Latvia: House Prices, Rents, and Rental Yields
In Depth
- Overview
- Price History
- Rental Yields
- Taxes and Costs
- Tax on Rent (Example)
- Buying Guide
- Landlord and Tenant
- Inheritance
- Living There
- Useful Links
- Country Statistics
Find Property
Directory
Global Statistics
Regional Statistics
- Sq. M. Prices
- Rental Yields
- Rents
- Price/Rent Ratio
- Price/GDP per Cap
- Buy/Sell Costs
- Rental Income Tax
- Capital Gains Tax
- Price Change 1 yr
- Landlord & Tenant Law
- GDP Per Capita
- GDP/Cap Growth 1 yr
- GDP/Cap Growth 5 yrs
- Economic Freedom
- Ec. Freedom 5 yrs
- Competitiveness
- Property Rights Index
- Currency +/- Value
Rental yields higher in suburban areas
| Last Updated: Aug. 18, 2009 | |||||
| RIGA CITY - Flats | COST (€) | YIELD (p.a.) | PRICE/SQ.M. (€) | ||
| TO BUY | MONTHLY RENT | TO BUY | MONTHLY RENT | ||
| 45 sq. m. | 111,465 | 416 | 4.48% | 2,477 | 9.24 |
| 80 sq. m. | 220,720 | 682 | 3.71% | 2,759 | 8.53 |
| 120 sq. m. | 274,320 | 923 | 4.04% | 2,286 | 7.69 |
| 175 sq. m. | 514,850 | 1,699 | 3.96% | 2,942 | 9.71 |
| RIGA SUBURBS - Flats | |||||
| 50 sq. m. | 61,920 | 306 | 5.94% | 1,376 | 6.81 |
| 80 sq. m. | 119,920 | 577 | 5.77% | 1,499 | 7.21 |
| 120 sq. m. | 210,840 | 824 | 4.69% | 1,757 | 6.87 |
| Districts researched: Riga City: Old Town (Vecriga), City Centre Riga Suburbs: Purvciems, Teika, Mezaparks, Vecmilgravis Source: Global Property Guide Definitions: Data FAQ See also: Update Schedule |
|||||
The crisis continues in Latvia, and there is no sign of recovery yet. From the viewpoint of property investment, the bare facts are depressing. Gross rental yields on apartments in the centre of Riga are quite poor, ranging from 3.71% to 4.48%. It would be hard to be enthusiastic about property investment at these levels.
Rental yields are, however, considerably better on suburban apartments. The contrast is clear: suburban apartment yields average 5.47%, while city centre apartment yields average 4.05%.
People often write in to ask, when will buying investment property in the Baltics be attractive again? We can only say, this is not the stuff of which property recoveries are made. Not yet, anyway. So hold off on property investment. The usual pattern is that economic activity begins to rise, leading to rising rents, and then property investors begin to regain confidence. Happy days for property investment are a long way off in the Baltics.
Post a comment
Subscribe to our Newsletter!
Enter your email address to sign up.
RSS
Your Comments
posted by toni vanhanen | 2008-06-03
relocation consultant, riga latvia
I find your information extremely useful as I am starting a rental market research study myself and hope to poll as many real estate agents as possible. I find that price you quote of 12.50 EUR per m2 low. It seems that the average price at the moment, for good, quality apartments of western standards is at 14 EUR m2 and even 15 is becoming an average. how and when were your figures obtained if I may ask?
posted by our Editor: Matthew Pollock | 2008-06-03
Well, I am not surprised by your comments. Have you looked at the date on our table? This data was collected in November 2006, 18 months ago. We will be updating Latvia in July. As to method, please see here: http://www.globalpropertyguide.com/faq/square-metre-prices-rentals-and-yields#ans5
posted by Igor Babich | 2008-06-15
Riga, Latvia
So, I also very interested in updated information on Your website. Now the prices are much lower and some of the people, who live in Latvia (Riga) founds that now it is a real opportunity to buy flat, or house.It would be very interesting to know your point of view, also.
posted by our Editor: Matthew Pollock | 2008-06-15
Possibly. I personally do not like to buy any apartment unless yields are over 7-8%.