Latvia, a member of the European Union and the eurozone, has a property market that draws investors’ attention. The housing market in the capital, Riga, and in the coastal town of Jūrmala is well developed. Prices per square metre are well below the Western European average, and rental yields are attractive.
Foreigners can buy property in Latvia freely, and the process can be handled remotely under a power of attorney. There is one important change, however. Under the new Immigration Law, in force since 15 September 2026, buying property no longer leads to a residence permit for new applicants. Buying a home in Latvia today is an investment and rental income decision. The route that remains open for residence is a capital investment in a company.
This guide covers current property prices in Latvia, foreigners’ ownership rights, closing costs, key legal details in the land register and the current options for a residence permit.
Buying property in Latvia: key facts
| Can foreigners buy? | Yes Apartments and commercial property can be bought freely in your own name; farmland and forest land require a permit |
|---|---|
| Residence permit through property | No No new applications from 15 September 2026 |
| Open route to residence | €50,000 company capital + €10,000 state payment |
| Riga centre price per m² | €2,200 – €3,500 |
| Riga suburbs price per m² | €750 – €1,100 |
| Jūrmala price per m² | €2,600 – €4,500 |
| Rental yield | 5% – 7% a year in Riga |
| Land registry fee | 1.5% of the price or cadastral value |
| Total closing costs | About 4.5% |
| Annual property tax | 0.2% – 0.6% of cadastral value |
Prices and yields are average ranges that vary by area and building. Before buying, have your lawyer confirm in the land register that the property is under unified ownership.
Apartments for Sale in Riga
How Much Does Property Cost in Latvia? (Regional Overview)
Latvia’s housing market has two distinct segments. One is standard Soviet-era apartment blocks. The other is modern, energy-efficient new developments in central Riga and along the river. Prices differ clearly between the two.
The value of quality homes in Riga and Jūrmala continues to rise. This is driven by the European Central Bank’s monetary policy and renewed local demand for housing.
Latvia property prices and rental yields by city (current)
| Area | Property type | Price per m² | Average apartment price | Annual rental yield |
|---|---|---|---|---|
| Riga Centre and Quiet Centre (Klusais centrs) | Historic Art Nouveau and restored buildings | €2,200 – €3,500 | €130,000 – €260,000 | 5.0% – 6.5% |
| Riga new developments (Skanste, Daugava riverside) | Modern A-class energy complexes with indoor parking | €2,400 – €3,200 | €145,000 – €240,000 | 5.5% – 7.0% |
| Riga suburbs (Ķengarags, Purvciems, Imanta) | Standard or renovated panel blocks | €750 – €1,100 | €40,000 – €75,000 | 6.5% – 8.5% |
| Jūrmala (Dzintari, Majori) | Luxury summer residences by pine forest and sea | €2,600 – €4,500 | €200,000 – €450,000 | 4.0% – 5.5% |
| Jelgava | University town, 40 km from the capital | €700 – €1,100 | €35,000 – €65,000 | 6.0% – 7.5% |
| Liepāja | Baltic Sea port city with growing industry and tourism | €800 – €1,300 | €40,000 – €80,000 | 6.0% – 8.0% |
Figures are average ranges and vary with building age, energy class and title status.
A Key Legal Risk Before You Buy: Divided Ownership (Dalītais Īpašums)
Divided ownership is one of the most common risks foreign buyers face in Latvia, and it can lead to extra costs later.
- What is it? The apartment building may belong to one owner while the land it stands on belongs to a completely different person or company.
- Mandatory land lease (Zemes noma): In apartments under divided ownership, a land use fee must legally be paid to the landowner.
- Land register check (Zemesgrāmata): Always have your lawyer confirm that the property is under unified ownership (vienots īpašums), where the building and the land are owned together.
Step by Step: The Process of Buying Property in Latvia
You do not have to handle the process in Latvia on your own. Our partner property advisers and lawyers manage the whole process on your behalf. The general steps are:
- Legal due diligence: The land register is checked for mortgages, tax debts or court annotations on the property.
- Preliminary sale agreement (Priekšlīgums): An agreement setting out the terms is signed, and a deposit of usually 10% of the price is paid.
- Notary and escrow account (Darījuma konts): The money is not sent directly to the seller. It is held in an escrow account at a Latvian bank.
- Registration in the land register (Koroborācija): Once the steps are complete, ownership is officially registered. Ownership passes only with this registration.
Advantages of Investing in Latvian Property
Latvia offers very affordable prices per square metre compared with Western Europe. Outside Riga, investment costs are even lower, which creates opportunities for small and medium investors. In central Riga, rental yields are generally between 5% and 7%. Other advantages:
- Low property tax: Annual property tax is between 0.2% and 0.6% of the cadastral value.
- EU and eurozone membership: Latvia’s economic and legal framework is strong and investor-friendly.
- A market open to foreigners: Apart from farmland and forest land, foreigners can acquire property freely.
- Tourism and education: Coastal towns such as Jūrmala and Ventspils offer rental opportunities in the summer season. University cities such as Riga and Jelgava have student tenant potential.
- Transparent title process: Notarisation, land registration and bank transfers are carried out officially and transparently.
- Remote purchase: With an apostilled power of attorney, your lawyer can handle the whole process for you. You do not need to travel to Latvia to buy.
Popular Latvian Property Websites
Buying property in Latvia can be complicated if you do not know the local laws and procedures. Working with our partner property advisers helps you overcome the language barrier and protects your investment. Commonly used sites for property listings in Latvia:
- Arco Real Estate: One of Latvia’s best-known property firms. It has a wide portfolio of homes, commercial space and investment opportunities, and its site is available in English.
- City24 Latvia: A large property platform operating across the Baltic states. It brings together listings from private sellers and estate agencies.
- ss.lv: One of Latvia’s oldest and most popular classified sites. The interface is dated, but it has the widest range of listings on the market.
- Ober-Haus Real Estate: A professional property firm active in the Baltic region. It also offers investors market analysis and advisory services, with a strong portfolio in luxury homes and commercial property.
Closing Costs and Annual Taxes
- State land registry fee: 1.5% of the price or cadastral value for purchases by individuals.
- Total closing costs: About 4.5% of the sale price on average, including lawyer, notary and bank fees.
- Annual property tax: Between 0.2% and 0.6%, applied progressively to the cadastral value, which is much lower than market value.
- Rental income tax: Statutory rates and filing rules apply to rental income.
Property prices in Latvia are below the Western European average. Rental yields in Riga and Jūrmala are between 4% and 7%, property tax is low and the registry fee is 1.5%. This keeps Latvia attractive for investors who want to diversify their portfolio. If your goal is a residence permit, look at the company investment route on our Latvia Golden Visa page instead of buying property, or contact our partners.
Related guides: Buying Property in Greece: Prices, Taxes and Process
