Add listing Log in

The process of buying property in Estonia

Real estate Estonia recently attracts Russians with its low cost and benefits associated with obtaining a Schengen visa with the purchase of any of the property of the country and geographical proximity to Russia.
04.02.2014
Homesoverseas.ru editorial office
256
The purchase of apartments by foreigners in most of Estonia is not limited in any way. There is a restriction on the purchase of land plots by foreigners in certain territories, for example, in border zones - there, land acquisition is available only to citizens of Estonia or any other EU country.
Drawing up a booking agreement As a rule, the first step to buying real estate in Estonia is a booking agreement. A booking agreement is needed so that both parties are less exposed to the risk of cancellation of the agreement for the period while the process of preparing documents at the notary is in progress. Money can be transferred from Russia to a notary's deposit account in Estonia, but it takes a lot of time and additional expenses. A buyer from Russia can easily open a bank account in his own name after receiving a notarized purchase and sale agreement and use it in the future. The booking agreement is not the basis for the mandatory opening of an account. Without declaration, each individual has the right to smuggle no more than 10,000 euros across the border. For larger transactions, international payments are used. The conclusion of a real estate reservation agreement can be carried out both with the involvement of a third party, for example, a representative of a real estate agency, or directly between the seller and the buyer. The reservation amount can vary from 100 to 1000 euros, depending on the value of the object of sale. The real estate reservation contract, which specifies all the details of the transaction, including the amount of the advance payment and the total cost of the transaction, is drawn up by a notary in Estonian. Especially the buyer can order from a notary a translation of the contract, in full or the main points, into Russian. You need to apply for services to a notary in advance, by appointment, two to three days before the transaction. In Estonia, the notary is fully responsible for the transaction. A notary deposit is often used for security and to avoid paying in cash. As a rule, the advance payment is around 2,000-3,000 euros. In case of refusal of the buyer from the transaction after the conclusion of the contract, he may be subject to penalties in the amount of 5% to 10% of the total amount. Drawing up the main contract The main contract is signed necessarily in the presence of the buyer and the seller. To do this, you need to take care of obtaining a visa to enter the country in advance. To complete the transaction, a foreign buyer must submit an identity document (passport) and report marital status. If the buyer is married, it is necessary to provide a marriage certificate. Also, if necessary (if the notary does not speak Russian), the buyer is obliged to provide a translation of the power of attorney and consent into Estonian. Translation of a passport and visa is not required. Payment for notary services also depends on the sale price of the object and for an average apartment is about 150-250 euros. As a rule, the amount to be paid is divided equally between the buyer and the seller, but other options are possible. Payment for the purchase price can be carried out in several ways: 1) through the notary's deposit account - in this case, the buyer pre-deposits the amount of the sale of the object to the notary's account and subsequently, the notary, after concluding the sales contract, transfers the required amount to the seller's account In case of cancellation of the contract, the notary will return the entire amount to the buyer. This service is paid, depending on the amount of the transaction. 2) settlement in cash at the time of the conclusion of the transaction with a notary in the event that the transaction amount is up to 30,000 euros. 3) payment of funds after or before the conclusion of a notarized purchase and sale agreement directly by the buyer to the seller's bank account. Registration of real estate After the conclusion of a notarized purchase and sale agreement, its electronic copy is sent to the Serfdom Department (Kinnisturaamat) - the state register of real estate, where the new owner is registered. This procedure usually takes about 5-7 working days (the term is set by law - 2 weeks). The buyer is obliged to pay a registration fee in the amount of 10 euros and more, depending on the value of the purchased object. There is no tax on the purchase and sale of real estate in Estonia. After registration, the buyer and the seller receive an extract from the land register (in most cases in electronic form by e-mail), after which the buyer's title to the property can be considered formalized. And only from the moment the new owner is entered into the land register, the buyer has the right to dispose of this property. It should be noted that at the time the property is transferred into possession and use of the future owner, when each of the parties signs an act of acceptance and transfer of real estate indicating the exact date, condition, meter readings and time of transfer of real estate, and from that moment on to the buyer all risks and obligations associated with this object. Daniil Burygin HomesOverseas.ru The editors of the portal would like to thank Natalia Fedotova ( BNKinnisvara Buroo ) and Sergey Gorlach ( Trianon Grupp ) for their help in preparing the material.
0
All articles by this country
All articles
Property in Estonia
Discussion
Valery
The transported currency is calculated in US dollars, which is different from the euro. The consequences at the border can be VERY serious!!!
Nov 21, 2021, 00:53:46 AM
Reply