Authored by the expert who managed and guided the team behind the Latvia Property Pack
Yes, the analysis of Riga's property market is included in our pack
If you're a foreigner thinking about buying an apartment in Riga, one of your first questions is probably: what rental yields can I actually expect?
This article gives you real numbers for early 2026, from gross and net yields to typical rents by apartment size, neighborhood demand, and the costs that will eat into your returns.
We constantly update this blog post to keep the data fresh and relevant.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Riga.
What rental yields can I realistically get from an apartment in Riga?
What's the average gross rental yield for apartments in Riga as of 2026?
As of early 2026, the average gross rental yield for apartments in Riga sits around 8%, which is quite strong compared to many Western European capitals.
The realistic range that covers most apartment investments in Riga runs from about 6% in prime central areas like Centrs and Vecrīga up to 9.5% in more affordable housing estates like Purvciems, Pļavnieki, and Ziepniekkalns.
The main factor driving this wide variation in Riga gross rental yields is the sharp difference in purchase prices across neighborhoods, since rents move less dramatically than property values, meaning cheaper districts deliver higher yields even when absolute rents are lower.
Compared to other Baltic capitals, Riga offers slightly higher average gross yields than Tallinn (around 5% to 6%) and is roughly on par with Vilnius, making it one of the more attractive EU markets for yield-focused investors.
What's the average net rental yield for apartments in Riga as of 2026?
As of early 2026, the average net rental yield for apartments in Riga (after all operating costs but before mortgage payments) is around 5.5% to 6%.
The realistic range for most foreign apartment investors in Riga falls between 4.5% and 6.5% net, with the higher end achievable if you buy below prime pricing, keep vacancy low, and manage maintenance carefully.
The single biggest expense that shrinks your gross yield in Riga is property management, which typically runs 7% to 10% of rent for full management, followed closely by vacancy costs during tenant turnover, which can add another 4% to 8% annual drag depending on your unit's appeal and pricing.
By the way, you will find much more detailed data in our property pack covering the real estate market in Riga.
What's the typical rent-to-price ratio for apartments in Riga in 2026?
As of early 2026, the typical rent-to-price ratio for apartments in Riga is around 12.5 times annual rent, meaning you pay about 12.5 years of rent to buy a property outright.
The realistic range for most Riga apartment transactions spans from about 11 times annual rent (in higher-yielding outer districts) to 17 times annual rent (in prime central locations where purchase prices are elevated).
The apartment categories with the highest rent-to-price ratios in Riga are standard-type units in housing estates like Purvciems, Pļavnieki, Imanta, and Ķengarags, where entry prices remain accessible but rental demand from local workers and students stays consistently strong.
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How much rent can I charge for an apartment in Riga?
What's the typical tenant budget range for apartments in Riga right now?
The typical monthly tenant budget for renting an apartment in Riga in early 2026 ranges from about €400 to €1,500 (approximately $470 to $1,755 USD), depending on the tenant profile and location.
For tenants targeting mid-range apartments in Riga, the budget typically falls between €700 and €1,100 per month (about $820 to $1,290 USD), which gets you a decent 1-bedroom or small 2-bedroom in a well-connected neighborhood with good transport links.
For tenants seeking high-end or luxury apartments in Riga, budgets start around €1,300 and can exceed €2,000 per month (roughly $1,520 to $2,340 USD or more), which covers renovated units in Centrs, Vecrīga, or Klusais centrs with premium finishes and secure buildings.
We have a blog article where we update the latest data about rents in Riga here.
What's the average monthly rent for a 1-bed apartment in Riga as of 2026?
As of early 2026, the average monthly rent for a 1-bedroom apartment in Riga is around €850 to €950 (approximately $995 to $1,110 USD).
The realistic entry-level rent for a decent 1-bed in Riga runs from €550 to €700 per month (about $645 to $820 USD), which typically gets you a renovated unit in an outer housing estate like Purvciems or Imanta with good tram connections but no luxury finishes.
The mid-range rent for a typical 1-bed in Riga falls between €750 and €950 per month (roughly $880 to $1,110 USD), covering well-located units in neighborhoods like Āgenskalns, Teika, or the edges of Centrs with updated interiors and elevator access.
The high-end rent for a luxury 1-bed in Riga starts around €1,000 and can reach €1,500 per month (about $1,170 to $1,755 USD), offering fully renovated apartments in Vecrīga or Klusais centrs with designer kitchens, secure entry, and walkability to offices and restaurants.
What's the average monthly rent for a 2-bed apartment in Riga as of 2026?
As of early 2026, the average monthly rent for a 2-bedroom apartment in Riga is around €1,250 to €1,450 (approximately $1,460 to $1,695 USD).
The realistic entry-level rent for a decent 2-bed in Riga runs from €850 to €1,050 per month (about $995 to $1,230 USD), typically a functional unit in a Soviet-era building in Pļavnieki or Ziepniekkalns with basic renovation and good public transport.
The mid-range rent for a typical 2-bed in Riga falls between €1,100 and €1,400 per month (roughly $1,290 to $1,640 USD), covering modern apartments in Āgenskalns, Skanste, or Teika with updated bathrooms, efficient heating, and elevator buildings.
The high-end rent for a luxury 2-bed in Riga starts around €1,500 and can reach €2,200 per month (about $1,755 to $2,575 USD), offering fully renovated units in Centrs or Vecrīga with parking, premium appliances, and views over the city or Daugava River.
What's the average monthly rent for a 3-bed apartment in Riga as of 2026?
As of early 2026, the average monthly rent for a 3-bedroom apartment in Riga is around €1,850 to €2,200 (approximately $2,165 to $2,575 USD).
The realistic entry-level rent for a decent 3-bed in Riga runs from €1,300 to €1,600 per month (about $1,520 to $1,870 USD), typically a spacious unit in Imanta, Purvciems, or Pļavnieki with basic finishes but good space for families or flatshares.
The mid-range rent for a typical 3-bed in Riga falls between €1,700 and €2,100 per month (roughly $1,990 to $2,455 USD), covering well-maintained apartments in Āgenskalns or Teika with updated kitchens, multiple bathrooms, and proximity to schools and parks.
The high-end rent for a luxury 3-bed in Riga starts around €2,300 and can exceed €3,000 per month (about $2,690 to $3,510 USD or more), offering premium penthouses or renovated historic apartments in Centrs or Vecrīga favored by expat families and senior managers.
How fast do well-priced apartments get rented in Riga?
A well-priced apartment in Riga typically rents within 2 to 4 weeks in early 2026, with hot segments like 1-beds near the city center or universities leasing in as little as 1 to 2 weeks.
The typical vacancy rate for apartments in Riga is around 4% to 8% annually, meaning landlords can expect about 2 to 4 weeks of turnover per year on average when switching tenants.
The main factors that cause some Riga apartments to rent faster than others include energy-efficient heating (Baltic winters make utility costs a deal-breaker for tenants), elevator access in buildings above 3 floors, and proximity to tram routes that connect to central offices and universities.
And if you want to know what should be the right price, check our latest update on how much an apartment should cost in Riga.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Latvia 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.
Which apartment type gives the best yield in Riga?
Which is better for yield between studios, 1-bed, 2-bed and 3-bed apartments in Riga as of 2026?
As of early 2026, 2-bedroom apartments typically offer the best rental yield in Riga, followed closely by 1-beds, because they balance strong tenant demand with reasonable purchase prices.
The typical gross rental yield range by apartment type in Riga runs roughly 7% to 8.5% for studios, 7.5% to 9% for 1-beds, 7% to 9.5% for 2-beds, and 6.5% to 8.5% for 3-beds, with district location affecting each segment significantly.
The main reason 2-beds tend to outperform in Riga is that they attract the widest tenant pool, including young couples, small families, and professional flatshares, while 3-beds face higher vacancy risk because the pool of tenants who can afford larger units is smaller and more selective.
Which features are best if you want a good yield for your apartment in Riga?
The features that most positively impact rental yield in Riga are renovated interiors with efficient heating systems (tenants avoid high utility bills in winter), secure building entry, and elevator access for units above the third floor.
In Riga, upper floors (4th to 6th in buildings with elevators) tend to rent faster and at slight premiums because they offer better light, less street noise, and more privacy, while ground-floor units can be harder to lease unless they have private outdoor space.
Apartments with balconies or outdoor space in Riga do command modestly higher rents, especially in family-oriented neighborhoods like Āgenskalns or Teika, though the premium is not as dramatic as in warmer climates.
Building features like elevators and parking justify higher service charges in Riga because they reduce tenant friction, leading to faster lease-ups and lower vacancy, which often outweighs the extra monthly costs in your net yield calculation.
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Which neighborhoods give the best rental demand for apartments in Riga?
Which neighborhoods have the highest rental demand for apartments in Riga as of 2026?
As of early 2026, the neighborhoods with the highest rental demand for apartments in Riga include Centrs, Vecrīga (Old Town), Āgenskalns, Skanste, Teika, and the large housing estates of Purvciems and Pļavnieki.
The main demand driver making these Riga neighborhoods attractive to tenants is their combination of public transport access (especially tram lines), walkability to employers in the city center, and proximity to universities, hospitals, and daily services like supermarkets and cafes.
In these high-demand Riga neighborhoods, well-priced apartments typically rent within 1 to 3 weeks, with vacancy rates running around 3% to 5% annually for competitively positioned units.
One emerging neighborhood gaining rental demand momentum in Riga is Skanste, where new office developments and modern residential buildings are attracting young professionals who want a short commute to corporate employers.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Riga.
Which neighborhoods have the highest yields for apartments in Riga as of 2026?
As of early 2026, the neighborhoods with the highest rental yields for apartments in Riga include Purvciems, Pļavnieki, Ziepniekkalns, Imanta, and Ķengarags, all housing estates where entry prices remain accessible.
The typical gross rental yield range in these top-yielding Riga neighborhoods runs from about 8% to 9.5%, compared to 6% to 7.5% in more expensive central areas like Centrs and Vecrīga.
The main reason these Riga neighborhoods offer higher yields is that purchase prices are significantly lower than in the city center, but rental demand from local workers, students, and families remains deep and consistent, creating favorable rent-to-price ratios.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Latvia. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
Should I do long-term rental or short-term rental in Riga?
Is short-term rental legal for apartments in Riga as of 2026?
As of early 2026, short-term rental for apartments in Riga is legal, but the regulatory framework is becoming more formal with new registration and reporting requirements on the horizon.
The main legal requirements for operating a short-term rental apartment in Riga include paying the municipal tourism levy (charged per guest per night) and complying with general landlord obligations, with EU Regulation 2024/1028 pushing Latvia toward stronger registration systems.
For Airbnb-style rentals in Riga, hosts should expect to register their property and share booking data with authorities as Latvia implements the EU's short-term rental transparency framework, though enforcement is still developing in early 2026.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Riga.
What's the gross yield difference short-term vs long-term in Riga in 2026?
As of early 2026, short-term rentals in Riga can generate gross yields about 2 to 5 percentage points higher than long-term rentals for well-located, professionally managed units with strong reviews.
The typical gross yield range for short-term rentals in Riga runs from about 10% to 14% for top performers, compared to 6% to 9.5% for long-term rentals, though these higher STR numbers come with significantly more work and variability.
The main additional costs that reduce the net yield advantage of short-term rentals in Riga include cleaning between guests, linen and utility expenses, platform fees (typically 3% to 15%), higher management costs (often 20% to 25% of revenue), and the municipal tourism levy.
To outperform a long-term rental in Riga, a short-term rental typically needs to achieve an occupancy rate of at least 55% to 65% annually, which is achievable in tourist-friendly locations like Vecrīga but harder to sustain in outer residential districts.
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What costs will eat into my net yield for an apartment in Riga?
What are building service charges as a % of rent in Riga as of 2026?
As of early 2026, typical building service charges for apartments in Riga run about 10% to 25% of monthly rent, or roughly €80 to €200 per month (approximately $95 to $235 USD) depending on the building and season.
The realistic range of building service charges in Riga spans from about 8% of rent for efficient newer buildings to 30% or more for older Soviet-era blocks with poor insulation during the heating season, when costs spike significantly.
The services that typically justify higher-than-average charges in Riga include centralized heating systems (especially in buildings with poor thermal efficiency), elevator maintenance, and concierge or security services in premium residential complexes near Centrs or Vecrīga.
What annual maintenance budget should I assume for an apartment in Riga right now?
The typical annual maintenance budget apartment owners should assume in Riga is around 0.7% of the property's market value, which translates to roughly €700 to €1,400 per year (approximately $820 to $1,640 USD) for a typical investment apartment.
The realistic range of annual maintenance costs in Riga runs from about 0.5% of property value for newer or recently renovated buildings to 1% or more for older Soviet-era stock with aging plumbing, electrical systems, and windows.
The most common maintenance expenses Riga apartment owners face annually include repainting between tenants, replacing worn appliances (especially electric stoves and water heaters), and addressing heating system issues that become apparent during the long Baltic winter.
What property taxes should I expect for an apartment in Riga as of 2026?
As of early 2026, the typical annual property tax for an apartment in Riga translates to roughly 0.1% to 0.3% of the property's market value, which works out to about €150 to €450 per year (approximately $175 to $525 USD) for a standard investment apartment.
The realistic range of property taxes in Riga depends heavily on the cadastral value (which is often well below market value) and whether you qualify for reduced rates, so actual payments can vary from as little as €100 to over €600 annually.
Property taxes in Riga are calculated based on the cadastral value of the property (not the market price), with rates typically ranging from 0.2% to 0.6% of that cadastral value, which you can check on the State Land Service portal at kadastrs.lv before buying.
Reduced property tax rates in Riga are available for properties where the owner or a family member has declared their residency as of January 1st of the tax year, but this option is often not practical for foreign landlords who rent out their apartments.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Riga.
How much does landlord insurance cost for an apartment in Riga in 2026?
As of early 2026, the typical annual landlord insurance cost for an apartment in Riga runs from €120 to €250 (approximately $140 to $295 USD) for standard coverage with normal deductibles.
The realistic range of annual landlord insurance costs in Riga spans from about €100 for basic coverage on a smaller unit to €350 or more for comprehensive policies with higher insured values, contents coverage, and broader liability protection.
What's the typical property management fee for apartments in Riga as of 2026?
As of early 2026, the typical property management fee for apartments in Riga runs from 7% to 10% of monthly rent, which translates to roughly €60 to €120 per month (approximately $70 to $140 USD) for a standard rental unit.
The realistic range of property management fees in Riga spans from about 6% for landlords with multiple units who can negotiate better rates to 12% or more for fully hands-off management including tenant sourcing and emergency response.
Standard property management services in Riga typically include tenant communication, rent collection, coordination of routine repairs, and handling of utility and building administration issues, while tenant placement and major repairs are often charged separately.
We made this infographic to show you how property prices in Latvia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Riga, we always rely on the strongest methodology we can, and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Global Property Guide | It's a widely referenced housing analytics publisher with transparent methodology. | We used it as our main gross yield benchmark for Riga by apartment size and neighborhood. We also used its rent and price pairs to compute rent-to-price ratios. |
| Central Statistical Bureau of Latvia (CSB) | It's Latvia's official statistics agency publishing nationally used datasets. | We used it to anchor wage levels and validate that tenant budgets are realistic. We also used it to keep our 2026 assumptions consistent with official releases. |
| ARCO Real Estate | It's an established Baltic valuation and brokerage firm with structured market reports. | We used it to anchor Riga microdistrict price levels and identify which districts are cheaper vs pricier. We also used it to support neighborhood examples with real Riga district names. |
| Riga City Council | It's the municipality explaining how Riga applies property tax rules. | We used it to explain why property tax can differ for foreign landlords. We also used it to build our net-yield cost model accurately. |
| State Revenue Service (VID) | It's Latvia's tax authority explaining income tax for residents and non-residents. | We used it to frame how rental income can be taxed and why non-resident treatment matters. We used it to keep the net yield section realistic. |
| State Land Service (kadastrs.lv) | It's the official portal for cadastral data and property tax basis. | We used it to explain what property tax is based on in Riga. We also recommend it as the practical next step for checking cadastral value before buying. |
| City24 | It's a major regional property portal with large volumes of listings. | We used it indirectly via Global Property Guide's methodology for asking rents and prices. We treat it as a market thermometer for Riga. |
| FRED (Eurostat HICP) | It's a transparent time-series portal distributing official macro datasets. | We used it to cross-check rent inflation direction up to late 2025. We used it to keep 2026 rent estimates macro-consistent. |
| Riga Municipality Tourism Levy | It's the official municipal page for fees charged on tourist accommodation. | We used it to quantify the tourism levy for short-term rental net yield assumptions. We also used it to highlight compliance overhead for STR investors. |
| EUR-Lex (EU Regulation 2024/1028) | It's the EU's official legal database with primary source law text. | We used it to ground the point that STR regulation is becoming more formal in actual legislation. We used it to explain why platforms may require registration numbers. |
| Colliers Baltic | It's a global real estate services firm with regular Baltic market reports. | We used it to validate rental demand patterns and time-to-rent estimates. We also used it to confirm that Riga residential demand remains resilient. |
| Swedbank | It's a major Baltic retail bank offering standardized insurance products. | We used it as a reality check for landlord insurance pricing. We used it to justify confident insurance cost assumptions for Riga apartments. |
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