In Latvia, the amount of state duty for registering housing in the Land Register has been reduced

Starting from July 1, new conditions for registering housing in the Land Register come into force in Latvia - the fee for registration of property rights will be reduced:

• for individuals, it is now 1.5% of the cost of the object instead of 2%;
• for legal entities - 2% instead of 6%.

Also, the state duty is reduced by 25%. This decision was made by the Cabinet of Ministers of the country. Experts predict that it will benefit the real estate market in Latvia.

The main reasons for reducing the state duty

There are several main reasons why the Latvian authorities decided to reduce the state duty for registering housing. The main one is the unsatisfactory state of the real estate market in the country in comparison with other Baltic countries. In addition, the number of home purchase and sale transactions was significantly affected by the quarantine period. Now the market is recovering, but it needs an additional incentive.

Also, the reduction in the state duty is intended to attract investors who want to purchase housing for rent, since now they will have to pay the rate 3 times less than before.