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Everything you need to know before buying real estate is included in our Finland Property Pack
Foreigners can legally purchase property in Finland, but the regulations vary significantly based on nationality and property type.
EU and EEA citizens enjoy unrestricted property ownership rights, while non-EU citizens must obtain permits from the Ministry of Defence for most real estate transactions. The process involves specific restrictions for border zones, strategic areas, and the autonomous Åland Islands, each with unique regulatory frameworks.
If you want to go deeper, you can check our pack of documents related to the real estate market in Finland, based on reliable facts and data, not opinions or rumors.
EU/EEA citizens can buy any property type in Finland without permits, while non-EU citizens need Ministry of Defence approval for land purchases but not apartment shares.
Property ownership doesn't grant residency rights, and financing typically requires Finnish residency status for most foreign buyers.
| Ownership Category | EU/EEA Citizens | Non-EU/EEA Citizens |
|---|---|---|
| Apartment Shares | No permit required | No permit required |
| Land & Houses | No permit required | Ministry permit needed (€170 fee) |
| Åland Islands | Restricted access | Generally prohibited |
| Strategic Zones | State pre-emption rights | State pre-emption rights |
| Transfer Tax Rate | 3% (land), 1.5% (apartments) | 3% (land), 1.5% (apartments) |
| Financing Access | Easier with residency | Difficult without residency |
| Residency Benefits | None from ownership | None from ownership |
Can foreigners legally own property in Finland?
Yes, foreigners can legally own property in Finland, but the specific rules depend entirely on your citizenship status.
EU and EEA citizens have the same property ownership rights as Finnish citizens and can purchase any type of real estate without restrictions or special permits. This includes apartments, houses, land, and commercial properties throughout most of Finland.
Non-EU and non-EEA citizens face more complex regulations and must obtain a permit from the Ministry of Defence before purchasing most types of real estate. However, they can buy apartment shares in housing companies without any permit requirements, which covers the majority of urban residential properties in Finland.
As of September 2025, the Finnish government continues to maintain these nationality-based distinctions in property ownership laws, with no indication of policy changes on the horizon.
The legal framework ensures that foreign property ownership remains accessible while maintaining national security considerations for sensitive areas and strategic properties.
Are there any restrictions on the type of property a foreigner can buy?
The restrictions on property types depend on your citizenship and the specific location of the property you want to purchase.
EU and EEA citizens face no restrictions on property types and can buy apartments, houses, land, vacation homes, or commercial properties anywhere in mainland Finland. The only exception involves the autonomous Åland Islands, which have separate legislation restricting property ownership for all non-residents.
Non-EU citizens can freely purchase apartment shares in housing companies without permits, which represents about 60% of all residential properties in Finnish cities. However, they need Ministry of Defence permits for freehold land purchases, standalone houses where you own the underlying land, vacation cottages with land ownership, and any commercial real estate involving land rights.
Certain property categories remain restricted or subject to state pre-emption rights regardless of nationality, including properties in strategic defense zones, border areas within 3 kilometers of international boundaries, national parks and nature reserves, and any property deemed critical to national security interests.
It's something we develop in our Finland property pack.
Do foreigners need to get special permits or approvals before buying?
EU and EEA citizens need no special permits or approvals to purchase property in Finland and can complete transactions with the same legal requirements as Finnish citizens.
Non-EU and non-EEA citizens must obtain a property-specific permit from the Ministry of Defence before acquiring real estate that involves land ownership. This permit costs €170 per property and typically takes 1-3 months to process.
The permit application requires detailed information about the buyer, the intended use of the property, financing sources, and the specific property details. The Ministry evaluates each application based on national security considerations and regional strategic interests.
If the Ministry denies a permit application, the buyer has no legal recourse and cannot proceed with the purchase. In rare cases where a permit is revoked after purchase, the owner must sell the property within six months of the revocation notice.
No permits are required for apartment shares in housing companies, regardless of the buyer's nationality, making urban apartment purchases accessible to all foreign buyers without bureaucratic delays.
Is buying land in Finland different from buying an apartment or house?
Yes, there are significant legal and procedural differences between buying land versus apartments in Finland, particularly for non-EU citizens.
| Purchase Type | EU/EEA Citizens | Non-EU/EEA Citizens |
|---|---|---|
| Apartment Shares | No permit required | No permit required |
| House with Land | No permit required | Ministry permit required |
| Vacant Land | No permit required | Ministry permit required |
| Transfer Tax Rate | 1.5% apartments, 3% land | 1.5% apartments, 3% land |
| Processing Time | 2-4 weeks | 3-5 months (with permit) |
| Registration Process | Standard with National Land Survey | Standard with National Land Survey |
| Financing Options | Bank mortgages available | Limited without residency |
Are there regions or border zones in Finland where foreigners cannot buy?
Yes, several regions in Finland have restrictions or prohibitions on foreign property ownership due to national security and strategic considerations.
The Åland Islands maintain the strictest restrictions, with autonomous legislation that generally prohibits property purchases by non-residents, including Finnish citizens who don't have Åland residency rights. These restrictions apply to all property types and require special permits that are rarely granted to foreigners.
Border zones within approximately 3 kilometers of international boundaries with Russia and Norway are subject to enhanced scrutiny and potential state pre-emption rights. The Finnish government can block foreign purchases or exercise first refusal rights on properties in these sensitive areas.
Strategic defense installations, military bases, and surrounding security zones are completely off-limits to foreign ownership. Properties near airports, nuclear facilities, critical infrastructure, and telecommunications installations may also face restrictions or require additional security clearances.
National parks, nature reserves, and protected environmental areas have ownership restrictions that apply to all buyers, with the state maintaining pre-emption rights to preserve these lands for conservation purposes.
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Can non-EU citizens purchase property under the same rules as EU citizens?
No, non-EU citizens face significantly more restrictions and requirements compared to EU citizens when purchasing property in Finland.
EU and EEA citizens enjoy the same property ownership rights as Finnish nationals and can purchase any type of real estate anywhere in Finland without permits, waiting periods, or additional bureaucratic procedures.
Non-EU citizens must obtain Ministry of Defence permits for real estate purchases involving land ownership, pay €170 per property in permit fees, wait 1-3 months for permit processing, and face potential permit denials with no appeal process. They also encounter more limited financing options from Finnish banks and stricter documentation requirements for property transactions.
The only exception where both groups have equal treatment is apartment share purchases in housing companies, which don't require permits regardless of nationality. This creates a significant advantage for EU citizens in accessing the full range of Finnish real estate opportunities.
It's something we develop in our Finland property pack.
What taxes and fees should foreigners expect when buying property?
Foreign property buyers in Finland pay the same taxes and fees as domestic buyers, with rates depending on the type of property purchased.
Transfer tax represents the largest upfront cost at 3% of the purchase price for real estate involving land ownership (houses, land, commercial properties) and 1.5% for apartment shares in housing companies. The buyer pays this tax, and it's due within two months of the purchase completion.
Registration fees with the National Land Survey are mandatory for all property purchases and typically cost €50-200 depending on the property type and complexity of the transaction. Legal fees for property lawyers range from €1,000-3,000 for standard transactions.
Non-EU citizens face an additional €170 Ministry of Defence permit fee for each real estate purchase requiring approval. Property inspection costs €500-1,500, while notary fees add another €200-500 to the transaction costs.
Annual property taxes apply to all owners regardless of nationality, with rates varying by municipality but typically ranging from 0.5-2% of the assessed property value. Finnish residents may qualify for certain tax deductions that non-residents cannot claim.
Do foreigners need to set up a Finnish company or residency to buy property?
No, foreigners do not need to establish Finnish residency or set up a Finnish company to purchase property in the country.
Foreign individuals can buy property in their personal name without any corporate structure requirements or residency obligations. The Finnish legal system allows direct foreign ownership of real estate, making corporate arrangements unnecessary for most buyers.
However, Finnish residency status significantly improves access to mortgage financing from Finnish banks, as most lenders require proof of stable Finnish income and residency for loan approval. Non-residents typically need to purchase properties with cash or arrange financing from their home country.
Some foreign buyers choose to establish Finnish companies for tax optimization purposes or to facilitate easier property management, but this remains optional rather than required. The company formation process takes 2-4 weeks and costs approximately €2,500 in fees.
EU citizens can obtain Finnish residency more easily if they plan to live in Finland, while non-EU citizens face stricter residency requirements that are independent of property ownership status.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Finland versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
Are there financing options like mortgages available to foreigners in Finland?
Financing options for foreign property buyers in Finland are limited and depend heavily on residency status and nationality.
Finnish banks generally require borrowers to have Finnish residency, stable Finnish employment, and a demonstrable income history in Finland before approving mortgage applications. The maximum loan-to-value ratio for foreigners is typically 60-70% compared to 80-90% for residents.
EU citizens with Finnish residency can access standard mortgage products with interest rates ranging from 3-5% as of September 2025, but approval requirements remain stricter than for Finnish nationals. Documentation requirements include Finnish tax returns, employment contracts, and bank statements spanning at least 12 months.
Non-EU citizens face the most challenging financing environment, with many banks declining applications outright regardless of creditworthiness or income levels. The few banks that consider non-EU applications require substantial down payments (40-50%), higher interest rates, and extensive documentation.
Alternative financing options include developer financing for new construction projects, private lending arrangements with higher interest rates (6-8%), and international bank loans secured against properties in the buyer's home country.
How does the property registration process work for foreigners?
The property registration process for foreigners follows the same legal framework as domestic buyers, with additional steps for non-EU citizens requiring permits.
After completing the purchase agreement, all buyers must register the property transfer with the National Land Survey of Finland (Maanmittauslaitos) within one month of the transaction. The registration requires the signed purchase contract, proof of payment, transfer tax receipt, and identification documents.
For non-EU citizens purchasing real estate requiring permits, the Ministry of Defence approval must be submitted along with the standard registration documents. The registration cannot proceed without this permit, making the permit application timeline critical for transaction planning.
The National Land Survey issues an official property certificate (kiinteistörekisteriote) confirming the new ownership, which serves as legal proof of title. This certificate includes property boundaries, rights, obligations, and any encumbrances or restrictions.
Registration fees depend on property type and value but typically range from €50-200. Processing times are usually 1-2 weeks for standard applications, though complex cases involving multiple properties or legal issues may take longer.
What rights do foreign property owners have compared to Finnish citizens?
Foreign property owners in Finland enjoy nearly identical rights to Finnish citizens, with only minor exceptions in specific circumstances.
Property rights include the absolute right to use, modify, lease, and sell the property according to local zoning and building regulations. Foreign owners can renovate properties, change their use (subject to permits), rent to tenants, and transfer ownership through sale or inheritance.
Legal protections are identical for all property owners, including protection against unlawful seizure, equal treatment in court proceedings, and the right to compensation if the government expropriates property for public use. Property insurance and legal remedies are available to all owners regardless of nationality.
The main difference involves voting rights in housing company meetings for apartment owners, where some decisions may require Finnish citizenship or long-term residency status. However, these restrictions are rare and don't affect most property management decisions.
Foreign owners pay the same property taxes, have identical obligations for property maintenance, and must comply with the same building codes and environmental regulations as Finnish citizens. There are no discriminatory practices in municipal services or utilities based on ownership nationality.
It's something we develop in our Finland property pack.
Can owning property in Finland give a foreigner residency or visa benefits?
No, owning property in Finland does not provide any residency rights, visa benefits, or pathway to Finnish citizenship.
Finland does not operate a "golden visa" or investor residency program linked to real estate purchases, regardless of the property value or number of properties owned. Property ownership is treated as a purely economic activity separate from immigration status.
EU and EEA citizens already have the right to live and work in Finland without property ownership, while non-EU citizens must qualify for residency through other means such as employment, family reunification, or student visas. Property ownership may support but cannot substitute for these formal immigration pathways.
Long-term property ownership and demonstrated ties to Finland may contribute positively to citizenship applications after the required residency period, but ownership alone provides no shortcuts to the naturalization process. Finnish citizenship requires continuous residency, language proficiency, and integration requirements.
Some foreign property owners use their Finnish properties as vacation homes or rental investments while maintaining primary residence elsewhere, which remains perfectly legal but offers no immigration advantages or special visa considerations.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Foreign property ownership in Finland remains accessible but requires careful navigation of nationality-based regulations and permit requirements.
The distinction between apartment shares and real estate creates opportunities for non-EU buyers while maintaining regulatory oversight for strategic land acquisitions.
Sources
- InvestRopa - Finland Real Estate for Foreigners
- Multilaw - Real Estate Guide Finland
- ELRA - Finland Limitations to Foreigners
- Finnish Ministry of Defence - Authorization Requirements
- InvestRopa - Buy Land in Finland
- Borenius - Foreign Ownership Control
- ESales International - Buying Property as Foreigner
- Lawyers Finland - Property Purchase Guide
- National Land Survey - Acquiring Real Property
- Immigrant Invest - Finland Real Estate Guide