3 Steps to Buying an Apartment in Estonia
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Loading... - Antar Bennani
- 10 Apr 2025
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Whether you are an investor or a foreign national relocating to Estonia, purchasing real estate is an important process that requires careful consideration. Estonia has minimal restrictions on foreign buyers, making the process of buying an apartment similar for both foreigners and citizens. Here are the main steps you should follow when buying a home in Estonia.
1. Research Financing Options
Before you begin your property search, it’s crucial to understand your financial options. Consulting with multiple banks will provide insight into the loan terms available to you, as different banks may offer varying conditions. As a foreigner, you will typically need a residence permit and proof of stable income to qualify for a mortgage. Be prepared to make a down payment of 10-20% of the property’s value. This initial research will help you set a realistic budget for your home purchase.
2. Search for Your New Home
When considering a property, visiting the site is essential to assess the construction quality and the building's maintenance over time. If you’re interested in a new development, most developers have a show apartment that allows you to experience the quality firsthand. Additionally, inquire about associated costs, such as utility expenses, and check the building’s energy label. Collecting this information will help you evaluate whether the total monthly costs, including your loan payments, are manageable.
Once you’ve identified your preferred property, request a specific loan offer from your bank. You can conveniently fill out your application on the bank’s website.
3. Finalize the Purchase
After selecting your property and receiving loan approval, the next step is to arrange the necessary notary procedures. A broker or sales consultant can assist you with this process. If you’re purchasing directly from the owner, agree on who will schedule the notary appointment and keep track of contract or notary fees. A representative from your bank must also be present during the transaction.
In Estonia, the property transaction is governed by the "kinnisvara ostu-müügileping" or property purchase agreement. This document includes details such as the property description, price, payment terms, and any conditions for both parties. It becomes legally binding once signed, so it’s advisable to have a sworn translator present at the notary to ensure you fully understand the agreement.
Once the contract is signed, the notary will forward the certified documents to the Land Register, officially transferring ownership to you. Congratulations—you are now a homeowner in Estonia!
Buying real estate in Estonia is a straightforward process, and local real estate agents or developers’ sales consultants are always ready to guide you through the process and provide insights into the local market.
