Special Aspects of the Real Estate Market in Estonia
February 24, 2021
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Foreigners can buy apartments in Estonia without restrictions, any number of properties in any part of the country. But there are some prohibitions that apply to non-citizens of the European Union.
The non-citizens cannot buy land, respectively, and private houses built on it, on border territories (the same applies to sea borders), some islands, such as Saaremaa and Hiiumaa, and in the area of Lake Peipus. You can avoid these restrictions by registering the property on a legal entity. However, in this case, the board of directors of the company must necessarily be citizens of the European Union.
There are restrictions on the purchase of agricultural land and forest land by individuals. So, if the plot area exceeds 10 hectares, only EU citizens can buy it.
Housing purchased in Estonia allows you to apply for a Schengen visa for a longer period of time, for instance, until the end of the validity of the passport. But the purchase of real estate does not give the right to obtain a residence permit. For that a foreigner must have a connection with the country such as family, educational or work.
Ownership of real estate in the Republic of Estonia imposes tax obligations on a non-resident. First of all, this applies to the land tax. Its sum consists of such indicators as the size of the property and its location (city and district). On average, it is up to a hundred euros per year.
The income tax on the sale of real estate in Estonia is 20%. A foreign owner, even if he or she is not a resident of the country, is obliged to pay it to the Estonian treasury. If a non-resident has made a profit from the sale of real estate, they are required to submit an income declaration (Form V1).
In Estonia, property that has been used as a permanent or primary residence is exempt from income tax. Again, this exemption appears two years after the previous transaction.
In many old houses for several apartments, such a form of ownership as co-ownership has been preserved. Therefore, when selling one of the apartments, the neighbors have a priority right to buy it, which is valid for three months from the date of the transaction.
During this period, it is better not to invest money in the repair works. Because a neighbor can come to the new owner and say that they are buying an apartment for the price that the previous owner sold it for.
As a rule, before selling their apartment in such a house, a person goes around the other co-owners and asks if they are interested in buying. But even if there is a written refusal, the neighbors still have the right to purchase within three months after the transaction.
You can re-register the status of all apartments in the house with a notary. To do so, all residents have tp go to the notary office and assign the usual status to the property.
Residential Property For Sale
395 500 €
Flat in Tallinn, Estonia
65 sq.m211
Online ViewingRemote Transaction
World Haus Finland
495 500 €
Flat in Tallinn, Estonia
80 sq.m432
Online ViewingRemote Transaction
New 3-bedroom apartment (80.2 m2) in a pine forest near the Botanical Garden located in the most prestigious district of Pirita, 3.5 km to the sandy beach of Pirita and to the yacht harbor. Bus stop in the front of the apartment building.
New residential complex is built of monolithic reinforced concrete with 240 mm block thickness, with...
World Haus Finland
209 000 €
Apartment in Tallinn, Estonia
46 sq.m111
Located in the heart of the city, the studio apartment with a sauna and a large balcony has everything you need for life. Heated area 46.4m2 + closed balcony 7.1m2. The area of the apartment with a balcony is 53.5m2.
Habita International Estates Ltd
6 000 €
Flat in Kivioli, Estonia
32 sq.m111
Remote Transaction
For sale 1-room apartment on the fifth floor of a 90-apartment building in a small town in northeastern Estonia (see map). The apartment is ready to move in, sold with furniture and equipment. Central heating, gas. Intercom. Double-glazed windows. There is a secured parking space. Good communication with the neighboring cities of the county and...
Andrei Prokofjev KINNISVARA
10 000 €
Flat in Pussi, Estonia
58 sq.m322
Remote Transaction
For sale a 3-room apartment on the third floor of a 120-apartment building in a small town in northeastern Estonia. The apartment has just completed repairs, replacement of plumbing, heating batteries, windows. New, not yet fully installed furniture. Central heating. Intercom. Released. Ready to move in.
Andrei Prokofjev KINNISVARA
3 800 €
Flat in Kohtla-Jarve, Estonia
39 sq.m211
Remote Transaction
For sale 2-room apartment ("Khrushchev") on the third floor of a four-storey 44 apartment building in a fairly green part of the city. Within walking distance of the central alley with fountains, shops, medical institutions. The apartment has not been renovated. Released.
Andrei Prokofjev KINNISVARA
475 000 €
Flat in Tallinn, Estonia
130 sq.m542
For decades, this area has been highly valued by the residents of the capital. It is located in a quiet location, away from the noise of the city, but still close enough to everything you need to houses are the best solution for those who need a spacious house and a beautiful garden corner where they can relax in fine Teletorni Kodud residential...
Habita International Estates Ltd
495 000 €
Flat in Tallinn, Estonia
130 sq.m542
For decades, this area has been highly valued by the residents of the capital. It is located in a quiet location, away from the noise of the city, but still close enough to everything you need to houses are the best solution for those who need a spacious house and a beautiful garden corner where they can relax in fine Teletorni Kodud residential...
Habita International Estates Ltd
6 000 €
Flat in Kivioli, Estonia
56 sq.m321
For sale 3-room apartment in a five-storey 85-apartment building in a small town in northeastern Estonia. Requires repair with replacement of plumbing. The gas is "cut off". Released. The city has all the necessary infrastructure, good transport links with neighboring cities and the capital (buses, commuter train). The bay is 12 km away, Tallinn...
Andrei Prokofjev KINNISVARA
295 000 €
Apartment in Tallinn, Estonia
87 sq.m322
A 4-room apartment, located on the top floor of a 5-story building, came up for sale. The total area of the apartment is 93.1 square meters with a balcony, which creates enough space for the comfortable use of the apartment as an office or living apartment is equipped with air conditioners, which provides extra comfort in the hot season....
Habita International Estates Ltd
185 000 €
Apartment in Tallinn, Estonia
66 sq.m321
For sale: 3-room apartment in the heart of Tallinn. The apartment consists of an entrance hall, a spacious bathroom, an open-plan kitchen-living room, and 2 bedrooms. The apartment comes with 2 designated parking spaces in the courtyard. The kitchen is equipped with all necessary appliances: a refrigerator, freezer, stove with an oven, hood, and...
Habita International Estates Ltd
10 000 €
Flat in Sillamae, Estonia
32 sq.m111
Studio apartment for sale on the shore of the Gulf of Finland in the city of Sillamae at Ranna 27, located on the ground floor of a four-storey brick house with a total area of 31.9 square meters, consisting of an entrance hall, a combined bathroom, a living room, a kitchen and a pantry. The windows overlook the south and south-east sides.
The...
Private person
92 000 €
Apartment in Tallinn, Estonia
34 sq.m11
Tallinn, 1-room apartment is located on Pinna Street, a 10-minute drive to the sea. Excellent infrastructure
IMMOPS, Groupe AVS
6 000 €
Flat in Pussi, Estonia
49 sq.m211
Remote Transaction
BOOKED!!!
For sale a 2-room apartment on the third floor of a 3-storey apartment building in a small town in northeastern Estonia. The apartment is in good condition, most of the household appliances remain. Some of the windows have been replaced with double-glazed windows. Central heating. Double entrance door. The intercom. There is a small...
Andrei Prokofjev KINNISVARA
60 000 €
Apartment in Estonia
68 sq.m321
A large 3-room apartment, 68.2 sq.m. + two balconies! Fully and very qualitatively renovated and stylishly apartment house is located in a quiet place close to nature in Roosna-Alliku, 45-60 minutes by car from Tallinn and 15 minutes by car from the town of Paide.
Habita International Estates Ltd
13 000 €
Flat in Parnu, Estonia
78 sq.m442
Residential land 100%, Pärnu County, Pärnu City, Männikuste Village, Ridamu.782/6260 imaginary share of the real estate and the object of special ownership, residential space No. 8, with a total area of 78.20 m2 and marked as 8 on the plan. Other condominiums on the same real estate: No. 3378506, 3378606, 3378706, 3378806, 3378906, 3379006,...
Habita International Estates Ltd
7 000 €
Flat in Pussi, Estonia
49 sq.m211
Remote Transaction
For sale is a 2-room apartment on the third floor of a 102-apartment building in the center of a small green town in northeastern Estonia. The apartment is ready to move in, vacated, electric heating, boiler, Playground in the yard under the Windows. Good transport links to neighboring cities and the capital (buses, commuter train). 9 km to the...
Andrei Prokofjev KINNISVARA
298 000 €
Apartment in Tallinn, Estonia
55 sq.m211
The unique apartment is located in the historical Hattorpe-tagune tower that was the part of Tallinn City Wall. The cannon tower was built in the late 14th century, and then in 1879 was connected to a beautiful building with a Neo-Gothic façade and impressive staircase on Pikk street. The apartment has a cozy balcony that offers the views on the...
Habita International Estates Ltd
240 000 €
Apartment in Tallinn, Estonia
46 sq.m111
Fully renovated apartment in the old town. It is a spacious studio, 46.4 m2, which can be easily converted into a 2-room apartment if desired. The apartment is sold with all the furnishings that are on the pictures. Equipment includes: induction stove, oven, kitchen hood, refrigerator, dishwasher, washing machine with dryer. There are also...
You need to pay attention to the operation permit, if you are looking for a private house. This is a kind of confirmation that the house is technically serviceable and safe for people, that it is built in accordance with accepted construction practices. If it is not available, the bank will not issue a loan for the purchase to potential buyers.
Many houses built in 2000s do not have such a permit, since a few years ago the law assumed that construction can continue for many years and if there is a construction permit, the operation permit is no longer so important.
Today, it is recommended to apply for an operation permit. It is not required only if the building was built before 1995, a correct entry was entered in the register for it, and the building was not reconstructed or rebuilt after that year.
You can get a permit for a house that doesn't have one, but it will take six to nine months. This time is taken by the building audit, including the electrical one. You can use the property without this document, but there will be difficulties when selling it, since Estonian banks do not lend to such transactions.
Secondary and Primary Real Estate
Construction of new facilities is actively underway. And new technological requirements are already being put forward for them: the consumption class of all currently constructed buildings must be classified at least with "C" (the highest one is a "A" class). The most common on is a "B" class with ventilation, floor heating and heat transfer.
Moreover, the purchase of apartments in such buildings with a high class of energy consumption is also supported by banks. They reduce the down payment on a mortgage to 10%.
A foreigner can take a mortgage loan in Estonia only if he or she has a long-term residence permit, a job and a stable salary. But, as a rule, foreigners are required to pay an increased down payment up to 50% against 10-20% for the citizens of the country.
The bank considers the applicant's documents for about two weeks. A representative of the bank must be present at the transaction.
