BUYING PROPERTY IN LATVIA

Buying property in Latvia is a modern and completely safe process of registration of property rights, where all the information about the property can be easily checked and can easily requested from the state registrar.

Stages of purchase and registration of real estate:

1. Purchase Agreement - the main document, which contains all the important terms and conditions, subject of the contract, the parties' rights and obligations, and the payment schedule.
2. Registration request for corroboration of the property rights of the real estate - this document shall be prepared by the sworn notary and requires the submission in the Land Book registry.
3. Payment to the seller account in accordance with the contract.
4. Payment of the state and stamp duties and the registration of the property rights in the Land Book registry.

Documents needed for the Land Book registry:

1. Purchase agreement.
2. Request for change of ownership.
3. Bank payment order for crediting the amount to the seller’s account.
4. A receipt for payment of the state duty for the purchase transaction - 2% of property value.
5. Receipt of land book in your name after 10 working days.  

Stages of buying a property with a mortgage:

1. Signing a preliminary agreement of intent between the buyer and the seller.
2. Clarification of the mortgage terms at the bank.
3. Signing a mortgage agreement.
4. Opening a transaction account.
5. Signing the main contract of sale.
6. Transfer of own funds to the transaction account.
7. Transfer of bank funds to the transaction account.
8. Payment of stamp duty
9. Registration of ownership in the Land Book registry

Property tax

Tax rate on land and real estate in our village are 5-8 times lower than in Riga or Jurmala.
For a house of 180 sq.m. together with the land the tax comes to about 150 euros per year

OBTAINING A RESIDENCE PERMIT

A residence permit is issued by the Latvian Migration Board (PMLP).
You can get a temporary residence permit only in Latvia and it is issued to a foreigner only in person, incl. underage family members.
Buying a property in Latvia gives you the right to receive a temporary residence permit for a period of 5 years.
A residence permit can be issued to the whole family together - the owner of the property, a spouse and underage children.
Adult children can apply to one of the universities in Riga and get a student residence permit.
A residence permit is a plastic card with a mandatory annual registration and replacement. 

After 5 years you can:

Extend your residence permit for the next 5 years. In this case, you are not required to reside in Latvia.
Get a permanent residence permit in Latvia. To do this, you must pass the Latvian language exam at A2 level and reside in Latvia for 5 years.
The allowed total time of absence in the country is 12 months, but not more than consecutive 6 months. 

Residence permit entitles you to:

a continued stay in Latvia to working in Latvia and starting your own business;
travel in the Schengen countries without a visa;
issuing a letter of invitation to first-degree relatives for a visa; 

General conditions for obtaining a residence permit:

1. Property value of at least 250,000 euros.
2. Property tax paid in full.
3. Total cost paid via cashless payment
4. Real estate acquired from a legal entity registered in Latvia or the EU (and is a taxpayer in Latvia) or from a physical person who is a citizen of Latvia or the EU, or a foreigner with a valid residence permit in Latvia.
5. The total cadastral value of the property at the time of purchase is at least 80,000 euros. If the cadastral value is less than the above, then the total value of the property may be set by a certified property appraiser and may not be less than 250,000 euros.
6. When applying for a primary residence permit, the foreigner has paid 5% of the property value to the state budget.
7. The property does not include agricultural land or forest. 

The following documents must be submitted:

• application form
• photo;
• document confirming maintenance funds - a letter from any bank confirming the available funds in the account. €1290 per investor, €430 for a sapouse, €129 per child per month multiplied by 12 months. The letter is valid for three months from the issue date.
• document confirming that the property was purchased via a cashless payment certifying
• criminal record certificate issued by the competent authorities of the country of citizenship or residence (for foreign citizens over 14 years old);
• valid health insurance (standard, issued in Latvia, costs about 40 euros);
• certificate issued by a Latvian medical institution that you are not suffering from tuberculosis in the active phase. The validity period of the certificate is one year from the date of issue;
• document confirming that the foreigner paid property tax in full if he had owed the property for mone than one year
• document confirming that the market value of the property is in accordance with the requirements of the Immigration Law;
• document confirming payment of the state fee (150 euro for reviewing documents within 30 days)
• If your minor child is enetering the country with you, you must additionally provide documents confirming the relationship. And if the other parent of said child is not entering with your, you must also provide a signed consent letter from the other parent, notarially approved or signed in the presence of an officer of the administrative body or representation
• may additionally require documents that confirm the legality of your funds for the purchase of property in Latvia, for example: contracts, documents confirming the sale of property, certificate of income, payslips, account statements, personal income tax certificate, CV; 

WANT TO SEE THE VILLAGE

Project  "BaltaVillage" by SIA "LatDevelopment"

+371 29606091
Company address : Sloku iela 15, Pinki, Babites nov., Latvia, LV-2107 
Business register number 40103646546