Category: Estonia

Estonian Property

Guide to Buying Property in Estonia

There are over a quarter of a million overseas property investors in Estonia and this figure looks set to rise in the near future. Many of these foreign property investors will have taken out mortgages to help fund their property and real estate purchases.

Mortgages in Estonia

Typically, a mortgage in Estonia will have an interest rate of about 4.5% upwards and providers are happy to lend for both residential and property investment purposes. The minimum loan value for most mortgage providers is 10,000 Euros and most require a 20% deposit. The average term for an Estonian mortgage is 30 years. Most Estonian mortgage providers will also look at the income of the property investor and the cost of the mortgage plus outgoings must not exceed the investor’s income.

Estonia: A Buyer’s Guide

Estonia is not usually at the top of property investors’ lists when they are looking to buy new property. Partly, this has been because foreign ownership of real estate has been tightly controlled and regulated along with the fact that Estonia has been occupied or controlled by other nations for much of it’s recent history.

However over the past decade or so, Estonia has gained it’s independence, the government has started to liberalize laws regarding foreign property ownership, and the Estonian Tourist Board is working hard to promote the country around the world. All this means that Estonia is starting to become one of the most hotly tipped places in Eastern Europe to buy.

Estonia: The jewel of Eastern Europe?

European Union membership appears to be sitting well with Estonia as they being a marketing drive to attract more tourists to the country. EU grants are being used to promote the country as a tourist destination, focusing particularly on areas outside of the capital Tallinn.

Estonia is rapidly becoming one of the countries of choice for Eastern European foreign property investors – with it’s strong economy, shortage of new property, an up-to-date computerised land registry system, low taxation levels and low levels of corruption, it is no surprise that real estate investors are looking on Estonia favourably.