How to buy property in Riga as a foreign investor
A plain walkthrough of the process, the costs, and the mistakes we see first-time Baltic investors make. This is educational content, not legal or financial advice — pair it with a licensed Latvian notary or lawyer before you sign anything.
The legal process, step by step
Reserve the unit
A reservation agreement takes the unit off the market, usually against a small, refundable holding deposit. For off-plan projects, confirm whether deposits are held in escrow or under a bank guarantee.
Legal & title due diligence
A Latvian lawyer checks the Land Register (Zemesgrāmata) entry, any encumbrances, and — for new builds — the building permit and developer's corporate standing.
Sign the purchase agreement
Signed before a sworn Latvian notary, who is a neutral party, not your advocate. Bring your own independent lawyer for a second opinion on anything you don't fully understand.
Register the transfer
The notary or lawyer files the transfer with the Land Register. Latvia's registry is digitised and generally fast compared to many EU peers.
Set up ownership costs
Register for the annual real estate tax, set up building-management fees, and if renting it out, decide on a management structure before handover, not after.
Costs to budget beyond the sale price
Exact figures move with Latvian tax law and vary by transaction, so treat the list below as a checklist to verify with your notary, not as fixed numbers:
- Notary and registration fees
- Stamp duty / property transfer duty on the registered transaction value
- Annual real estate tax, set by the local municipality
- Building management / service charges for the unit
- Legal fees for independent representation, if you use your own lawyer alongside the notary
- Currency conversion costs, if you're funding the purchase from outside the Eurozone
Ask each developer or agent for a written, itemised closing-cost estimate before you commit — and get your own lawyer to sanity-check it.
Financing as a non-resident
Some Latvian banks will lend to non-resident buyers, though terms are typically more conservative than for local buyers: lower loan-to-value ratios, more documentation, and closer scrutiny of the source of funds. Many foreign investors buy in cash or with financing arranged in their home country instead. Either way, get a financing pre-assessment before you fall in love with a specific unit, not after.
Rental management options
Long-let
Lower yield ceiling but steadier occupancy, less regulatory complexity, and typically lower management fees. Fits investors who want a lower-maintenance asset.
Short-let
Higher headline yield potential, but higher management intensity, more sensitivity to seasonality, and building-specific rules on short-term rentals that vary by development.
If you won't be in Riga to manage tenants yourself, confirm whether the building or developer offers (or can recommend) a management partner before you buy, not after handover.
Mistakes first-time Baltic investors make
Skipping an independent lawyer because "the notary handles it"
The notary is neutral by law. That's exactly why you want your own advocate reviewing anything unusual in the contract.
Trusting a yield number with no source
Ask for the actual rent roll of a comparable unit in the same building, not a marketing brochure's headline percentage.
Never visiting the building or the neighbourhood
Riga is a short flight from most of Western Europe. A weekend trip before you sign is cheap insurance against a bad location call.
Ignoring the management plan until after handover
Decide how the unit will actually be rented and by whom before you own it, not the week the keys arrive.