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With the dissolution of the USSR, Latvia declared its independence again on 21 August 1991. It was also admitted to the European Union and NATO in 2004. Latvia welcomes thousands of tourists every year thanks to its nature assets and attractions.
Everyone who comes to this country returns enchanted and looking for ways to stay here. Here is great news for you. The Latvian government offers residence permit followed by citizenship to entrepreneurs, to those who will set up a company and buy a house. Especially those who want to get a residence permit can realize their dreams by purchasing a house from Latvia at reasonable prices.
How to buy a house to obtain a residence permit in Latvia? What are the necessary conditions? How much savings should you have? All the details are in our article.
Real Estate Market in Latvia
According to international monetary fund data, the Latvian economy in 2016; it has returned to its pre-crisis level with economic developments and growth rate. The investment and real estate market is focused in the cities of Riga and Jurmala, and often real estate trading is carried out intensively in the cities of Riga and Jurmala.
Although the Latvian real estate market generally has average buying power, these rates are much higher in the cities of Riga and Jurmala. Because purchasing power and high-income rate are higher in these cities. Also, the real estate market is active in the cities of Babite and Baltezers. New projects and great interest in these projects in the Pieriga region of Latvia will further develop the real estate market in these regions in the coming years.
When we analyze the Latvian real estate market, we see that there is a high investment volume in 2017. There was a similar increase in 2008. During this period, 33 properties in Latvia were sold for a total value of 312 million Euros. This shows that there is a significant increase.
Property Investment in Latvia
Investing in property in Latvia is one of the easiest ways to get a residence permit. However, it should not be forgotten that the property to be purchased must meet some conditions. The value of a single investment in Riga and Jurmala, which are considered as the developed regions of the country, should be at least €250,000. Similarly, there is a condition that the value of 2 properties within the borders of Baldone, Carnikava, Garkalne, Adazi, Babite, Ikskile, Marupe, Olaine, Kekava, Ropazi, Salaspils, and Stopini should be €250,000 Euros. It should be known that only land is not accepted as property. Other issues to be considered after fulfilling these conditions are as follows:
Although buying a house in Latvia has been made easier, you should be aware that there are some additional requirements. Although these conditions are not difficult to meet, they are among the necessary criteria for property investment.
- >>> The cadastral value of the property at the time of purchase should not be less than €80.000. In the cities of Baldone, Carnikava, Garkalne, Adazi, Babite, Ikskile, Marupe, Olaine, Kekava, Ropazi, Salaspils, and Stopini outside the capital city of Riga and Jurmala, the cadastral value of the property must be at least €40.000. The value of a single property should be €250.000, if two properties are to be purchased, the value of each of them should be at least €125.000.
- >>> The properties should not be agricultural or forestry lands
- >>> There shouldn’t be any tax liability related to the property
- >>> Payment of the properties should be made using methods other than cash
- >>> When a residence permit is requested for the first time, 5% of the value of the property is deposited in the state budget
* In case the above conditions are met, the person who bought the property is given a residence permit for 5 years.
Advantages of Obtaining a Residence Permit in Latvia
- >>> You have the same rights as the citizens of the Republic of Latvia. Only the right to choose and be elected is excluded.
- >>> Take the first step to become a citizen of Latvia
- >>> You are entitled to bring your family to Latvia
- >>> You have the right to trade in Latvia
- >>> You live a cheaper life compared to European Union countries.
- >>> After 5 years, you can get an indefinite residence permit.
* These rights granted to you may be a logical decision to buy a house in Latvia.
Benefit from Our Consulting Services
Although Latvia is a country that facilitates bureaucratic procedures, buying property from a foreign country can be complicated for you. Additional procedures and updated laws in an unfamiliar country can put you in extra costs. Therefore, the cost of the house you want to buy may exceed your budget or there may not be suitable conditions for buying the house. In such cases, it would be wise to contact a consulting company to avoid the risks and damages that may arise.
The experts in the consulting company will shorten your application process by quickly handling all the documents for you. It also increases the success rate of the transactions. Besides, if there is a situation that you can benefit from in this purchasing process, they inform you to benefit from it. Proceeding with experts who know the legal procedures well allows you to handle the process much better.
Our company provides consultancy services on home preference in Latvia. It provides services for all details such as your choice of apartment or house that best suits your budget, your application documents, sale of notary public, title deed delivery. It will be sufficient to provide the following documents:
- >>> Passport
- >>> Marriage certificate or proof that you are not married
- >>> Source of money (Evidence of the legal source of money you want to buy a house)
As InvestLatvia let us handle all other documents and procedures apart from these main ones on your behalf. Let us make your property investment risk-free and in accordance with legal procedures by being next to you at every point of the process.
Contact Us To Get The Most Accurate Advice For Your Property Investment.
Igors Krumins continues his activities as a commercial and international lawyer within the body of “Jurmala Invest”. He has more than 10 years of experience, especially in the investment sector, and has provided consultancy services to numerous companies with his legal expertise. He successfully completed his undergraduate studies at Baltic International Academy and graduate studies at Latvijas Universitate. Apart from his native Latvian language, he can also speak Russian and English fluently.