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By September 1, when the amendments to the Immigration Law entered into force, the Latvian Office of Citizenship and Migration Affairs (OCMA) in total had received 1781 applications with the request to grant temporary residence permits (TRP) from 4148 non-residents that is by 53% more than in the same period of the previous year. It is found out that the biggest number of applications were received in August (349), and this clearly indicates the willingness of non-residents to get Latvian TRP prior to the increase of the real estate purchase price minimum threshold, informs Ms Oļesja Bogodistaja, Head of the International Department of ARCO REAL ESTATE.
According to the statistical data of the OCMA, applications for temporary residence permit this year have been received from citizens of Russia (2798), China (478), Ukraine (353), Uzbekistan (144) and Belarus (81). A lesser number of applications were received from Azerbaijan (72), Kazakhstan (58), Lebanon (17) and Israel (14).
Ms O. Bogodistaja comments the OCMA data as follows: "For obtaining TRP, non-residents' investments in Latvianreal estates are still dominating, amounting to 272 million euros by September 1, while in the subordinated capital of Latvian banks there are invested 27 million euros, but in capital companiesthere are invested 8 million euros," and adds that within the program the real estate industry has attracted nearly 932 million euros.
Although the representative of ARCO REAL ESTATE keeps off from predictions about what will happen after the date of effect of the amendments, it is admitted that the new minimum purchase amount threshold will not significantly affect the interest of the non-residents, since in the first half of September the interest of non-residents in the Latvian real estates has not decreased and has remained at the level of the spring. In the price range from 143 thousand to 150 thousand EUR, sometimes there were no offers for non-residents, so buyers often bought two properties, reaching the total amount of the purchase required for obtaining TRP, or increased the budget to 180 thousand - 200 thousand euro, where the supply of real estates was wider, points out Ms O. Bogodistaja.
Before the entry into force of the amendments to the law, in the real estate market there were also observed properties in the price range from 143,000 to 160,000 euro, the price of which was artificially increased. Taking into consideration that the new amendments provide that one property at the minimum purchase amount of EUR 250 000 has to be purchased, the properties in the price range from 250 thousand to 300 thousand euro will be the most demanded ones, predicts the expert.
We remind you that from September 1, the amendments to the Immigration Act provide that the minimum purchase amount of a real estate is increased from 150 000 EUR to 250 000 EUR.
26.09.2014.