Latvia is located in Northern Europe. This Baltic state borders the north of Estonia, and the Baltic Sea to the west. Even as you plan to move to Latvia, understand that it can get pretty cold during winter. That means you must look for a house with heating services to enjoy living in Latvia.
When looking for a house, it is good to start your research on the criteria for renting and housing in Latvia. You should do this way before you move to the country. That way you will have a clear picture of the whole housing and renting process in Latvia.
Renting in Latvia
There are many advantages to considering moving to Latvia. One of the main reasons is the low cost of living. That means you will find affordable housing that will not milk you dry. Besides, renting in Latvia is a straightforward process and getting houses is not difficult as compared to other parts of Europe such as the Netherlands.
The best part about renting out Latvian real estate is that the process is similar to selling a property. With the help of a real estate agent, you can be sure to find a house that meets your needs.
There are several steps involved when renting in Latvia. They are:
- Searching for a house
- Document preparation
- Signing a rental contract
- Registering residential tenancy in a Land Book
The real estate market in Latvia
The Latvian economy’s growth rate is ripe for investment, especially in the real estate market. You will notice that real estate trading takes place more in Jurmala and Riga. The bottom line is the real estate market in Latvia is extremely active and worth investing in.
Nevertheless, it is important to take your time and understand Latvia’s real estate market before putting your money into it. What is certain is Latvia’s real estate market remains robust and quite stable. When it comes to prices, they vary depending on the location.
You will notice that in recent years, the real estate market is growing steadily. This is because of the accessibility to mortgages as well as the overall growth of the economy. That is why foreigners are so keen on the real estate market in Latvia.
Buying a house in Latvia
The process of purchasing property in Latvia is flawless. Though not systemized, you can be assured that you will have the house you want without a doubt. Whether you are looking for a house in the countryside, the capital city, or by the sea, it will be at your disposal.
The good thing about buying a house in Latvia is it’s not limited to the residents only. Foreigners can also purchase houses. Note that every detail concerning Latvian real estate is stored in the central land register called the Land Book. It is this book that protects the rights of every person who owns a house or land in Latvia.
The process of buying a house takes about 2 months or less. We are talking from the initial stages of inception to securing the buyer’s property rights. It is the buyer who meets legal costs as well as the cost of real estate value estimation.
The real estate market for foreigners in Latvia
Foreigners can invest in real estate in Latvia without restrictions. It is one of the best ways to invest your money as a foreigner in Latvia. Most real estate owners sell their property to foreigners and end up making a healthy profit.
The real estate market in Latvia has shown tremendous growth, especially in the last two decades. This is thanks to the foreigners that invest their money in real estate. Riga stands out for having a high demand for housing in Latvia because of its high-end properties.
Real estate property lease and rental laws
It would not be wise to own property and not understand your rights. If you own a real estate property that you wish to lease or rent, it is prudent to know the obligations in this regard. Remember violating any of the obligations leads to a civil lawsuit, or worse, a criminal case.
To start with, the rental of residential property in Latvia is a strictly regulated industry. Local tenants are protected by the law from the illegal and unwarranted behavior of the landlords. Extra protection is given to those renting residential premises by providing legal barriers for landlords.
As a tenant, you can breathe easy knowing the law is on your side. No landlord has the right to manhandle you. The law covers all legal relations for both the tenants and landlords as per the rental agreement.
Obtaining a mortgage in Latvia
The structure of real estate in Latvia is such that residents and foreign citizens have access to get a mortgage. It is an easy and quick process. However, the rates may not be favorable as they are in other EU countries.
It is the demand for access to home loans in Latvia that led to the inception of mortgages. With that, Latvian banks issue mortgages for different purchases be it houses, commercial property, or even apartments. They are not keen to give a mortgage for the purchase of undeveloped land meant for private development.