Estonia property market 'could attract investors' in 2009

Estonia has been identified as one country where overseas property investors could benefit in 2009.

Head of business development at Quintessentially Estates Lily Simpson explained that recent Knight Frank figures - which showed a 16 per cent fall in investment in the country over the last year - mean that investors are biding their time in order to move into the market at the right opportunity.

"They do not want to miss the trick completely but at the same time they don't want to invest too early and lose out," she explained, adding that the second half of next year is likely to bring an increase in the number of buyers purchasing property in the country.

She stated that rental yields in Estonia are currently sitting between seven and nine per cent, noting that buying at the right time can result in a good return on an investment.

According to the Global Property Guide, prices in Estonia's capital Tallinn fell by 11.02 per cent in nominal terms during 2008.