years you will be able to receive a passport. Latvia does not recognize dual citizenship, which means that the first one will have to be abandoned.
Investment Options
- €262 500+
Investments in the capital and major cities
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€250,000 - purchase of one residential or commercial property in the capital and largest cities of Latvia (Jurmala, Adazi, Babite, Baldone, Carnikava, etc.). The cadastral value should be from €80,000.
5% of the property cost (from € 12,500) - one-time government fee.
- €262 500+
Investment in the province
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€250,000 - purchase of up to two real estate objects in small towns and villages of Latvia. The cadastral value of each one should be from €40,000.
5% of the property cost (from € 12,500) - one-time government fee.
In order to participate in the program, you should transfer all funds for real estate by a non-cash method. You may not purchase an object owned by a foreigner without a residence permit or a legal entity that is not registered in the EU, Switzerland or in the Eurozone.
The Latvian program is the only one in the EU that does not prohibit the applicants for an investment residence permit to use loans: part of the funds can be borrowed from a bank. The purchased property is also allowed to be rented out.
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Requirements to the applicants
The spouse and children under 18 can obtain a residence permit together with the investor.
The main requirement is to purchase a property that meets the conditions of the program. The security service also checks whether the foreigner has connections with the political elite, whether he is on the sanctions lists, or whether he is wanted by Interpol. There is no need to pass language tests or tests on the history of the country.Other requirements to the applicants:
- The main applicant should be over 18 years old
- There should be no criminal record
- No debts to the tax service
- Good health (no tuberculosis in the open form and other diseases dangerous to society)
- Sufficient level of wealth (from € 24 thousand per year for a family of three)
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Documents
The documents can be submitted in Latvian, Russian, English, French and German to the Riga Office of Citizenship and Migration Affairs (OCMA).The second option is a Latvian consulate in your country or a territorial office outside Riga.
Officials in the process of considering an application may require additional documents, for example, a resume (in order to track the legality of savings).The term for obtaining a residence permit can be extended up to 6 months in exceptional cases.
Personal documents:
- International passport (valid for at least 6 months) + copies of the title page and all sheets with marks and stamps.
- Original civil passport + copies of personal data and registration page.
- A corresponding application form (can be filled out online).
- Color photo on a white background (3.5 x 4.5).
- Certificate of no criminal background, certified by the competent authority and with an apostille stamp (for foreign citizens over 14 years old).
- Statement of savings (about € 24 thousand per year for a family of three) and confirmation of the source of income (personal income certificates, dividends, etc.).
- Proof of residence in Latvia (lease or sale contract, owner's residence permit).
- A certificate of medical examination and medical insurance policy for a year for each family member (usually provided after the approval of the application).
Proof of investment:
- Bank statement confirming the payment for the property.
- Contract of sale.
- A document confirming the compliance of the market and cadastral value of the property with the conditions of the program (this can be the conclusion of a certified appraiser or an extract from the Cadastre).
- A document confirming the payment of the stamp duty of 5% of the value of the object (only after the approval of the application).
Additional Expenses
- Insurance costs
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From €120 per year and more, depending on the number of family members, health status, age and other parameters.
- Real estate purchase expenses
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The buyer's expenses are 3-5% of the property price.
The legal costs of buying and obtaining a residence permit for a deal with a new building can be covered by developers.
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Rights and Obligations
The Latvian "golden visa" does not impose hard restrictions on the investors. You may work, study and do business freely, travel within the EU or permanently reside in Latvia, have regular vacations on the Baltic Sea and live in your native country most of the year - the choice is for the holder of a residence permit. In order to renew the status, real estate should not be sold.
- The investor has the right to travel without visas to EU countries and stay on their territory for up to 90 days in half a year.
- The investor has the right (not the obligation) to live in Latvia all year round. The residence permit is canceled only for compelling reasons (debts, convictions, violation of the visa regime, etc.).
- The investor is obliged to pay annual taxes on real estate and utilities. Tax arrears over € 150 will cancel the residence permit.
- Real estate can be rented, but not sold if the residence permit is renewed on the same basis.
- Children will be able to study for free in local schools.
- With medical insurance, medical care is guaranteed.
- After 5 years of residence in Latvia with a residence permit, you can apply for permanent residence (in this case, you cannot be absent from Latvia for more than 6 consecutive months or 12 for the entire period).
- After 10 years of residence in Latvia (5 of them - on the basis of permanent residence), you can apply for a passport by naturalization, but you will have to give up your first citizenship.
The procedure of getting residence permit by real estate purchase
