Authored by the expert who managed and guided the team behind the Finland Property Pack
Everything you need to know before buying real estate is included in our Finland Property Pack
Buying property in Finland is relatively straightforward for EU/EEA citizens but involves additional steps for non-EU buyers.
The Finnish property market operates with clear regulations and transparent processes, though non-EU/EEA citizens must navigate permit requirements for land-based properties while apartment purchases remain accessible to all foreigners.
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 restrictions, while non-EU/EEA buyers need permits for land-based properties but can freely purchase apartment shares.
The buying process typically takes 4-12 weeks, with additional 1-3 months if permits are required, and involves transfer taxes of 1.5% for apartments or 4% for land-based properties.
| Buyer Type | Property Access | Permit Required |
|---|---|---|
| EU/EEA Citizens | All property types | No |
| Non-EU/EEA Citizens | Apartment shares freely | No |
| Non-EU/EEA Citizens | Land-based properties | Yes (€170 fee) |
| Transfer Tax | Apartments: 1.5% | Land: 4% |
| Processing Time | 4-12 weeks standard | +1-3 months for permits |
| Average Price Helsinki | €4,775 per m² | Mid-2025 |
| Average Price Other Cities | €2,500-€4,500 per m² | Tampere, Espoo, Turku |
Can foreigners legally buy property in Finland?
Yes, foreigners can legally buy property in Finland, but the specific rules depend on your citizenship status and the type of property you want to purchase.
EU/EEA citizens enjoy unrestricted access to the Finnish property market. You can purchase any type of property including land, detached houses, apartments, and cottages without needing special permits or approvals.
Non-EU/EEA citizens face more limitations but still have significant opportunities. You can freely buy apartment shares (the most common form of apartment ownership in Finland) without any permits. However, purchasing real estate with land attached requires obtaining a permit from the Finnish Ministry of Defence.
The permit requirement applies to companies as well - if a company is more than 10% controlled by non-EU/EEA citizens, it needs the same permit to buy land-based properties. Finnish dual citizens are exempt from permit requirements regardless of their other citizenship.
As of September 2025, the Finnish government maintains these restrictions primarily for national security reasons, particularly concerning properties near sensitive areas or borders.
Are there any restrictions on the type of property foreigners can purchase?
Property type restrictions in Finland depend entirely on whether you're from the EU/EEA or not, with apartment shares being the most accessible option for all foreigners.
Apartment shares (asunto-osakeyhtiö) are freely purchasable by all foreigners without exception. This ownership structure covers the vast majority of apartments in Finland, where you own shares in a housing company rather than the apartment unit directly.
Real estate with land attached faces restrictions for non-EU/EEA buyers. This includes detached houses, rural plots, cottages, and any property where land ownership is involved. These purchases require Ministry of Defence approval.
The autonomous Åland Islands have additional restrictions beyond mainland Finland rules. Even EU/EEA citizens may face limitations on Åland, requiring local residency or other qualifications for property purchases.
Commercial and industrial properties follow the same pattern - apartment-style commercial spaces are more accessible, while standalone commercial buildings with land face the same permit requirements as residential land-based properties.
Do I need special permits or approvals to buy property in Finland?
Permit requirements depend on your citizenship status and property type, with non-EU/EEA buyers needing approval for land-based properties but not apartment shares.
Non-EU/EEA citizens must obtain a property-specific permit from the Finnish Ministry of Defence to buy real estate with land. This includes detached houses, cottages, rural plots, and any property where land ownership is involved.
The permit application process runs through the Ministry of Defence's e-service platform. Applications should be submitted before or soon after signing the preliminary purchase contract. The processing fee is €170 per property.
Processing times typically range from one to three months, though properties in sensitive areas near borders or military installations may take longer. The ministry evaluates each application based on national security considerations and the buyer's background.
If your permit application is denied, you must sell or dispose of the property within six months. If you fail to comply, the authorities can enforce a sale of the property.
How much does property typically cost in different regions of Finland?
| Region | Average Price per m² | Property Types |
|---|---|---|
| Helsinki (Capital Region) | €4,775 | Apartments, condos |
| Tampere | €3,200-€4,000 | Mixed residential |
| Espoo | €3,800-€4,500 | Suburban apartments |
| Turku | €2,500-€3,500 | Urban apartments |
| Oulu | €2,200-€2,800 | Northern city properties |
| Small Towns | €1,500-€2,000 | Rural apartments |
| Rural Areas | €1,000-€1,500 | Detached houses, cottages |
What are the main taxes and fees involved in purchasing property there?
Property purchase costs in Finland include transfer taxes, permit fees, and various administrative charges that vary by property type and buyer status.
Transfer tax represents the largest cost, with rates of 4% for properties with land and 1.5% for apartment shares. This tax is calculated on the purchase price and paid by the buyer during the transaction process.
Non-EU/EEA buyers face an additional €170 permit fee for each land-based property purchase. This fee is paid directly to the Ministry of Defence during the permit application process.
Registration and notary fees typically cost a few hundred euros, paid to the National Land Survey of Finland for official property registration. These fees cover the administrative costs of transferring ownership records.
Legal fees range from €500 to €2,000 depending on transaction complexity and translation needs. International buyers often require additional services including document translation and remote signing arrangements, which increase legal costs.
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How does the mortgage process work for foreigners in Finland?
The mortgage process for foreigners in Finland varies significantly based on citizenship status, with EU/EEA citizens having much easier access to financing than non-EU/EEA buyers.
EU/EEA citizens can generally access Finnish mortgages from major banks, though lenders still require proof of stable income and clarification of residency status. Banks typically offer competitive rates to EU/EEA citizens similar to those available to Finnish nationals.
Non-EU/EEA citizens face much stricter requirements, with most Finnish banks demanding established Finnish residency and stable local income before approving mortgage applications. Many non-EU/EEA buyers opt for cash purchases due to these financing limitations.
All foreign buyers undergo enhanced KYC (Know Your Customer) and AML (Anti-Money Laundering) checks regardless of citizenship status. Non-resident buyers typically face lower loan-to-value ratios and higher interest rates compared to residents.
It's something we develop in our Finland property pack.
What documents are required to complete a property purchase?
Property purchases in Finland require a standard set of documents, with additional requirements for foreign buyers and permit-required properties.
All buyers need a valid passport or national ID as primary identification. EU/EEA citizens can use their national ID cards, while non-EU/EEA buyers typically need passports with valid visas or residence permits if applicable.
Proof of funds or income documentation is mandatory for all purchases. This includes bank statements, employment letters, tax returns, or other financial documentation demonstrating ability to complete the purchase.
A signed preliminary purchase agreement (kauppakirja) serves as the foundational document for the transaction. This contract outlines terms, conditions, and timelines for the property transfer.
Non-EU/EEA buyers purchasing land-based properties must provide their Ministry of Defence permit approval before completing the transaction. Finnish personal ID numbers are often required for official registration, which non-residents may need to apply for during the process.
Do I need to hire a lawyer or notary to handle the purchase?
While not legally compulsory, hiring a lawyer is strongly recommended for property purchases in Finland, especially for foreign buyers unfamiliar with local regulations and practices.
Finnish law doesn't require mandatory legal representation for property transactions, unlike some other European countries. However, the complexity of property laws, contract terms, and due diligence requirements make legal assistance valuable for most buyers.
Lawyers ensure proper contract review, coordinate due diligence investigations, and verify compliance with all local requirements. For foreign buyers, lawyers can also arrange remote signings and serve as local representatives during the closing process.
Legal fees typically range from €500 to €2,000 depending on transaction complexity, language requirements, and additional services needed. International buyers often require document translation and enhanced due diligence, which increases legal costs.
Many Finnish lawyers and law firms offer services in English, making the process accessible to international buyers without Finnish language skills.
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.
How long does the buying process usually take from start to finish?
Property purchases in Finland typically take 4 to 12 weeks from offer acceptance to completion, with permit requirements potentially extending timelines for non-EU/EEA buyers.
Standard transactions without permit requirements follow a relatively quick timeline. After offer acceptance, preliminary contracts are signed within 1-2 weeks, followed by a 2-8 week period for due diligence, financing approval, and final preparations.
Permit-required purchases add 1 to 3 months to the process for Ministry of Defence approval. Applications should be submitted immediately after signing preliminary contracts to minimize delays, though processing times vary based on property location and buyer background.
Digital transaction capabilities and remote signing options can actually speed up the process for some international buyers. Many Finnish real estate transactions can be completed entirely online, eliminating the need for multiple trips to Finland.
Properties in sensitive areas near borders or military installations may face longer processing times regardless of buyer citizenship, as these locations require additional security evaluations.
What ongoing costs should I expect once I own a property in Finland?
Property ownership in Finland involves several recurring costs including municipal taxes, maintenance fees, utilities, and potential rental income taxes for investment properties.
Annual property tax varies by municipality, typically ranging from 0.4% to 1.1% of the property's taxable value. Municipal governments set these rates independently, with urban areas generally having higher rates than rural regions.
Apartment owners pay monthly housing company maintenance fees (yhtiövastike) covering building upkeep, insurance, and common area expenses. These fees vary significantly based on building age, amenities, and location, typically ranging from €100 to €500 monthly.
Utility costs include heating, electricity, water, and waste management. Detached houses generally have higher utility costs than apartments, particularly for heating during Finland's long winters. Monthly utility costs typically range from €100 to €300 depending on property size and type.
Investment property owners face rental income tax at rates of 30-34% on net rental income. Property insurance, regular maintenance, and potential property management fees add additional ongoing expenses for property investors.
Are there any cultural or legal differences in how property deals are negotiated?
Finnish property negotiations follow structured, transparent processes with less aggressive bargaining compared to some international markets, emphasizing professional representation and binding preliminary contracts.
Most property transactions involve licensed real estate agents who facilitate negotiations between buyers and sellers. Direct negotiations between parties are less common, with agents serving as intermediaries throughout the process.
Preliminary contracts become legally binding once signed by both parties, with typical deposits of around 4% of the purchase price. This binding nature means buyers should complete due diligence before contract signing rather than during extended negotiation periods.
Bargaining is possible and accepted in the Finnish market, but tends to be more modest compared to markets like Southern Europe or Asia. Offers typically start within 5-10% of asking prices, with larger discounts mainly occurring in slower market conditions.
It's something we develop in our Finland property pack.
What common challenges do foreigners face when buying property in Finland?
Foreign property buyers in Finland encounter several recurring challenges related to permits, financing, language barriers, and understanding local market practices.
Permit delays and potential denials create the most significant challenge for non-EU/EEA buyers. Properties near sensitive areas, borders, or military installations face particularly lengthy review processes, with some applications ultimately rejected for security reasons.
Securing local bank financing without established Finnish residency or income ties prevents many non-EU/EEA buyers from accessing mortgage funding. This limitation forces many international buyers toward cash purchases, increasing capital requirements.
Language barriers complicate the process even though most agents and lawyers offer English services. Legal documents, municipal communications, and technical property reports are typically in Finnish, requiring translation services and increasing costs.
Understanding Finnish property disclosure practices and risk allocation differs from other countries. Independent due diligence and legal review are essential, as sellers have different disclosure obligations compared to markets like the UK or US.
It's something we develop in our Finland property pack.
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.
Buying property in Finland as a foreigner is generally straightforward, particularly for EU/EEA citizens who face no restrictions, while non-EU/EEA buyers can still access the market through apartment purchases and permitted land-based acquisitions.
The key to success lies in understanding permit requirements, securing appropriate financing, and working with experienced local professionals who can navigate the regulatory landscape and cultural nuances of the Finnish property market.
Sources
- INVESTROPA - Finland Real Estate for Foreigners
- ESales International - Buying Property in Finland as a Foreigner
- Finnish Ministry of Defence - Real Estate Purchase Authorization
- Immigrant Invest - Finland Real Estate Guide
- Multilaw - Finland Real Estate Guide
- Expat Finland - Buying Property Guide
- Finnish Government - Ministry of Defence E-Service
- New York Times - Finland Real Estate Market