Baltic States – CIS, Estonia, EU – Baltic States, Good for Business, Real Estate

The majority of foreign buyers of real estate come from Russia, another group of interested are Scandinavians.

"The interest from Russians towards Estonian real estate has been growing especially rapidly, but also Scandinavians are buying," said Taavi Reidmets, Head of Housing Department of Ober-Haus Kinnisvara.

Rando Vanaveski, head of Norther Estonian region of Domus Kinnisvara adds that the main attraction for Russians is Narva-Jõesuu where prices have been outside the reach of locals for years.

Prices of seaside apartments vary from 80,000 to 500,000 euros, with most transactions made by Russian citizens.

In June and July, 23 apartments were sold in Narva-Jõesuu plus five private houses. During the year, 67 apartments and seven private houses have been sold. At another new residential development at Kesk 2, Russian citizens bought 16 out of 18 apartments.

As reported, residents of Finland are actively acquiring real estate in Tallinn. The number of real estate transactions instantly grows in Estonia, and Finns show increasing interest in Tallinn-based properties.

Last year, approximately 7,000 flats were sold in the capital of Estonia. This year, an estimated number of the sold flats could be by 400-500 more. Approximately six or seven percent of the total amount of flats were sold to the residents of Finland who work either in Tallinn or Helsinki.

Dwellings in Tallinn raise more and more interest among Finns; they are mostly interested in new, high-quality flats.

The lowest prices for real estate in Tallinn were registered in 2009. Prices for flats in the so-called old houses rise by approximately three – five percent a year, and in new buildings – at least twofold faster.