Investment Property In Estonia

In the light of an increasing demand for top quality, modern properties, real estate in Estonia still offers investors a host of lucrative opportunities.


Our Investment Opportunities

Our Investment Opportunities

IPIN members can view our recommended investment opportunities in Estonia, and other regions of the world.

All IPIN investments have been selected by expert advisors.

Research And Information

Research And Information

This section enlightens you on why Estonia is a popular option amongst many property investors. Find out here what fuels the property market and review information that will help you understand how it will be sustained in the future.

Wage inflation, growing prosperity and access to less-constrained mortgage finance are all contributing to Estonia’s rising property prices.

Following on from booming success between 2004 and 2006 when prices rose some 40% p.a. in the capital, Tallinn, Estonia’s property market remains buoyant, though rather more conservative than in recent years. In 2007, returns of some 12.5% were typical - the signs of a more established market relying on the stability of sustainable returns, largely from a growing local demand for real estate.

Estonian real estate now offers a strong market for medium to long term investors looking to enjoy good rental returns in addition to reliable capital appreciation over time.

IPIN Global and Estonia

Propertyshowrooms.com operates an international property investment member network (IPIN), a highly regarded source for carefully vetted investment property in Estonia, including land options for IPIN members.

In addition, members are able to gain access to advice and research on investment in Estonia from IPIN experts. The network identifies only the most lucrative opportunities currently available in Estonia and carefully tailors them to suit your investment requirements.

Why Invest in Estonia?

No longer emerging quite to the extent of recent years, Estonian property is now highly regarded as a safe and solid prospect for lower-risk investors, who seek a non-volatile, though profitable market in which to invest. Many Finnish investors are attracted by Estonia’s proximity to Helsinki and its relatively low, but steadily increasing property prices.

Natural and Cultural Factors

  • Only 3 hours by ferry from Finland’s capital, Helsinki and easily accessed via the newly renovated E67 highway, Estonia welcomes and increased influx of visitors and foreign investors
  • English increasingly spoken amongst the business community
  • Tallinn’s beautiful, Medieval Old Town is a listed UNESCO world heritage site and a major tourist attraction. The city’s Kumu Art Museum was declared the winner of the 2008 European Museum of the Year Award
  • Centuries-old history, castles, Baroque manor houses and other impressive architecture make for a culturally interesting destination
  • Scenic nature in the south, including magnificent lakes, waterfalls and lush, wooded hillsides
  • Beaches in the west with Baltic sand, picturesque islands and some modern resorts, now emerging to serve the growing numbers of Estonian holidaymakers
  • Modern healthcare system and with top, professional medical staff

Economic Factors

  • Growing EU economy, increased wealth and the Kroon (EEK) pegged to the Euro mean the economy is smoothing off to the levels of some of the more Western European countries
  • EU membership since 2004, bringing with it funding and improvements to the infrastructure
  • Annual rental yields approx. 6% and capital appreciation approx. 12%
  • Significant foreign investment, particularly from neighbouring Finland and Sweden
  • Tax incentives for overseas purchasers buying more than one property through Estonian limited companies
  • Increasingly affluent population, many of whom wish to buy their own homes to modern European standards - wages are increasing on average by 11% per annum, inevitably pushing house prices upwards
  • Huge shortfall of new homes to buy and rent, meaning high demand in sought-after locations, along with plenty of room for property price growth
  • Low cost air services from Easyjet, Al Italia, Air France and other, mainly Scandinavian, airlines allow easy access from the rest of Europe
  • New air routes will be opened in spring 2008 and passenger facilities at Tallinn Airport are being modernised, ready for summer 2008
  • Low inflation and tax lower than ever (average 24%)
  • Wide availability and diversity of mortgage finance
  • Gradual increase in foreign tourism (1-2% in 2008 compared with last year)

Land for Development/Project Sourcing

IPIN Global and propertyshowrooms.com offer members a comprehensive source of information regarding the newest land investment deals available in Estonia, before they become common knowledge.

Members will be offered valuable assistance and contacts in the setting up of joint ventures within our network of carefully vetted developers or partners. Due to a recent increase in worldwide property investment, IPIN and propertyshowrooms.com constantly make contact with a growing number of large scale individual investors and investment consortiums who constantly search for the best land investment options in Estonia.

Please see our land/development project consultancy service for more information.

Summary

Since independence in 1991, Estonia has been establishing a very effective democratic system and has widely embraced free-market economic policies and reforms. As a result, it has achieved high levels of inward investment and economic growth; however, it still boasts relatively low property prices and therefore offers great investment opportunities to today’s well-informed investors.

Further information and resources:

Research and Information

Estonia Investment Research

We have done the research to enable you to source useful information and articles on Estonia investment and how Estonian investment properties can be assets to your investment portfolio.

Why Invest in Estonia? Why Invest in Estonia?

The advantages of investing in Estonia and what makes it a unique property market

Off plan Property in Estonia Off plan Property in Estonia

Discover why off-plan purchase in Estonia is such a beneficial investment vehicle to shrewd property investors

Estonia Property Investment Strategies Investment Strategies for Estonia

Learn about different property investment strategies that can be used to generate wealth in Estonia.

Financing a Estoniaian Property Investment Investment Finance for Estonia

Learn about different property investment strategies that can be used to generate wealth in Estonia

Tax Planning for your Estonia Property Investment Tax Information for Estonia

What about the tax implications surrounding your Estonian property investment? Find out more here.

IPIN Global IPIN Global (IPIN)

IPIN Global selects the best investment property in Estonia and around the world, making it available to IPIN members.

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