We publish statistics of registered transactions every month. This allows us to accurately compare market performance across months and years.
We are sharing an article published on the real estate information portal "Varianti.lv".
The strictest restrictions introduced in connection with the coronavirus pandemic are behind us. However, the Land Registry offices that register real estate transactions remained closed to public visits in both June and July.
As during the state of emergency, documents for transferring ownership rights to real estate can be submitted in two ways: either electronically using an e-signature, or by mail. This is what people have gotten used to and now successfully use.
However, initially these circumstances, combined with the March-April shock caused by the declaration of the state of emergency and the need for distancing, led to a decrease in buyer activity. But already in May and June, negative sentiment about the future of the Latvian real estate market began to fade into the background.
Riga. Monthly indicators of purchase contracts for various real estate objects registered in the Riga Land Registry in the first half of 2020 were as follows: January - 1,251, February - 1,259, March - 1,231, April - 772, May - 748, and June - 834.
In total, this resulted in 6,095 transactions. Comparison with the same period in 2019 and 2018 shows that the decline was not critical. In the first six months of last year, 7,646 real estate sales were conducted in Riga, and in 2018 - 7,005.
It is easy to calculate that due to Covid-19 (there were no other fundamental reasons), the activity of capital city buyers decreased by 20.3% compared to 2019, and by 13% compared to 2018.
Jurmala. One-fifth (20%) of transactions were lost. If in the previous year (2019) in the first six months, 667 real estate objects of various types were sold at Latvia's main resort, then in 2020 - 539.
This situation has a logical explanation: this spring and summer in Jurmala there was practically no influx of new buyers from Russia, Belarus, and Kazakhstan... Due to border closures and lack of air traffic, they simply could not reach us. And many during the pandemic were not in the mood to buy. After all, in all previous years, non-residents accounted for the bulk of expensive sales in the central part of Latvia's main resort.
Country real estate. The state of emergency that lasted in Latvia from March 13 to June 9 gave impetus to the development of individual segments of the Latvian real estate market. It had a particularly beneficial effect on properties located outside the capital - closer to nature, so to speak.
For example, June brought the Riga District the highest monthly transaction figures in 2020 - 737. Before that, from January to May, they registered 598, 635, 665, 434, and 563 transactions per month respectively. In total, in the first half of this year, 3,632 purchase transactions were concluded in the Riga District, which is 8.2% less than in the same period a year earlier.
However, given new trends, it is assumed that by the end of the year this gap may narrow further. Capital residents have come to believe that self-isolating in one's own house or in a small settlement on the outskirts of Riga is much more pleasant than in the city center.
We agree with the presented statistical data that the real estate market, in the segments we work with, is stable. There is no sharp drop in prices, no difficulties with selling quality properties.
If you wish to purchase a good real estate property, and individual approach is important to you, if you want to communicate with a realtor and lawyer in your native language, contact our company KOM-INVEST! We will be happy to select a suitable property, answer all your questions, draw your attention to important details, arrange the transaction, arrange your residence permit, and manage your real estate.
For more detailed information on obtaining a residence permit in Latvia, see here in different sections.
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