Set the right rent
An overpriced apartment sits empty, and every vacant month costs more than a slightly lower rent all year. Underpricing leaves hundreds of euros a year on the table. The right figure comes from comparables: same area, room count and condition.
The fastest way is to check real rent levels in your area and get an address-based estimate: a range from actual listings around your building, by room count.
- Rīga939 €14.8
- Jūrmala1,150 €12.6
- Mārupe1,500 €16.2
- Sigulda690 €9.2
- Ainaži690 €16.7
- Babītes pagasts1,125 €16
- Liepāja350 €8.1
- Ādaži400 €7.7
Based on rental listings of flats. See also every town and the rent by address.
Prepare the apartment
Small repairs and a thorough clean: first impressions decide who even comes to a viewing.
Decide furnished or unfurnished: smaller furnished apartments usually let faster.
Have the paperwork ready: proof of ownership (the Land Register folio), the building manager’s contact, meter readings and recent bills.
Quality daylight photos: the most important part of a listing on ss.lv and city24.lv.
Do it yourself or use an agent?
In Latvia a real estate agent usually charges 50% of one month’s rent for letting, often paid by the tenant. A fixed fee, or the owner paying, is also seen. For that the agent takes the photos and lists the flat on the portals, runs the viewings, checks the tenant and prepares the lease.
If your time is valuable or the apartment is in another town, an agent usually pays off. Find an agent who actively handles rentals in your area: an agent focused on rentals usually finds a tenant faster than a general agency.
Letting it myself
- +No agent’s commission
- –Photos, listings and viewings are up to you
- –Tenant checks and the lease are your responsibility
Letting with an agent
- +The agent handles photos, listings and viewings
- +Tenant checks and a properly drafted lease
- –The commission is usually 50% of one month’s rent, often paid by the tenant
Check the tenant
The biggest risk is not an empty month but the wrong tenant. Before signing, check the tenant’s ID, ask them to show their own report from the Bank of Latvia Credit Register, ask about their employer and for the previous landlord’s contact, and trust your judgement at the meeting. An agent can run these checks for you.
- 1
ID document
Check the passport or ID card and that the name matches the lease.
- 2
Credit history
Ask the tenant to show their own Credit Register report.
Bank of Latvia ↗ - 3
Income and previous landlord
Ask about their employer and call the previous landlord: was the rent paid on time?
- 4
Meeting
Meet before signing and trust your own judgement.
The lease and the deposit
The Residential Tenancy Law requires a written lease, and it must be for a fixed term. The lease must state the apartment’s address, area and description, the term, the rent and how it can change, the utilities and how they are paid, and the people who will live with the tenant.
- The deposit may not exceed two months’ rent, and the unused part must be returned no later than the day the apartment is vacated, unless the lease says otherwise.
- The lease can be entered in the Land Register free of charge: it then binds a new owner too, and fast-track eviction becomes available if rent goes unpaid.
- Record the condition with photos and meter readings in a handover act: in any dispute it is worth its weight in gold.
- The landlord may not stop the tenant from declaring the apartment as their place of residence.
The lease: what it must contain
The mandatory terms, the deposit rules, the term, notice and registering the lease in the Land Register.
Open the guide →Taxes on rental income
A private person can let an apartment without registering a business. The tax is then 10% of the rent received, and the only deduction allowed is the property tax paid on that property. You must notify VID of the lease in its Electronic Declaration System within 5 working days of signing, and again within 5 working days of the lease ending.
- Declare the income in your annual income tax return (1 March to 1 June) and pay the tax by 23 June; above €640 it can be paid in three instalments.
- Income includes the deposit and any utilities paid through your account; utilities the tenant pays straight to the manager are not your income.
- If the tenant is a company, it withholds the 10% when paying.
- If your costs are high, you can register a business and deduct real expenses, but then progressive income tax and social contributions apply.
How much of the rent do you keep?
- Rent a year
- 7,200 €
- Tax (10%, less property tax)
- 720 €
- You keep a month
- 540 €
- You keep a year
- 6,480 €
One empty month costs 600 €, the same as an 8% lower rent all year.
Deposit up to 1,200 € (two months’ rent). The letting commission is usually 50% of one month’s rent, often paid by the tenant.
Notify VID of the lease within 5 working days of signing. Declare the income in your annual return and pay the tax by 23 June. A deposit received also counts as income.